Next-step Teslas in trouble?
Tesla says reports that refunds of bookings of its Model 3 car are outpacing reservations are incorrect. In fact, the EV automaker called the claims ‘unequivocally false’.
Tesla responded publicly after Wall Street firm Needham & Co wrote that it believed the Model 3 refund rate had doubled to 24% over the past year and was now running higher than deposits.
That’s close to SecondMeasure’s view, which last month estimated a 20% cancellation rate for the vehicle.
Analysts also believe there is the prospect that new orders may not keep up with company’s much-needed production boost at its California assembly plant.
On the positive side, a Wall Street Journal reporter has just given the Tesla Model 3 a glowing review, calling the car a magnificent piece of automotive engineering that is “representative of the next step in the history of autos”.