bodyType

customContents

entityId

entityUuid

articlePageQuery

filter

article

articleBaseAdvertisingInfoArticle

articleListArticle

articleSeoArticle

helpersCheckIsPostiesArticle

hooksArticleAcknowledgementGateOverlayArticle

hooksTrackPageViewArticle

hooksContentInterestArticle

articleLinkingDataContent

hooksAmpRedirectArticle

articleSchemaContent

liveArticle

advertZone

sentiment

contentLock

topics

types

sections

moreOnThisArticles

urlAlias

commentCount

authorLocations

authors

corrections

sponsorType

displaySlideShow

multimediaEmbed

printHeadline

seriesContainer

socialHeadline

headline

flag

firstTopic

glossary

flattenTypeIds

publishedDate

additionalInfoBoxes

quizIds

images

image

relatedLinks

relatedNewsletters

__typename

createdDate

sponsor

paywallTypes

pdfFiles

seriesReverseOrder

series

disableOffPlatformContent

published

updatedDate

summary

subHeadline

body

keywords

readingTime

customTimezone

liveContents

Reuters

Tesla Inc on Sunday announced lower-than-expected electric vehicle deliveries in the third quarter, as logistical challenges overshadowed its record deliveries.
The top electric carmaker said “it is becoming increasingly challenging to secure vehicle transportation capacity and at a reasonable cost”, but some analysts were also concerned about demand for high-ticket items due to the weakening global economy.
“The economy around the edges is still having a negative impact for Tesla that’s mostly logistical. But that I think there is some demand [issues] sprinkled in there,” Wedbush Securities analyst Dan Ives told Reuters after the delivery results.
“There is a dark cloud over the auto sector. And Tesla is not immune.”
Tesla recalls nearly 1.1 million US vehicles over window reversing system
Ford Motor said last month inflation-related costs would be US$1 billion more than expected in the third quarter and that parts shortages had delayed deliveries.
Apple Inc is backing off plans to increase production of its new iPhones this year after an anticipated surge in demand failed to materialise, Bloomberg reported last month, citing people familiar with the matter.
“I think that EVs are in for probably a little bit of a rough patch, just because people are probably going to be a little bit hesitant and less urgent to buy something new,” Oanda senior market analyst Ed Moya said.
‘Crazy wave of deliveries’
Tesla delivered 343,830 electric vehicles, a record for the world’s most valuable carmaker, but less than the 359,162 analysts on average had expected, according to Refinitiv. A year earlier, Tesla delivered 241,300 units.
The latest deliveries fell short of Tesla’s production of 365,923 vehicles, which is rare for the carmaker which has seen its deliveries higher or similar to production in many of recent quarters.


“As our production volumes continue to grow, it is becoming increasingly challenging to secure vehicle transportation capacity and at a reasonable cost during these peak logistics weeks,” Tesla said in a statement on Sunday.
Tesla CEO Elon Musk said on Sunday, “Smoothing out crazy end of quarter delivery wave to reduce expedite costs & relieve stress on Tesla team.”
Last year, he said Tesla is having a “crazy wave” of deliveries at the end of each quarter, because its Shanghai factory makes cars for exports to Europe and other countries in the first half of a quarter and then cars to be sold in China.
Tesla again asked employees to help deliver “a very high volume of vehicles to eagerly waiting customers during the final days of Q3” in California, according to an email seen by Reuters.
Tesla on Sunday said it has “began transitioning to a more even regional mix of vehicle builds each week, which led to an increase in cars in transit at the end of the quarter”.

Q4 delivery push
Tesla set an ambitious target to produce almost 495,000 Model Y and Model 3s in the fourth quarter of this year, internal plans reviewed by Reuters show.
The company’s production ambitions come against the backdrop of increasingly gloomy outlook for global growth, with Musk himself telling top managers in June he had a “super bad feeling” about the economy and planned to cut staff.
During a conference call in July, Musk said at first that macroeconomic uncertainty might have some impact on demand for its electric vehicles, but when pressed for details by an analyst, he said the company did not have a demand problem but a production problem.
The carmaker expanded production capacity in Shanghai after a resurgence in Covid-19 cases forced a suspension at the plant and fuelled the first dip in deliveries after a nearly two-year-long record run.
Xpeng launches US$44,000 semi-autonomous G9 SUV to take on Model Y
In September, Tesla’s vehicle order backlog fell, especially in China, Troy Teslike, a Tesla data tracker tweeted.
Tesla said it delivered 325,158 Model 3 compact cars and Model Y sport-utility vehicles, as well as 18,672 of its Model S and Model X premium vehicles to customers during the quarter.
Meanwhile, Musk on Friday showed off a prototype of its humanoid robot ‘Optimus,’ predicting the electric vehicle maker would be able to produce millions and sell them for under US$20,000 – less than a third of the price of a Model Y.
Experts were impressed by the speed of development of Tesla’s humanoid robots, but they agreed with Musk, who said “there’s still a lot of work to be done to refine Optimus and prove it”.


BYD overtakes Tesla in Europe for the first time as battery EV sales jump 169% in April

Xiaomi’s YU7 SUV aims to dislodge Tesla’s bestselling Model Y from pole position

China’s self-driving ambitions move back into top gear

Trump backer Elon Musk says he will spend ‘a lot less’ on political campaigns

Tesla

Tesla grapples with logistical challenges as record deliveries miss estimates in the third quarter

Model Y cars are pictured at the Tesla Gigafactory for electric cars in Gruenheide, Germany, on March 22, 2022. Photo: Reuters

Tesla vehicles waiting for shipping transport in a large lot near the Waigaoqiao Container Port in Shanghai on June 3, 2022. Photo: Bloomberg

Xpeng launches city-level autonomous driving system, piling pressure on Tesla in race for robotic car supremacy

People inspect an electric vehicle shown by XPeng at the Swedish eCarExpo 2022 in Stockholm. Photo: Xinhua

Tesla sued for ‘deceiving’ consumers about self-driving cars

A Tesla Supercharger station in North Vancouver, British Columbia, Canada, Sept. 13, 2022. Photo: Bloomberg

Tesla’s Shanghai factory nearly triples output, as China sales total beats Nio, Xpeng and Li Auto put together

New Tesla electric cars on their way to customers in Shanghai on May 13, 2021. Photo: Reuters

Vehicles in a lot at the Tesla Gigafactory in Shanghai on June 15, 2022. Photo: Bloomberg

Visitors take photos of a car from BYD at the Chengdu Motor Show 2022 in Chengdu, capital of southwest China’s Sichuan province, on August 26, 2022. Photo: Xinhua

Tesla’s Elon Musk scores public relations coup with bylined article in Chinese government journal

Elon Musk arrives for an event at the Metropolitan Museum of Art in New York, May 2, 2022. Photo: Reuters

Tesla vehicles seen in a lot near the Waigaoqiao Container Port in Shanghai, June 3, 2022. Photo: Bloomberg

Tesla, SAIC car output hit as power shortage in China’s Sichuan province roils supply chain

Volkswagen electric vehicles are assembled at the carmaker’s factory, operated with local partner SAIC Motor, in Shanghai. Photo: Bloomberg

Tech

Big Tech

Tech Trends

Business

Companies

The top electric carmaker said ‘it is becoming increasingly challenging to secure vehicle transportation capacity and at a reasonable cost’
Tesla’s record 343,830 deliveries fell short of the 365,923 vehicles it produced, a rarity for the company


The top electric carmaker said ‘it is becoming increasingly challenging to secure vehicle transportation capacity and at a reasonable cost’.


Electric & new energy vehicles

Automotive industry

Future of transport

Transport and logistics

Tesla grapples with logistical challenges as record deliveries miss estimates in the third quarter

The top electric carmaker said ‘it is becoming increasingly challenging to secure vehicle transportation capacity and at a reasonable cost’ Tesla’s record 343,830 deliveries fell short of the 365,923 vehicles it produced, a rarity for the company

The top electric carmaker said ‘it is becoming increasingly challenging to secure vehicle transportation capacity and at a reasonable cost’

Tesla’s record 343,830 deliveries fell short of the 365,923 vehicles it produced, a rarity for the company