Part 2/14:
Tesla's Executive Lars hinted at an upcoming refresh for the Model S, leading many to believe that the withholding of orders may be linked to the redesign rather than solely tariffs or supply chain issues. Considering that the Model S refresh is anticipated sometime this year or early next, the timing aligns with Tesla's typical refresh cycles.
One plausible reason could be tariffs: Jeff Lutz estimates that tariff adjustments could impact around 350 units per quarter for these models. Interestingly, Tesla continues to sell the Model S in Japan despite these observed restrictions in China earlier this year. The inventory of Model S and Model X in China remains, suggesting that Tesla's strategy might be to clear existing stocks before the new model launch.