Tesla Inc.-Musk Exudes Confidence in Attaining a Production Rate of 5,000/Week for Model 3 by July

Currently, Tesla Motors Inc (TSLA US) offers only a single version of its Model 3 with black interiors and a rear wheel drivetrain.

Many prospective customers of Model 3 are waiting for a dual motor powertrain that would make Tesla Model 3 an all wheel drive car all the time, as opposed to the currently available rear-wheel drive configuration only. That would also speed up the car and allow Tesla to charge more for it. It should not be surprising then that some customers are asking questions about their preferred model. In response to a customer query about the dual-motor powertrain, in a series of tweets in the wee hours of April 08, 2018, Elon Musk reiterated his goal of achieving 5,000 Model 3/ week by July 2018, prior to adding additional complexity to the production line of Model 3 to produce dual-motor cars.

Musk said, and we quote,

We need to achieve 5k/week with Model 3 before adding complexity that would inhibit production ramp. So probably July.”

We view this as a positive development because it appears to suggest that Tesla is on track as anticipated by us and as per its revised guidance outlined in its 2017 10K form.

We remain hopeful of Tesla achieving its production targets as discussed in Tesla Inc.-Defying Gravity: Tiangong-1 or Voyager-1, notwithstanding legitimate concerns expressed by others mentioned in Tesla Model 3 Component Orders Remain Choppy in Q2, and in Tesla, Apple and the Folly of Trying to Dominate Ecosystems , and also in Tesla Up 6% on Tuesday Following a Model 3 Surprise .

The image below reproduces the tweets cited in our update which is also accessible at the following link https://electrek.co/2018/04/08/tesla-model-3-dual-motor-planned-july-elon-musk/ .

 

Musk Focuses on 5,000 Model 3/ Week

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