Tesla Inc. Chief Executive Officer Elon Musk said the U.S. electric carmaker and his rocket company SpaceX are facing significant inflationary pressure in raw materials and logistics. Musk in a tweet on Sunday also asked about inflation rate outlook and said his companies “are not alone,” retweeting an article saying the Ukraine-Russia conflict sent commodity prices to their highest levels since 2008. Russia’s invasion of Ukraine has led to a surge in prices of metals used in cars—from aluminum in the bodywork to palladium in catalytic converters to the high-grade nickel in electric vehicle batteries—and customers are likely to foot the bill. Tesla and SpaceX were not available for additional comments. Soaring raw material prices has raised concerns about EV economics, as legacy automakers and startups prepare to launch new cars this year after overcoming problems related to chip shortages. Additionally, geopolitical challenges arising from Ukraine’s invasion have affected factory …
Musk Says Tesla, SpaceX Face ‘Significant’ Inflationary Pressure
March 14, 2022
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