Tesla Says EV Tax Credit Rush Could Outstrip Its Production

Tesla Inc.’s chief financial officer said the looming expiration of the U.S. federal electric-vehicle tax credit is prompting customers to advance purchases, and the company may be unable to build enough cars to satisfy orders placed after August. He projected that the resulting demand surge could leave third-quarter deliveries flat to modestly higher, compared with analysts’ expectations for a 6% decline. The executive added that Tesla has already deployed all the purchase incentives it intends to offer in the United States for the quarter and will begin scaling them back as supply tightens. The remarks, delivered on the company’s earnings call, sent the shares briefly into negative territory in after-hours trading.