Monday, October 11, 2021

Tesla boss Elon Musk brushes off Russia suggestions

Elon Musk Elon Musk

Musk has ignored, said he would never return to Russia and did not comment on a report that he was planning to build a Russian plant.

Russia’s ‘business daily’ Kommersant first reported Musk had rejected an offer to construct the plant.

But Musk, who founded and now heads electric car maker Tesla, had stated in May that he would never return to Russia.

A shareholder activist group has also accused Tesla of failing to disclose the full extent of CEO Musk’s financial problems.

It would not be the first time Tesla has opened a plant in Russia – the US car maker also has one in South Korea.

However, it is Russia’s largest car maker, Sollers, which has the right to launch a production line in 2016, some three years later than originally planned.

Russia’s largest car maker, Sollers, already started signing long-term agreements with major producers, such as Audi and Citroen, to build them lower priced cars that will be more cost-competitive, as well as sales to the domestic market.

Tesla’s entry into the Russian market would be more difficult, given that it lacks high-end, luxury cars, which are the driving force in the Russian car market.

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