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Tesla achieves model 3 production at 1000 / day, pushes to maintain it and reduce costs

Tesla has achieved its goal of producing 1,000 model 3 cars in one day, which will result in 7,000 units per week, but it now focuses on maintaining production speed and reducing costs.

As we reported earlier this month, CEO Elon Musk said he should go the entire Model 3 production line, from battery production to final assembly on 27 and 28th of this month in an email sent to Electrek employees,

Han said that all production subsystems must be capable of producing 50 units per hour, which he considers necessary for 1000 cars per day, at the end of his second day on the line.

Musk confirmed in a new email to employees today that Tesla achieved the production rate of 1[ads1],000 model 3 in one day.

But now they must be able to maintain the production rate, which has been a problem for Tesla after achieving new production levels.

Musk told employees today:

"If you are able to help in any way to get Model 3 production at a regular 1000 a day with excellent quality, everyone at the company should take this into account as a top priority. Body production now appears to be our limiting factor, so it needs the most support right now. Notice simplification and reduced cycle time first and then uptime. "

After they manage to maintain this production rate over time , Musk wants Tesla to focus on reducing the price of model 3 to produce standard model 3 of $ 35,000.

CEO added:

"It's important to keep in mind that the cost of the car consists of about 10,000 unique parts and processes. Depending on how you count it, today's cost for a standard range of model 3 will be around $ 38 000, so each part or process step only costs around $ 3.80. That means finding cost-effectiveness is a game of pennies, though it may not work. "

Musk said that very small efficiency improvements, such as" better packing density or rearrangement of process flows to fewer forklift trucks "can have a big impact if everyone is working on it.

CEO said last month that the Model 3 model of $ 35,000 is "probably less than 6 months away."

Electrek's Take

The ability to maintain new production speeds after Model 3 after Short-term outbreak has been a real problem for Tesla.

With a new potential production capacity of 7,000 units per week, it is also likely to be a problem.

Not only on Tesla's side, but also for its suppliers who have previously been burned by the company's unstable production.

That said, Tesla reaches the ramp with no clear timeline for reaching the ultimate goal of 10,000 Model 3s per week.

It seems that focus is n It will also be encouraging to see Tesla focus on producing standard $ 35,000 model 3, which has been one of the biggest criticisms of the vehicle program.

At a price of $ 38,000, they are not really too far away in my opinion. As production increases, they will achieve improved economies of scale. And with the upcoming new battery module design, they should probably be able to make a $ 35,000 version profitable for the next 6 months.

Also, we have to keep in mind that very few cars will be sold to $ 35,000 for alternatives. 19659003] What do you think? Please let us know in the comments section below.

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