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Has Tesla Re-prioritized Its EV Goal? A Change In Current Report Says So

Published 23/05/2024, 18:57
© Reuters.  Has Tesla Re-prioritized Its EV Goal? A Change In Current Report Says So
TSLA
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Benzinga - by Shivani Kumaresan, Benzinga Staff Writer.

Tesla Inc. (NASDAQ:TSLA) has removed its earlier target to eventually sell 20 million vehicles annually from its latest impact report, indicating a shift in focus from its core car business to autonomy.

The change is seen in the company's 2023 impact report, which maintains the aim "to displace fossil fuels by selling as many Tesla products as possible" but omits the numerical goal present in the 2021 and 2022 reports.

In 2023, Tesla sold 1.8 million vehicles but has already indicated a slower growth rate for the current year.

CEO Elon Musk promised in April to introduce cheaper models by late 2024. However, insiders suggest his primary focus is on launching a fully driverless car, which Tesla aims to unveil on August 8, Bloomberg reported.

The extensive 159-page report, details Tesla's environmental impact, water use, and workforce initiatives. Since its first impact report in April 2019, Tesla has been among the many S&P 500 companies highlighting their sustainability efforts.

Notably, this year's report excludes a previously stated fact that most Tesla employees come from underrepresented groups, and it does not compare its diversity statistics with other tech and auto companies.

Also Read: Tesla Eyes Chinese Data Center To Boost Autonomous Driving Tech: Report

Tesla reports an average uptime of 99.97% for its Supercharger sites despite recently laying off nearly the entire team and announcing plans to slow expansion in favor of achieving 100% uptime.

Also, the company has started its plan of laying off over 10% of its global workforce to cut costs and eliminate duplicate roles.

The document also offers a detailed overview of Tesla's dealings with metals suppliers, a subject of interest due to rising EV battery demands and new tariffs on Chinese cars and batteries.

Musk has openly criticized Diversity, Equity, and Inclusion (DEI) initiatives, referring to them as propaganda words.

The sentiment aligns with the exclusion of diversity metrics in the current report, reflecting a broader shift in the company's stance on workforce representation and inclusion.

Tesla stock has lost more than 7% in the last 12 months. Investors can gain exposure to the stock via ETFs, including Consumer Discretionary Select Sector SPDR Fund (NYSE:XLY) and Fidelity MSCI Consumer Discretionary Index ETF (NYSE:FDIS).

Price Action: TSLA shares are trading lower by 2.91% at $174.87 at the last check Thursday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Read Next: Tesla Layoffs To Continue Through June, Morale Low Among Workers

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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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