Tesla, Inc. TSLA has a tall order if it has to hit its 50% growth target for the full year.
What happened: From the first to the third quarter Electric vehicle manufacturer delivered 908,573 cars. To reach the target, 495,685 more cars must be sold in the fourth quarter.
Tesla is said to be going all out Chinain which it is located Giga Shanghai and accounts for about half of the company’s global production.
China has a week-long public holiday from October 1st to October 7th to celebrate National Day.
Tesla brings workers to its production line at Giga Shanghai by paying three times what they are normally paid, CnEVPost reported, citing local media.
That payment is for the three days beginning Oct. 1, as Chinese labor law dictates that the triple payment is only for 11 days a year, including the first three days of the national holiday, the report said.
See also: Tesla Analyst Says “This Quarter Was Nothing Special” But Won’t Stop Momentum
Why it matters: The Giga Shanghai remains an important cog in Tesla’s wheels and also serves as the company’s main export base. That situation could change once the company’s newest factories in Austin and Berlin ramp up.
Following the release of Tesla’s third-quarter deliveries that missed expectations, Webusch analyst Daniel Ive said the company faced supply issues during the quarter, with some isolated weaknesses in China.
Tesla’s decision to keep production going, even at a higher cost, shows the company’s intent to accelerate production and delivery momentum.
Price promotion: Tesla closed Friday’s session at $265.25, down 1.10% Benzinga Pro data.
