Elon Musk Claims Tesla Has Not Signed Deal With Hertz

Last week, Hertz and Tesla entered into a deal that was cited as the “biggest-ever rental car order for electric vehicles” by the BBC, however Elon Musk took to Twitter to denounce the deal saying that there has yet to be a contract that has been signed.

The CEO tweeted, “I’d like to emphasize that no contract has been signed yet. Tesla has far more demand than production, therefore we will only sell cars to Hertz for the same margin as to consumers. Hertz deal has zero effect on our economics.”

In response to the tweet, a spokeswoman told BBC, “Deliveries of the Teslas already have started. As we announced last week, Hertz has made an initial order of 100,000 Tesla electric vehicles and is investing in new EV (electric vehicle) charging infrastructure across the company’s global operations.” However, Hertz refused to confirm whether or not a contract has been signed.

Hertz reportedly paid approximately $4.2 billion USD for a 100,000 order of Tesla Model 3s to be delivered over the next 14 months. The rental company also announced that it would be building charging stations to accommodate their orders. Hertz released a statement that read that, “beginning in early November and expanding through year-end” customers would be able to rent a Tesla Model 3 at Hertz airport and neighborhood locations at certain areas in the US and Europe.” The announcement caused Tesla shares to see a 12.6% jump.

Take a look at Musk’s tweet below.

You’re welcome!

If any of this is based on Hertz, I’d like to emphasize that no contract has been signed yet.

Tesla has far more demand than production, therefore we will only sell cars to Hertz for the same margin as to consumers.

Hertz deal has zero effect on our economics.

— Elon Musk (@elonmusk) November 2, 2021

In other tech news, Facebook recently verified a Bitcoin scammer posing as Elon Musk.