Electric Cars

Tesla has unveiled a revised referral initiative in the United States, transitioning from traditional vehicle sales incentives to rewarding customers with Full Self-Driving (Supervised) access. Under the new structure, individuals who are referred receive a complimentary month of FSD, while the referrer is granted either an additional month of FSD or a $99 Tesla Credit if the referred party converts to a paying subscriber. Simultaneously, Tesla's 'Refer and Earn' terms have been updated, explicitly removing any mention of vehicles as qualifying purchases for referral bonuses, meaning that neither the buyer nor the referrer receives a reward for car sales made through a friend's code.

This updated FSD referral process is designed with specific participation criteria. To be eligible to share a referral link, existing owners must either be actively subscribing to FSD (Supervised) on a monthly basis or have previously purchased FSD outright before Tesla ceased its direct sale. Owners who acquired FSD via a one-year complimentary grant are excluded from participation. The referral functionality is accessible within the Tesla app, version 4.62.0 or later, under the 'Refer and Earn' section. For a referred individual to qualify, they must own a registered Tesla equipped with compatible hardware, not have subscribed to FSD within the preceding 12 months, and not have purchased it outright. Furthermore, recent car buyers who received a free FSD trial are ineligible for referral links until 12 months following the conclusion of their trial period. If a referred friend becomes a paying subscriber, the referrer who is a subscriber receives a free month, while outright owners are compensated with a $99 credit, equivalent to one month's subscription. These credits have a 12-month expiry and cannot be exchanged for cash, with Tesla imposing a cap of 12 rewards per calendar year, limiting potential earnings to a maximum of one year of FSD or $1,188 in credits. There is a slight discrepancy in timing noted between Tesla's FSD support page and the main Refer and Earn page regarding when the referrer is rewarded—one states during the trial, the other after its completion.

The broader implication of this shift is the de-emphasis on vehicle referrals. Tesla's updated 'Refer and Earn' page now indicates that buyer benefits are exclusively tied to solar panel purchases. Referrer benefits encompass solar products, initial demo drives (limited to 30 per account lifetime), and the new FSD referral incentives. Notably, Model 3, Model Y, and Cybertruck models are now only listed under loyalty benefits for existing owners acquiring an additional Tesla product, while Model S and Model X are entirely absent from the referral program. This alteration, which Tesla did not formally announce, is dated February 24, 2026, making the exact implementation timeline unclear. This represents a significant deviation for a program historically centered on promoting car sales, which Tesla has intermittently launched and re-launched over the past decade. Tesla's strategic move is clearly aimed at bolstering FSD subscription numbers, a key performance indicator closely monitored for Elon Musk's 2025 CEO Performance Award, which targets 10 million active FSD subscriptions. The free month offered to referred friends does not contribute to this metric; only paid conversions do. This new program is meticulously designed to drive those paid conversions, underscoring the company's current focus on increasing its FSD subscriber base, a program that leverages Tesla's existing fleet rather than solely expanding it.

This strategic realignment by Tesla highlights a clear prioritization of its Full Self-Driving software business over direct vehicle sales through referral incentives. By offering FSD subscriptions as rewards, Tesla is not only optimizing a cost-effective referral mechanism—as the software is already integrated into its vehicles—but also directly contributing to a critical performance metric for its leadership. This shift reflects an innovative approach to monetization and customer engagement within its established user base, maximizing the value of existing technology and fostering a community that actively promotes its advanced software capabilities.

Zeekr's Unwavering Resolve: Tariffs Won't Halt European Growth

The Evolving European Trade Landscape and Its Impact on Chinese EVs

European markets are increasingly implementing protective measures against electric vehicles from China. Recently, an agreement between European and Chinese officials set a ceiling on the import of Chinese hybrid and plug-in hybrid vehicles at 350,000 units annually. This development creates a complex environment for companies like Zeekr, which already contends with substantial duties on its electric vehicle imports, such as the popular 7X model. The introduction of the 900-horsepower 9X, an ultra-luxury plug-in hybrid, further complicates matters, as it now falls under these new import limitations.

Zeekr's CEO: Tariffs as a Sign of Success

In an interview, Zeekr Europe CEO Lothar Schupet reflected on these trade dynamics, suggesting that the heightened scrutiny and regulations might stem from the brand's rapid success rather than a fundamental obstacle to achieving it. He posited that the European response could be a reflection of local apprehension regarding the competitive prowess of Chinese automotive innovations. This viewpoint reframes the challenges as indicators of the company's strong market performance and the broader industry's efforts to safeguard domestic interests.

The Broader Economic Context: European Protectionism

Schupet's assessment aligns with wider concerns among European auto executives and political figures, who are increasingly worried about their domestic industry's struggle to compete with the price points of Chinese electric vehicles, even with existing high tariffs. Amidst sluggish economic growth and demographic shifts, European nations are reluctant to concede a high-value industry sector. Consequently, regulators are enacting protectionist policies, similar to those in the U.S., to provide local companies with a window to enhance their competitiveness.

Zeekr's Investment and Commitment to the European Market

Despite these protectionist tendencies, Zeekr is actively working to establish itself as a committed participant in the European economy. The company maintains design, research and development, and corporate operations across various European locations. Geely, Zeekr's parent company, has channeled significant investments into the continent. Schupet cited the integration of a Bosch advanced driver-assistance system (ADAS) into the 7X model as proof of Zeekr's dedication to engaging with local supply chains, complementing its operations in China. He underlined the extensive European supplier network supporting Zeekr vehicles and the ongoing expansion of its dealer presence, highlighting the brand's role as a substantial economic contributor that should not be underestimated.

Navigating the Road Ahead: Challenges and Unwavering Determination

While the efficacy of these sentiments in influencing European policymakers remains uncertain, particularly given the near-outright ban on Chinese cars in the U.S., Zeekr's global business continues its rapid expansion. Its European operations alone have seen a 200% year-over-year growth in 2026, supported by a continuous stream of innovative product releases. The 7X has already achieved considerable popularity, and the 9X stands out as a flagship model with advanced features and plug-in hybrid technology that, according to the CEO, German manufacturers cannot currently rival. Although the path ahead involves steep tariffs for the 7X and new hybrid caps for the 9X, Zeekr's CEO declares that the company is here to stay, emphasizing a strategy of collaboration over conflict within the automotive sector.