{"id":1526568,"date":"2022-06-23T10:49:05","date_gmt":"2022-06-23T14:49:05","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1526568"},"modified":"2022-06-23T10:49:10","modified_gmt":"2022-06-23T14:49:10","slug":"elon-musk-laments-tesla-factories-becoming-gigantic-money-furnaces-thanks-to-supply-chain-issues","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/elon-musk-laments-tesla-factories-becoming-gigantic-money-furnaces-thanks-to-supply-chain-issues\/","title":{"rendered":"Elon Musk Laments Tesla Factories Becoming \u2018Gigantic Money Furnaces\u2019 Thanks To Supply Chain Issues"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">28<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Felon-musk-laments-tesla-factories-becoming-gigantic-money-furnaces-thanks-to-supply-chain-issues%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1526568&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p><a href=\"http:\/\/dailywire.com\/topic\/tesla\">Tesla<\/a> CEO <a href=\"http:\/\/dailywire.com\/topic\/elon-musk\">Elon Musk<\/a> said that the electric automaker\u2019s factories are now \u201cgigantic money furnaces\u201d thanks to persistent <a href=\"http:\/\/dailywire.com\/topic\/supply-chain\">supply chain<\/a> issues.<\/p>\n<p>Logistics bottlenecks have plagued American businesses since COVID-19 and the lockdown-induced economic issues, especially due to key Asian manufacturing <a href=\"http:\/\/dailywire.com\/topic\/economy\">economies<\/a> shuttering production.<\/p>\n<p>\u201cJust been trying to keep the factories operating the last couple years has been a very difficult thing, like supply chain interruptions have been severe, like extremely severe,\u201d Musk said in a Tesla Owners Silicon Valley interview published Wednesday, per <a href=\"https:\/\/www.cnbc.com\/2022\/06\/23\/musk-says-tesla-berlin-and-austin-factories-losing-billions-of-dollars.html\">CNBC<\/a>. \u201cThe past two years have been an absolute nightmare of supply chain disruptions, one thing after another, and we are not out of it yet.\u201d<\/p>\n<p>In one recent National Association of Manufacturers <a href=\"https:\/\/www.dailywire.com\/news\/majority-of-manufacturers-predict-recession-within-the-next-year\">survey<\/a>, almost 60% of business leaders said that inflationary pressures \u201cmake a recession more likely in the next 12 months,\u201d while more than 90% pointed to higher raw material costs as one of their \u201cprimary business challenges\u201d in the second quarter of 2022. The Producer Price Index (PPI) rose <a href=\"https:\/\/www.dailywire.com\/news\/inflation-for-businesses-continues-at-double-digit-pace\">10.8%<\/a> from May 2021 to May 2022, according to a report released earlier this month by the U.S. <a href=\"https:\/\/www.bls.gov\/news.release\/ppi.nr0.htm\">Bureau of Labor Statistics<\/a>.<\/p>\n<p>Indeed, Musk said that the shortages are causing Tesla\u2019s facilities around the world to hemorrhage cash.<\/p>\n<p>\u201cBoth Berlin and Austin factories are gigantic money furnaces right now\u2026 It should be like a giant roaring sound which is the sound of money on fire,\u201d Musk said in the interview.\u00a0\u201cBerlin and Austin are losing billions of dollars right now because there\u2019s a ton of expense and hardly any output. Getting Berlin and Austin functional and getting Shanghai back in the saddle fully are overwhelmingly our concerns. Everything else is a very small thing basically.\u201d<\/p>\n<p>Though the worldwide supply chain bottlenecks began overseas, economic phenomena in the United States also delayed consumer goods from reaching shelves. Trucking companies \u2014 which were already battling to hire more drivers before the economic downturn \u2014 faced a <a href=\"https:\/\/www.dailywire.com\/news\/at-the-edge-of-a-cliff-trucking-industry-leader-says-rewarding-people-not-to-work-vaccine-mandates-are-worsening-supply-chain\">labor shortage<\/a> exacerbated by government stimulus money and the return of consumer demand.<\/p>\n<p>President Joe Biden\u2019s attempted COVID-19 vaccine mandate <a href=\"https:\/\/www.dailywire.com\/news\/trucking-groups-could-lose-37-of-drivers-over-biden-vaccine-mandate-worsening-supply-chain-crisis\">threatened<\/a> to shutter nearly 40% of truckers from the job market. The policy, however, was <a href=\"https:\/\/www.dailywire.com\/news\/we-said-do-not-comply-we-won\">overturned<\/a> by the Supreme Court thanks in part due to a lawsuit from The Daily Wire.<\/p>\n<p>Tesla and other automakers have been particularly threatened by a global shortage of semiconductors. Between May 2021 and May 2022, the price of <a href=\"https:\/\/www.dailywire.com\/news\/here-are-the-products-gutting-your-bank-account-as-inflation-soars\">new and used vehicles<\/a> soared 13% and 16%, respectively.<\/p>\n<p>Companies are therefore racing to increase semiconductor production in the United States. Last year, for example, Samsung <a href=\"https:\/\/www.dailywire.com\/news\/hyundai-to-build-5-5-billion-electric-vehicle-plant-in-georgia-marking-the-states-largest-ever-economic-development-project\">announced<\/a> that it would build a $17 billion semiconductor factory in Texas, representing the largest foreign direct investment in the state\u2019s history.<\/p>\n<p>Meanwhile, Gov. Ron DeSantis (R-FL) <a href=\"https:\/\/www.dailywire.com\/news\/desantis-ill-invest-in-microchip-semiconductor-manufacturing-so-chinese-cannot-hold-our-supply-chain-hostage\">said<\/a> earlier this year that he would invest the state\u2019s funds to increase microchip manufacturing so that the Chinese Communist Party cannot \u201chold our supply chain hostage.\u201d<\/p>\n<p>\u201cWe have to start standing up as Floridians and Americans,\u201d DeSantis said at a press conference. \u201cWe cannot be captive. Key sectors of our economy should not be captive to some of these foreign nations, particularly outfits like the Communist Party of China.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Tesla CEO Elon Musk said that the electric automaker\u2019s factories are now \u201cgigantic money furnaces\u201d thanks to persistent supply chain issues. Logistics bottlenecks have plagued American businesses since COVID-19 and the lockdown-induced economic issues, especially due to key Asian manufacturing economies shuttering production. \u201cJust been trying to keep the factories operating the last couple years &#8230;<\/p>\n","protected":false},"author":99,"featured_media":1526635,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1526568","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1526568","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/99"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1526568"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1526568\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1526635"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1526568"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1526568"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1526568"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}