Listen to this article
Reading Time: < 1 minute

A week after Hertz proclaimed that it had ordered 100,000 Teslas to electrify 20% of its global fleet, Tesla CEO Elon Musk has tweeted denying that a contract has been signed.

“I’d like to emphasize that no contract has been signed yet,” tweeted Musk. “Hertz deal has zero effect on our economics.”

However, following the announcement last week, Tesla’s share price jumped 12.6%, raising the company’s valuation above $1 trillion.

It had been reported that Hertz would pay $4.2 billion for 100,000 Tesla Model 3s over the next 14 months – amounting to roughly one-fifth of the rental company’s fleet.

Hertz also announced a partnership with Musk’s company to make 50,000 Teslas available by 2023 to drivers to rent when using the Uber network. 

Musk, however, seems to be singing from a different hymn sheet compared to Hertz.

Both Tesla and Hertz declined to comment to the BBC on the matter.

Musk also said that the vehicles for Hertz would not be sold at any discount to the rental company – despite the size of their order. 

The US government also appears to have some issues with Tesla, with the Biden administration mandating that the $12,500 EV grant for drivers will only be available for union-made vehicles. Tesla has resisted any attempts by its workforce to unionise.

Leave a Comment