Tomahawk, WI 01/17/2014 (BasicsMedia) – Tesla Motors Inc (NASDAQ:TSLA) will be recalling some 29,000 chargers and replacing them with chargers that have thermal fuses that will shutdown in case of overheating. This was a precautionary step taken by the company that says that a fire in a Model S being charged in a garage due to overheated charger was not its fault. The precaution is being taken to avoid problems that may occur even due to faulty wiring of the house. Elon Musk , CEO of the company, in fact refused to call it a recall and instead called it an update.

Other Tesla Updates

The news that Tesla Motors Inc (NASDAQ:TSLA) sold 6,900 units of its lone model, Model S, in the fourth quarter of 2013 is now old news. The car maker has supply side issues that are constraining its growth. However, there is some very good news, Tesla plans to ramp up production to 800 cars per week at the end of the year. This will translate into 9,600 units a quarter, a substantial increase over the 6,900 units sold last quarter. After expanding into Europe, Tesla is now eyeing the Chinese market and hopes to dispatch the first shipment as early as next month. If it can stick to the schedule, you can expect to see Tesla’s Model S running on Chinese roads as early as March. This could lead to some very significant numbers from the Chinese markets before the end of 2014. The right-hand drive version is also expected to come out in April.

Supply Side Issues:

Once Tesla Motors Inc (NASDAQ:TSLA) is able to address its supply side issues, it can look at other releases. It has two new models in the stable. However, with demand yet to be fully satiated and several new and enthusiastic markets remaining untapped, Tesla has taken a wise decision. The much awaited Model-X, an SUV version, is expected to see the light only in the first half of next year. Though the first deliveries may begin in January next year, volumes can be expected only after some time – again due to supply side issues.

The ‘supply side issues’ are also coming in way of the launch of its entry level model, Model E. There were some references to a mega factory for battery production. It appears to have reached planning stage, though things are not yet clear. Hopefully, the next conference call may see some light thrown on this.

After all there is a big queue of people lined up to own the ‘safest car’.

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