TSLA Stock Down, Tesla Roadster Delayed Until 2023 amid Supply Chain Issues

UTC by Bhushan Akolkar · 3 min read
TSLA Stock Down, Tesla Roadster Delayed Until 2023 amid Supply Chain Issues
Photo: Depositphotos

Chip shortages and massive supply chain issues forced automakers including Tesla to cut down on production despite the heightened demand. This pushes further the Roadster launch to 2023.

On Wednesday, September 1, Tesla Inc (NASDAQ: TSLA) chief Elon Musk appraised the community of a delay in the shipment of Roadster until 2023. The billionaire further cited supply chain shortages that continue to stress the electric carmaker.

Musk responded to a Tesla fan on Twitter who was asking for an update about the Roadster launch. The Tesla CEO wrote:

“2021 has been the year of super crazy supply chain shortages, so it wouldn’t matter if we had 17 new products, as none would ship. Assuming 2022 is not mega drama, new Roadster should ship in 2023.”

The semiconductor chip shortage has impacted the global automobile industry. Amid strong demand in the automobile space, the automakers are struggling to meet the order book.

Thus, Tesla is not the only player facing the heat of the disrupted supply chain. In order to cope up with the chip shortage, other automobile giants like Ford and Toyota have slashed production. Similarly, other players like Honda Motor, General Motors and Volkswagen have also curtailed production. Previously, the high-performance Tesla Roadster was likely to debut last year in 2020.

Tesla unveiled the Roadster for the first time in 2017. Back then the company said that the next-generation electric Roadster will have a top speed of 250 miles an hour. Besides, it will feature a 200-kilowatt-hour battery pack delivering more than 620 miles of range on a full charge.

The Roadster will come with three electric motors helping it attain from 0 to 60 miles per hour in just 2 seconds.

Company’s Other Important Plans amid Tesla Roadster Launch Delay

While the Tesla Roadster has certainly been an important milestone in the company’s roadmap, it isn’t at a very high priority. Tesla has been currently focusing on ramping the production for its sports-utility vehicle Model Y.

Furthermore, Tesla has been looking to expand its footprint in Europe. Thus, the construction of the Berling gigafactory remains the top priority. The upcoming Roadster will be a successor to the first-generation car that popularized the Tesla brand.

The upcoming Roadster will also come with a special “SpaceX version” said Elon Musk. One can register the Roadster on Tesla’s website with an initial $5000 payment through a credit card. The user will need to conduct a $45,000 wire transfer in the next 10 days.

All the reservation money will be refundable until the customer signs the purchase agreement. Musk has already appraised investors of the supply chain issues during the recent earnings call.

The Tesla stock (NASDAQ: TSLA) has been an outperformer throughout 2020. This helped Tesla to become the world’s largest automobile by market cap. This year so far, the TSLA stock has given a muted response. The stock is trading at almost flat levels.

After losing 0.22% yesterday, today in teh pre-market it is in the red again. TSLA stock is trading at $728, with a 0.83% loss.

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Bhushan Akolkar

Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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