Shares of Tesla Inc (NASDAQ:TSLA) have fallen $1.45 per share, or 0.5%, in mid-day Tuesday trading due in part to the potential for a labor strike in Tesla’s German facilities. Elon Musk’s electric vehicle company bought German Grohmann Engineering, a manufacturing automation designer, for $150 million earlier in the year in hopes of improving its efficiency but now faces a potential labor disruption due to wage disputes. According to sources, the labor union IG Metall could later today begin a strike to force management to provide German employees with better wage terms. If a strike occurs, Tesla’s ambitious Model 3 production plans hopefully won’t be hindered. Tesla Inc (NASDAQ:TSLA) said, ‘We continue to work directly with Tesla Grohmann employees and are prepared in the event there is an action initiated by the union. We don’t anticipate any impact on the Model 3 timeline.’
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The Bottom Line
Tesla Inc (NASDAQ:TSLA) shares are lower on Tuesday due to a potential strike. For more reading, check out ‘11 countries with most cars in the World in the World‘.