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The company did not respond to a BBC request for comment.

 Elon Musk: Tesla's new factories are burning money like 'giant furnaces'


Tesla CEO Elon Musk said the company's new plants in Germany and the US are "losing billions of dollars" due to battery shortages and interruptions in the supply of components from China.


Musk said factories in Berlin and the Texas city of Austin burn money like "giant furnaces."


The lockdown due to the pandemic in China this year has made it difficult for manufacturers across the country, including in Shanghai, where Tesla has built a huge factory.


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Lately, Musk has warned of upcoming job cuts at the company.


"The factories are now losing billions of dollars. There are a lot of expenses, but there is almost no result," he said in an interview with the Tesla Car Owners Club in Silicon Valley.


The so-called "gigafactories" have struggled to boost production since they opened earlier this year, Musk said.


Tesla's Austin plant currently produces a "tiny" number of vehicles, in part because some battery components are stranded in a Chinese port and there is no one to physically deliver them to the factories.


"All this will be fixed very quickly, but requires a lot of attention," Musk added.


The interview was recorded at the end of May, but this part of the conversation was not published until Wednesday.


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Earlier, the Chinese authorities imposed a hard lockdown in a number of cities in response to a surge in the incidence of Covid-19.


Strict restrictions on the movement of people and materials were also introduced in Shanghai - a major financial, manufacturing and transport center.


Musk said the Shanghai lockdown cost Tesla dearly. The company has reportedly halted most production at its "gigafactory" in the city for several weeks.


According to Reuters news agency, citing internal correspondence, the plant will again almost completely shut down for two weeks in July to carry out modernization work to increase productivity - Tesla is going to increase production to 22,000 vehicles a week.


The company did not respond to a BBC request for comment.



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Last week, Tesla hiked the prices of its entire lineup by almost 5% in the US to offset the cost of raw materials, including aluminum and lithium.


Musk said this week that Tesla plans to cut its global workforce by 3.5%. He has previously said he has a "very bad feeling" about the current state of the economy.


Meanwhile, German automaker BMW said Thursday it has officially started production at its new $2.2 billion facility in northeast China's Shenyang city.


BMW said the plant, the company's third in China, will increase annual production in the country from 700,000 to 830,000 vehicles.

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