TeslaDown 3.25%, it is reported that the Model 3 production line at Tesla, Inc. 's California factory has been suspended.

Tesla, Inc. has told employees that it will temporarily suspend a Model 3 production line at its Fremont, Calif., plant until March 7, according to people familiar with the matter.

The affected employees were informed that they would be paid on February 22 and 23 and that they would not be paid on February 28, March 1, February 2 and 3.

While production line disruptions are not uncommon for automakers, they cost the company revenue.

Tesla, Inc. said last month that the company was working to mitigate the impact of global semiconductor shortages on its business and expected global car deliveries to increase by more than 50 per cent this year.

In order for CEO Musk to achieve his ambitious goal of selling 20 million cars by 2030, the maximum delivery volume is critical for Tesla, Inc..

This year, Tesla, Inc. has cut the prices of various models 14 times from China to Japan and France, raising concerns about a lack of sales expectations.

"given Tesla, Inc. 's excess inventory in the fourth quarter of 2020 and has never been able to sell his capacity, we believe that Tesla, Inc. 's current demand is limited, not capacity restrictions," Gordon Johnson, founder of GLJ Research LLC, wrote in a report earlier this week.