Tesla ploughs ahead in China as stock slides on COVID-19, oil price plunge

The Driven

Tesla is ploughing ahead with plans to localise parts for Chinese Model 3 production, increasing production of certain parts in new lines at its Shanghai Gigafactory.

The news, which was revealed in a document submitted to the Shanghai government and first reported by Reuters, comes as Tesla CEO and co-founder Elon Musk announced on Tuesday (Australian time) that the Californian car maker has made its one-millionth electric car.

Tesla stocks, meanwhile, have been taken down a notch, losing 13.6% on Monday to close at $US608 ($A925.91) as global uncertainty around coronavirus takes its toll and an oil price war plays out between Saudi Arabia and Russia.

Tesla had been on a meteoric tear for much of 2020 as previously reported by The Driven, and the recent tumble reflects a worldwide stock crisis that has seen markets post their biggest falls since the 2008 financial crisis.

But with oil hurtling down to $30 a barrel due to the Saudi/Russian stand off, Tesla and other pure electric car makers such as China’s Nio, along with renewables such as solar are feeling the pinch.

With market analysts such as CNBC’s Jim Cramer pointing to an imminent recession, the big question for Tesla investors and watchers is will the pioneering EV maker still be able to achieve its goal of rolling out 500,000 electric cars a year in 2020?

To read the full story on RenewEconomy’s electric vehicle dedicated sister site, The Driven, click here…