12:26 pm, November 2, 2021
Elon Musk says that a landmark deal between Tesla and Hertz is yet to be agreed – despite the rental company confirming the arrangement last week.
Last Wednesday, Car Dealer reported that Tesla’s stock market value had topped $1 trillion as a result of an historic contract with Hertz.
It was believed that the agreement was worth 0ver $4bn with Tesla set to sell the hire firm 100,000 Model 3s.
Mark Fields, interim Hertz chief executive, described the deal as ‘a wake up call for the industry’ but Musk has now denied that anything has been signed.
Writing on Twitter, the EV tycoon insisted that Tesla will ‘only sell cars to Hertz for the same margin as to consumers’.
He went on to claim that the electric car company’s trillion dollar valuation had nothing to do with the apparent contract.
It had been reported that the order of 100,000 cars was one of the largest single orders of EVs ever.
Musk said: ‘I’d like to emphasize that no contract has been signed yet.
‘Tesla has far more demand than production, therefore we will only sell cars to Hertz for the same margin as to consumers.
‘Hertz deal has zero effect on our economics.’
You’re welcome!
If any of this is based on Hertz, I’d like to emphasize that no contract has been signed yet.
Tesla has far more demand than production, therefore we will only sell cars to Hertz for the same margin as to consumers.
Hertz deal has zero effect on our economics.
— Elon Musk (@elonmusk) November 2, 2021
Announcing the deal last week, Hertz pledged to invest heavily to improve its global charging network as it continues to electrify its fleet.
The firm currently has around 25,000 charging points worldwide.
It is yet to comment on Musk’s latest Twitter statement.
