Tesla hits 5,000-unit weekly production for Model 3


However, while the numbers are good, some of the methods Tesla has used to get them - including production "tents" - aren't exactly conventional, and they don't seem sustainable, either. Musk says that the standard AWD Model 3 will cost $5000 more than the single-motored auto, and will get to 60mph from a standstill in just 4.5 seconds.

Silicon Valley automaker Tesla said Monday that it has built 5,000 of its Model 3 electric sedans in a single week, a long-delayed goal and major milestone for a company pushing to prove it can mass-produce electric cars.

Tesla confirmed the contents of the email.

Tesla announced in June that it was cutting nine percent of its workforce to enhance profitability, but said the move would not affect an ambitious production ramp-up of its Model 3 sedan.

Not everyone thought it was possible, but Tesla towards the end of June finally manged to manufacture 5,000 Model 3 units per week. That, Tesla points out, is a 55-percent increase over Q1 2018, and in fact "the most productive quarter in Tesla history by far".

"Now that Tesla has achieved the 5,000 mark [for the Model 3], it needs to do so on a steady, routine basis and with excellent quality", Michelle Krebs, an analyst with car-shopping website Autotrader, was quoted by The Los Angeles Times as saying.

Shares of Tesla fell 2%, near 335.60 during midday trading on the stock market today.

More news: LeBron James makes his choice, signs 4-year deal with the Lakers
More news: Trump says he’ll announce Supreme Court pick July 9
More news: Over a Dozen States Suing Trump to Reunite Families - Cortney O'Brien

He thinks the company can reach production of 10,000 vehicles per week, or roughly a half-million per year.

But some analysts questioned whether the youngest and most valuable USA automaker could sustain the Model 3 production long term.

Despite working overtime, during now-mandatory weekend shifts, workers told Reuters they were pulled from other departments, disrupting production of the Model S and X lines.

Tesla says that the new, smaller Model 3 has a range of more than 220 miles, despite its less costly price and correspondingly lower battery capacity than big brother the Model S.

That suggests that Tesla was able to generally meet its production target through manual labour, rather than the automation Musk originally promised would make Tesla a competitive force in manufacturing.

Once people get their cars and start showing them to their friends and around their neighborhoods, and Tesla starts giving test drives, the number of people who have driven a Model 3 will skyrocket. The electric automaker also faced scrutiny for the large tents it had set up near its Fremont plant that housed some of the Model 3's assembly line components.

Because of the focus on the Model 3, the S line is about 800 cars behind, the worker said. Most recently in May, Tesla said that despite the delivery delays, its net Model 3 reservations - accounting for new orders and cancellations - exceeded 450,000 at the end of the first quarter.