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Tesla factories losing billions due to battery shortages and China woe

Tesla factories in Texas and Berlin ‘losing billions’ due to shortage of batteries and Shanghai shutdown, says Musk

Losses: Tesla boss Elon Musk (pictured) said its Texas and Berlin factories were ‘gigantic money furnaces’

Elon Musk said Tesla’s car factories in Texas and Berlin are ‘losing billions of dollars’ as they struggle to increase production because of a shortage of batteries and Chinese port issues.

‘Both factories are gigantic money furnaces right now,’ the electric car maker’s chief executive said in an interview released on Wednesday.

‘It’s really like a giant roaring sound, which is the sound of money on fire. Supply chain interruptions have been extremely severe.

‘Overwhelmingly our concern is how do we keep the factories operating so we can pay people and not go bankrupt.’

The 50-year-old said the Covid-19-related shutdowns in Shanghai ‘were very, very difficult’. 

He added: ‘The past two years have been an absolute nightmare of supply chain interruptions, one thing after another, and we’re not out of it yet.’