Industry analysts are expecting more Tesla Model 3 delays.
It seems that the experts are not too keen on Tesla hitting their production targets. A few weeks ago Elon Musk promised shareholders that Tesla would be up to producing 2,500 Model 3s per week, but now it looks like Tesla might not even reach half that target.
According to industry analysts speaking with Bloomberg, actual production figures for the Model 3 could range anywhere from 800 cars to 2,000 cars per week, depending on who you ask.
Gene Munster, an analyst with Loup Ventures, is the most optimistic of the bunch, expecting Tesla’s manufacturing to have made between 1,500 and 2,000 Model 3s last week. But even his optimism is tempered with reality.
“It’s going to be worse before it gets better,” Munster said. “They’re probably going to miss their Model 3 number in terms of what the Street is at. I don’t think it’s going to be a surprise to investors.”
However, Munster also had insight as to how Tesla CEO Elon Musk will spin things to look more positive.
“It’s rare you have a car that has the kind of pre-orders that the Model 3 has,” Munster said. “They don’t break that out anymore but it’s probably somewhere around 400,000 pre-orders and so there’s more demand than supply, so I think that [Elon Musk] will emphasize that.”
Rod Lache, another analyst speaking to Bloomberg who works with Deutsche Bank, was even less optimistic. He estimates actual production to be anywhere from 800 to 1,100 cars per week.
Bottlenecks in manufacturing caused by faulty components have led to continuous delays in the Model 3’s production. Internal memos with the company reveal that current production is hovering around 200 Model 3s per day, but Tesla is pushing hard to bring that number up to 300.
“The world is watching us very closely, to understand one thing: How many Model 3’s can Tesla build in a week?” Tesla Chief Engineer Doug Field wrote in an email to employees. “This is a critical moment in Tesla’s history, and there are a number of reasons it’s so important. You should pick the one that hits you in the gut and makes you want to win.”