Tesla under pressure as Ford, Nissan, GM roll out new competition at Detroit auto show

CNBC
Updated
If Tesla's stock was much higher, the company could convert debt to equity and pay back lenders that way. But it looks like it will be forced to pay in cash.

Shares of Tesla (TSLA) tumbled 3.7 percent as manufacturers from Detroit to Japan unveiled new competition for buyers in the electric car maker's key market at the Detroit Auto Show.

Ford (F) Chairman Bill Ford said Sunday the company is investing $11 billion in electric vehicles by 2022 with plans to have 40 hybrid and fully electric vehicles in its model lineup.

"We talked about a huge investment in electric vehicles. We have 16 models that are in design and development. We have a pretty big surprise coming next year," CEO Jim Hackett told CNBC's Phil LeBeau on the sidelines of the Detroit auto show, which kicked off Sunday.

General Motors (GM) CEO Mary Barra told investors ahead of the show Friday that the company is working on an all-electric Cadillac. Details were scant, but it's expected to be an SUV.

Nissan's (7201.T-JP) luxury brand Infiniti announced all future models starting in 2021 will be "electrified," meaning either plug-in hybrid or all-electric as it rolled out the QX Inspiration at Detroit. Nissan also debuted the new all-electric Leaf at the Consumer Electronics Show in Las Vegas last week.

Ford's shares rose 1.9 percent while GM's rose 1.3 percent. Nissan's shares were about flat, despite an embarrassing failure at its Infiniti QX debut. Technicians couldn't get the electric car started and had to push it on stage.

Tesla spokesman Dave Arnold declined to comment.