As Model X and Model S sales soar, Tesla is still struggling with Model 3 production.
Tesla’s inability to meet production deadlines is a reputation the company deservedly can’t shake. Even though Tesla executives promised that things would be different with the Model 3, Tesla this week revealed that it was once again pushing back its production schedule for the Model 3. Specifically, Tesla is now aiming to manufacture 5,000 Model 3 units per week by the end of June. Previously, Tesla was hoping to reach the 5,000/per week rate by the end of March. And before that, Tesla claimed it would be able to reach that threshold by December. In short, Tesla’s initial Model 3 production goal is about six months behind schedule.
“As we continue to focus on quality and efficiency rather than simply pushing for the highest possible volume in the shortest period of time,” Tesla said in a press release, “we expect to have a slightly more gradual ramp through Q1, likely ending the quarter at a weekly rate of about 2,500 Model 3 vehicles. We intend to achieve the 5,000 per week milestone by the end of Q2.”
The good news, though, is that production improvements are being made. During the company’s third quarter, Tesla manufactured 260 Model 3s. By way of contrast, Tesla during the recent holiday quarter bumped up production to 2,425 units. What’s more, Tesla said that it saw an appreciable increase in Model 3 production rates towards the end of 2017. Currently, Tesla claims that production stands at about 1,000 units per week. While that’s clearly not where Tesla wants to be, it’s certainly an encouraging step in the right direction.
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