(Reuters) -Tesla Inc Chief Executive Officer Elon Musk said on Sunday the U.S. electric carmaker and his rocket company SpaceX are facing significant inflationary pressures in raw materials and logistics.
Musk in a tweet also asked about inflation rate outlook and said his companies “are not alone”, retweeting an article saying Russian conflict sent commodity prices to highest level since 2008.
Russia’s invasion of Ukraine is ramping up the prices of metals used in cars, from aluminum in the bodywork to palladium in catalytic converters to the high-grade nickel in electric vehicle batteries, and drivers are likely to foot the bill. While metals have not been the target of Western sanctions yet, some shippers and auto-parts suppliers are steering clear of Russian goods, putting more pressure on carmakers already reeling from a chip shortage and higher energy prices.
(Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by Rashmi Aich and Sherry Jacob-Phillips)
