A XPeng P7 electric car is on display at a XPeng experience store in Shanghai, China.
XPeng's P7 car.
  • Shares of Chinese EV makers rose Thursday after Tesla reported record quarterly profit. 
  • Tesla CEO Elon Musk said he believes his company's biggest rival could come out of China. 
  • "They work the hardest and they work the smartest," he said of Chinese electric vehicle makers. 

Shares of Nio and other US-listed Chinese electric car makers revved up Thursday as Tesla CEO Elon Musk said its largest rival will likely come from China.