Tesla Inc. On Course To Start Model 3's Volume Production By September - watsupptoday.com
Tesla Inc. On Course To Start Model 3's Volume Production By September
Posted 25 Feb 2017 03:57 PM

Earlier this month it was reported that Tesla Inc. planned to begin test-production of the India-bound Model 3 on 20 February. The reports followed the company's decision to temporarily shut down production at its California assembly facility this month in order to brace for production of the Tesla Model 3 sedan. Elon Musk, CEO, Tesla Inc, had previously announced that upcoming car's production will start in July 2017 - a timeline that had been deemed too ambitious by analysts and suppliers. However, the electric carmaker said on Wednesday that the mass-market Model 3 sedan was on track for volume production by September. Musk also said the public might not see the final version of the Model 3 until as late as July, when limited production begins.

While the announcement encouraged investors, Elon Musk told analysts on a conference call that he may ask Wall Street for more as the carmaker's operations continue to burn through cash. Musk, on a conference call with investors, said, "According to our financial plan, no capital needs to be raised for the Model 3 but we get very close to the edge. We're considering a number of options but I think it probably makes sense to raise capital to reduce risk."

Tesla said it would produce over 5,000 units of the Model 3 per week "at some point in the fourth quarter", and 10,000 vehicles per week "at some point in 2018". Several investors and suppliers aren't convinced and predict that Model 3's volume production will be delayed until 2018. Nonetheless, Musk reiterated that Tesla still intended to deliver 500,000 cars in 2018 and 1 million vehicles by 2020.

The Tesla Model 3, which broke cover last year, will arrive in India too. Though there is no information about when the company intends to launch the sedan here, Elon Musk recently announced, via Twitter, that he was 'hoping' it would happen this year.

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