Now that the enticing tax credit is being phased out for Tesla, sales of its vehicles might slowdown. Kallo attributes the inventory build to the upcoming deadline before a step down in tax credits for the vehicles, and that they'll be off the lot in the coming weeks. While still having a little over 3,000 Model 3's is really not that bad, it may be that Tesla is seeing peak demand in the US for this particular configuration of the Model 3.
Tesla's board said Ellison purchased 3 million shares in Tesla earlier this year. Hardly a point of speculation, Elon Musk said this himself in Tesla's now somewhat famous "Master Plan" all the way back in 2006. And it is also releasing cars for purchase that other buyers have ordered if the original buyers can't take delivery by today.
He was sued by the SEC after being accused of making "false and misleading" tweets about potentially taking Tesla private.
But Musk has continued to taunt the U.S. agency, most recently in an interview broadcast earlier this month with network news program "60 Minutes". It is getting ready to offer a $35,000 version of the Model 3 in 2019, its lowest-cost model targeting budget-conscious buyers.
Musk has promised to reimburse customers if delivery delays cause them to miss out on the full $7,500 tax credit. Starting January 1, all newly delivered Teslas will only qualify for a $3,750 Federal Tax Credit.
And Musk said in a tweet earlier this month that if Tesla committed to December delivery and the customer made a "good faith effort" to receive it before year end, Tesla will cover the tax credit difference if the auto doesn't get there until next year.
In November, Tesla joined forces with General Motors and Nissan in an effort to persuade Congress to extend the EV tax credit.
The organization planned to push Congress to reform the system and eliminate the manufacturer cap but nothing has materialized yet.
Tesla's legal department also has been going through shakeups since Mr Musk's run-in with the SEC.
Musk and Tesla reached the settlement with the SEC on September 29 that gave the company 90 days to add directors and take other actions.
Wall Street analysts and investors cheered the news, with Tesla shares rising as much as 3.5 per cent to $327.18 Friday in NY.
Some of the inventoried vehicles may be sold today, but sources speaking to Electrek indicated that it would likely not be possible for the auto maker to draw down its entire inventory in one day.