Tesla slashes production costs, eyes July profit
LOS ANGELES, June 22 (Reuters) - Electric car start-up Tesla Motors Inc has slashed production costs for its flagship Roadster sports car by 43 percent to about $80,000 per vehicle as of June, its chief executive said in a blogpost on Monday.
Tesla, one of the biggest players in the burgeoning electric car sector, could be profitable as soon as next month, helped by demand for its Roadster Sport, CEO Elon Musk said.
"Combined with a steady production volume of 20 to 30 per week in the third quarter this year and a good take-up rate of the higher priced Roadster Sport, we expect to cross over into profitability next month," Musk wrote.
Tesla unveiled its newest product, the $49,900 Model S four-door family sedan, in March, which it said was the first highway-ready electric vehicle within the price range of most car buyers.
Its Roadster sport vehicles typically sell for above $100,000.
Last month, German luxury car maker Daimler AG (DAIGn.DE) paid about $50 million for a 10 percent stake in Tesla, expanding its presence in the growing market for low- and no-emissions cars.
California is a hotspot for the evolving electric vehicle market. Tesla is vying with a coterie of start-ups, including Coda Automotive, that are developing automobiles for a wider American consumer market. (Reporting by Edwin Chan, editing by Matthew Lewis)
