Tesla likely to hit 1.3 mn deliveries by 2022

San Francisco: Electric vehicle maker Tesla is expected to reach 1.3 million deliveries in 2022, says a new report.

Analyst Dan Ives from Wedbush Securities said that he now expects Tesla to deliver 900,000 vehicles this year and grow to 1.3 million vehicles in 2022, reports Electrek.

"In a nutshell, competition is increasing from all angles in this EV arms race which has been an overhang over Tesla and the overall sector, however, this is just the start of an EV transformation that will change the auto industry for the coming decades with Tesla leading the charge," Ives said.

"With EVs representing 3 per cent of overall autos globally and poised to hit 10 per cent by 2025 there will be much more competition in a massively increasing share of the global auto market," Ives added.

Ives believes that Tesla will benefit disproportionally from this transition to electric vehicles in the industry. According to the report, the automaker is apparently getting ahead of current supply chain issues plaguing the auto industry.

Ahead of the start of 2021, some industry watchers thought it could be the year Tesla breaks a million deliveries. However, like the rest of the auto industry, Tesla has been hit by supply chain problems.