Tesla shares rise after Elon Musk says there is no demand problemCEO seeks to dispel concerns about demand, production at shareholder meetingTesla Inc. Chief Executive Elon Musk took the stage at the company’s shareholder meeting Tuesday seeking to dispel concerns about demand and production that have plagued the Silicon Valley car maker for months.
“I want to make clear there’s not a demand problem. Sales have far exceeded production and production has been pretty good,” Musk said, adding that Model 3 sales have far outstripped the sales of its main competitors, both in units and in dollar amount.
The company has a “decent shot at a record quarter” in terms of sales and production, and most of its orders are coming from new customers, Musk said.
Musk also spoke about the Model Y, Tesla’s next vehicle, the gigafactory under construction in China and a future one in Europe, and promised another Tesla acquisition to ease the company’s entry into insurance.
The Model Y compact SUV will reach volume production in late 2020, and likely garner more sales than Models 3, S, and X combined, Musk said. Tesla “internally is aiming” for that volume of production even sooner, he said.
Tesla is making
“good progress” in building its gigafactory in Shanghai, and is already installing some machinery, Musk said.
The company is actively searching for a site for a new factory in Europe, and expects to make a decision by the end of the year, he said.“It makes sense to have a car factory at least on each continent,” Musk said.Musk said a prototype of a Tesla pickup truck will likely be ready to be shown this summer, and again promised a pickup that will look like a vehicle “out of a sci-fi movie.” The Tesla Semi, a freight truck, is headed to production toward the end of the year, he said.Musk also reiterated his promise to have a
fleet of robotaxis on roads by the end of next year, although he added more qualifiers for its rollout, including the approval of regulators.
www.marketwatch.com/story/elon-musk-tesla-does-not-have-a-demand-problem-2019-06-11?mod=mw_latestnews
