24 percent of Tesla Model 3 orders have been cancelled: analyst

The company says Gill's information is out of date

Tesla Model

An analyst is claiming that there are more cancellations for the Model 3 than new orders.

Rajvindra Gill, a market analyst with Needham and Co, an investment bank, says long wait times, the end of a $7,500 federal electric vehicle rebate in the U.S. and the absence of the company’s long-promised $35,000 USD model as reasons for sales slowdown.

According to Gill, currently approximately one in four Tesla customers are cancelling their Model 3 pre-orders, which is double the rate from this same time last year and it’s more cancellations than new orders.

In a statement to CNN, a spokesperson for Tesla denied that cancellations were outpacing orders, and added that some of Gill’s information is outdated.

Gill is doubtful that the company will hit its year-end goal of delivering 100,000 Model 3s. To hit that goal by the end of 2018, Tesla will have to ship 27 percent more cars in the second half of the year than it did in the first half. Tesla only recently managed to hit its target of 5,000 cars in a week goal.

Source: CNN