Tesla Was Expected To See A Drop In Sales In The Second Quarter Of The Year.
One effect of China's coronavirus lockdowns was a dip in Tesla's production and sales. Tesla reported that completed sales plummeted 18 percent, to approximately 255,000 vehicles in mid-June compared to the first three months of the year. Production decreased about 15 percent, to around 259,000.
The Tesla factory in Shanghai was closed for several weeks in April due to a lockdown rule aimed at alleviating a spike in cases of the flu. Tesla's problems with suppliers’ also limited production even after the factory reopened. The plant was forced to shut down again in May as officials tried to prevent an increase in outbreak-related deaths. The lockdowns likely cost Tesla production of about 70,000 vehicles in the quarter, according to Dan Ives, tech analyst for Wedbush Securities. However,...