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Wal-Mart sued Tesla: there were loopholes in the solar panels, causing a number of stores to catch fire

2024-09-17 Update From: AutoBeta autobeta NAV: AutoBeta > News >

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AutoBeta(AutoBeta.net)08/22 Report--

In the early morning of Aug. 18, a Model S spontaneously ignited at a Tesla repair shop in Hangzhou, Zhejiang Province, giving off open fire and black smoke after opening the hood. After more than an hour of fighting, the fire was finally put out, but fortunately there were no casualties. Tesla responded that the car had been seriously soaked in water before, and the maintenance personnel did not operate strictly in accordance with the regulations, and the specific situation needs further investigation.

Since 2019, Tesla has had many spontaneous combustion incidents around the world. On April 21, a Model S spontaneously ignited in an underground garage in a residential district in Shanghai, causing damage to other vehicles. On May 3, a Tesla burst into flames in a garage in San Francisco of the Model S; on May 12, a Model S burst into flames after being parked at the Xinpu factory in Hong Kong for half an hour; there are signs that Tesla's electric car is not as safe as thought.

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However, Tesla CEO Musk said that Tesla's probability of catching fire is more than 500% lower than that of internal combustion engine cars, but Tesla, who is often exposed in the news, makes people question what Musk said.

This week, Tesla angered the US retail giant Wal-Mart. An indictment by Wal-Mart against Tesla has renewed concerns about the electric car maker, saying, "many of the problems are caused by haste and negligence in the installation of the system." In addition, Wal-Mart said there were obvious defects in many of Tesla's panels, indicating that Tesla's inspection program was flawed or there was no inspection program at all.

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Wal-Mart said at least seven stores caught fire as of November after the roofs of more than 240 stores were installed and used by Tesla's solar panels. In order to ensure safety, Wal-Mart was forced to disconnect all solar systems, which had a huge impact on the economy.

Wal-Mart also mentioned in the lawsuit that Tesla had serious negligence in the production process and failed to meet industry standards.

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Tesla's solar panel business came from Solarcity, and the $2.6 billion acquisition was questioned as a personal financial rescue for Musk because the company was inextricably linked to Musk himself, as confirmed by Wal-Mart's indictment.

In 2016, Tesla bought Solarcity for $2.6 billion, mainly in the sales and installation of solar power generation equipment. After taking over Solarcity, Tesla's solar panel business continues to shrink. In order to reduce costs, Tesla closed 12 photovoltaic facilities in nine states in 2018 and laid off a large number of Solarcity employees. Earlier this year, Tesla announced that solar panel prices would be cut by an average of 38 per cent to boost sales.

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In order to boost the solar energy business, Tesla recently launched a new solar energy rental service. It is understood that Tesla's solar energy rental service is a monthly rental agreement, and there is no need to sign a long-term contract. The homeowner only needs to pay Tesla 50 US dollars a month, and the company will install the solar panel system for it.

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In its indictment, Wal-Mart pointed out that Tesla's acquisition of Solarcity in 2016 was a "rescue operation". Before the announcement of the acquisition, Solarcity's financial performance had seriously deteriorated and key indicators were in jeopardy, with a full-year loss of $820 million in 2016, up from $765 million in 2015.

So far, Tesla has not provided Wal-Mart with a complete "cause of the accident" report to identify the product defects that caused all the fires. Wal-Mart asked the judge to declare Tesla in breach of contract and ordered the company to remove solar panels from all its stores and pay the costs incurred.

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