Tesla (NASDAQ:TSLA) is set to halt the majority of car production at its Berlin factory from January 29 to February 11 due to a shortage of components caused by disruptions in transport routes arising from an armed conflict in the Red Sea.
Reuters reported today that the changes in transportation routes, particularly between Europe and Asia through the Cape of Good Hope, have led to extended delivery times, adversely affecting production at the Gruenheide facility.
This shift in logistical dynamics has resulted in disruptions in the supply chain, prompting the temporary suspension of production at the Tesla factory in Berlin.
Tesla shares fell 2.9% on Thursday.