Chinese plant may help Tesla recover second-quarter car delivery

BEIJING, July 1 (Xinhua) — Tesla’s world’s most important auto plant experienced nearly seven weeks of shutdowns last quarter, but its new back-up plant may have saved the way. Analysts compiled by Bloomberg expect Tesla to deliver more than 82,000 vehicles last quarter. Some analysts even estimate that deliveries could exceed the 88,000 in the first quarter of this year.

Chinese plant may help Tesla recover second-quarter car delivery

Expectations were low just a few months ago, when Tesla and its car peers shut down factories and car showrooms and saw share prices plunge. However, shares of Mr Strauss surged to a record high of $1,079.81 on Tuesday as other auto makers slowly recovered. The company’s market capitalisation has grown to $203 billion, surpassing Exxon Mobil and close to Toyota Motor Corp., the auto-manufacturing leader.

Shanghai Factory and Model Y

Tesla was helped by its new plant in Shanghai, which began delivering cars to consumers in January. Tesla also began production of model Y in March and rushed to reopen its plant in Fremont, California, in May to resume ordering.

Chinese plant may help Tesla recover second-quarter car delivery

Cowen Inc. “At the moment, Model Y and Chinese-made cars are on the rise,” analyst Jeffrey Osborne said in a note on Tuesday. “

Musk told employees earlier this week that the company could try to avoid quarterly losses.