Tesla finally meets Model 3 production goal.

[d-kressjr]

Time for more annoying Elon Musk news!

 

The demand for Tesla's model 3 car has been enormous from the start. The car is supposed to be the product that takes Tesla from a manufacturer of niche, ultra-luxury electric cars to a bonified brand producing luxury, but reasonably priced electric cars. However, while the demand for the car is there, Tesla has been struggling to produce the car quickly. With only two factories in Nevada and Fremont California to supply cars for the 400,000+ (I think) reservation holders, Tesla failed to meet any of its previous production goals and the company was burning through cash to try and produce the car. 

 

However, Elon Musk announced a slight bit of progress of Twitter claiming Tesla had produced 7,000 cars in a week, 5,000 of which were Model 3 sedans. Elon Musk had stated in the past that the company's goal was to reach a production rate of 5,000 Model 3s per week. This means Tesla (maybe) has finally reached their goal.

 

Despite this news, this doesn't mean Tesla will be smooth sailing now. It is still very unclear if Tesla can sustain this production rate. After all, they had to build a giant tent outside of the Fremont Factory to house one of the Model 3 production lines...

 

 

 

Sources:

https://twitter.com/elonmusk/status/1013519243030253570

https://www.cnbc.com/2018/06/29/tesla-q2-production-and-delivery-numbers.html

[AskTJ]

Wonder how many will sell.

[Tocsin_786]

I've seen more model 3's in NY in the last month than since they were released. 

[Bcat00]

For the big major cities with the facilities in place, this will be a highly sought after product for sure.

[leadeater]

1 hour ago, d-kressjr said:

After all, they had to build a giant tent outside of the Fremont Factory to house one of the Model 3 production lines...

Tent can't be that big, look at those toy trucks....

[Christophe Corazza]

If you thought a Chevy Lumina built on a Friday afternoon at 4 PM can be iffy... imagine the ownership experience of the person that paid 65k for a Model 3 built at 5 AM on a Sunday in a tent.

[Lathlaer]

5 hours ago, AskTJ said:

Wonder how many will sell.

Aren't they, like, sold already? The whole Tesla problem is because they have more demand than supply which means that basically every car they make now is already sold.

[ItsMitch]

Tesla to hit 400$ this month, calling it

[Christophe Corazza]

They made a lot of shortcuts to get faster... like 300 fewer welds per car.

Easier to park in small places if it comes apart. "Is that a left wheel arch under your arm Sir?" 

 

 

[Bananasplit_00]

Nice, hope they can keep it up 

[rawrdaysgoby]

Only after a year!!! they reached their goal half of all the people would have gotten their cars by now but nope

[Syntaxvgm]

Weren't they struggling with like the metal fab being done wrong by whoever they used and having to send many frames and shit into a local repair shop? 

Seems like these cars will be rush jobs, idk. I worry about battery fires that will have a lasting impact on electric car adoption. It would take one Ford Pinto to literally delay adoption for years with all of the attention tesla gets in the media. 

[Real_PhillBert]

The permit they have for the tent is only good for a couple months, I wonder what their plan is when that expires?

 

I'm glad to see more competition in the market, but I'm unconvinced by the Tesla business plan. Time will tell I guess. 

[bcredeur97]

4 hours ago, Real_PhillBert said:

The permit they have for the tent is only good for a couple months, I wonder what their plan is when that expires?

 

I'm glad to see more competition in the market, but I'm unconvinced by the Tesla business plan. Time will tell I guess. 

someone at ford had tweeted back at them, "7000 cars, 4 hours"

made me laugh

ah it was the CEO lol

 

[Real_PhillBert]

12 minutes ago, bcredeur97 said:

someone at ford had tweeted back at them, "7000 cars, 4 hours"

made me laugh

ah it was the CEO lol

 

Yup. Therein lies the problem. If tesla wants to compete in the "normal car" market instead of the premium luxury market, they have to compete with the Ford, Toyota, and Honda who have been building cars in far greater numbers for a far longer time. Certainly an uphill battle, but credit where credit is due, 7000 cars per week was their production goal, and they reached it.

[bcredeur97]

8 minutes ago, Real_PhillBert said:

Yup. Therein lies the problem. If tesla wants to compete in the "normal car" market instead of the premium luxury market, they have to compete with the Ford, Toyota, and Honda who have been building cars in far greater numbers for a far longer time. Certainly an uphill battle, but credit where credit is due, 7000 cars per week was their production goal, and they reached it.

hey if they keep hitting numbers; they'll get there eventually.

They certainly have the hype/demand already. they just need to work to keep it.

[ItsMitch]

All the short term sellers have lost a total of 1 BL from their investments, get fucked. 

[Monkey Dust]

So setting up a giant tent and presumably short term leasing the machinery to fill then tent? Can they still turn a profit on a model 3 off the temporary line? Or are they widening their losses? It's all very well hitting 5000 cars an a week, but if they are not making a profit, Tesla are just digging themselves deeper. We'll see I guess.  

[Monkey Dust]

22 hours ago, SC2Mitch said:

All the short term sellers have lost a total of 1 BL from their investments, get fucked. 

Almost all of them were gambling with other peoples money, they won't care.

[Commodus]

1 hour ago, Monkey Dust said:

So setting up a giant tent and presumably short term leasing the machinery to fill then tent? Can they still turn a profit on a model 3 off the temporary line? Or are they widening their losses? It's all very well hitting 5000 cars an a week, but if they are not making a profit, Tesla are just digging themselves deeper. We'll see I guess.  

They expect to hit 6K per week in August, so the cost of that line may not matter much in the near future.  Also, don't forget that Tesla recently cut 9 percent of its workforce and has been trimming other costs.  We'll know for sure how well it worked when Tesla reports its Q3 figures (the first full quarter with 5K+ weekly production).

[BlueChinchillaEatingDorito]

Now let's hope fit and finish doesn't suffer because of it. We all know what happened to the AMC Pacer when they ramped up production to meet demand. 

[ItsMitch]

1 hour ago, Monkey Dust said:

Almost all of them were gambling with other peoples money, they won't care.

 True, people who's money will be fairly pissed then, losing that much money would piss off anyone. 

[Nicnac]

u go musky boi

[Commodus]

11 minutes ago, BlueChinchillaEatingDorito said:

Now let's hope fit and finish doesn't suffer because of it. We all know what happened to the AMC Pacer when they've ramped up production to meet demand. 

They've said they're maintaining the same quality, but the proof will be in the pudding.  I'm just glad they're aware of what many people are worried about.

[Lethal Seraph]

On 7/2/2018 at 12:58 AM, AskTJ said:

Wonder how many will sell.

All would sell, unless pre-ordering means something else.