As Tesla struggles with supply chain snags that are delaying electric vehicle production, Elon Musk revealed that the EV maker is losing billions of dollars at the company’s gigafactories in Austin and Berlin.
In a recent interview with an official Tesla-recognized club, the CEO stated, “Both Berlin and Austin factories are gigantic money furnaces right now. Okay? It’s really like a giant roaring sound, which is the sound of money on fire.”
Production at Tesla’s Texas and Berlin factories, which are essential to the company’s expansion plans, began production earlier this year.
“The past two years have been an absolute nightmare of supply chain interruptions, one thing after another, and we’re not out of it yet,” Musk said.
Early this month, Musk declared that the company needed to reduce workers by approximately 10% and “pause all hiring worldwide” due to his “super bad feeling” about the state of the economy. He stated this week that Tesla would reduce its salaried workforce by 10% over the course of three months.
Tesla’s Cybertruck electric pickup truck production, which has also been delayed, is anticipated to begin in mid-2023, according to Musk.
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