Tesla has recalled 123,000 of its Model S sedans built before April 2016, nearly half the cars sold, after discovering that corroding bolts in cold-weather climates could lead to a power-steering failure.
Even though Tesla will ramp up its capacity, competition will be strong as at least 36 new electric vehicles will be launched by traditional carmakers by 2021.
“The company’s continued production delays since the launch of the Model 3 represent significant variance from original expectations,” Moody’s said in its downgrade on Thursday. “Tesla’s ability to meet updated weekly production targets of 2,500 by the end of March and 5,000 by the end of June will be a critical factor in assessing the company’s manufacturing capabilities and credibility in achieving production forecasts.”
Read the article at The Washington Post.
