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Tesla May Be Making Model 3s Faster Than Anyone Thought



Photo: AP
The Morning Shift All your daily car news in one convenient place. Isn't your time more important?

Forgotten jets, looming Brexit, and Tesla might be onto something with this whole "building cars" thing. All that and so much more for The Morning Shift of Tuesday, April 2, 2019. 1st Gear: Bloomberg Is Tracking Model 3 Production and Thinks It's Ahead

This is an odd one, as one of Tesla's weak points as is a car manufacturer, well, manufacturing cars. The model 3 notoriously went through "production hell," and that's what Tesla itself was calling it.

(The other problem is getting caught up in random bullshit like when Musk starts calling people pedophiles, but that's something for another day.]

In any case, this week Tesla will announce how many cars it has built this quarter, but Bloomberg thinks it has the story early thanks to a fancy tracker. Bloomberg itself reports:

An experimental tool built by Bloomberg to track the rollout of Tesla's Model 3 electric car suggests next week's production total could approach 80,000 cars, far higher than the average analyst estimate or 64,400, according to research firm Visible Alpha. The gap between Bloomberg's projection and the Wall Street consensus is more than $ 800 million worth of Model 3 cars.

Bloomberg goes on to point out that " experimental model, ”and elaborates that more cars than people might not be great:

Analysts believe the international rollout over the last few months will end up suppressing delivery numbers in time. On an earning callin January, Musk warned that about 10,000 cars could be stuck in transit at the end of the quarter and since then things appear to have gone further. Ships were delayed due to a worker's strike in Belgium, and China temporarily stopped deliveries after incorrect labels were discovered on some cars.

Undelivered cars don't pay the bills, and Tesla's finances remain under stress.

2nd gear: LOL

GM's recent plant closures made the news not just for being an extremely raw deal for American workers, but for maybe breaking GM's union deal. You see, GM claimed it "unallocated" these plants, not using language like "closure" as it would have been in violation of what it had agreed on with the UAW.

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GM thought it was smart. The UAW took GM to court.

Now, GM has asked for a federal judge to dismiss the case, as the Associated Press reports:

an agreement with union workers through its plans to idle three plants, including one in Ohio.

The Warren Tribune Chronicle reports GM's motion argues the United Auto Workers didn't exhaust grievance arbitration procedures contained in the contract.

Good luck with that, GM.

3rd Gear: NHTSA Investigating Three Million Hyundai / Kias for Bursting into Flames [19659009] This is a rough one, involving at least one death. NHTSA is opening two investigations, one on Hyundai and one on Kia for cars catching on fire. Worryingly, these are cases of fire breaking when cars have been involved in a crash, as the AP reports:

The U.S. government's highway safety agency has decided to open two new investigations into fires involving Hyundai and Kia vehicles after getting complaints of more than 3,100 fires and 103 injuries.

[…]

, cover non-crash fires in almost 3 million vehicles from the affiliated Korean automakers. The probes cover the 2011 through 2014 Hyundai Sonata and Santa Fe, the 2011 through 2014 Kia ​​Optima and Sorento, and the 2010 through 2015 Kia Soul.

Hyundai and Kia recently recalled 200,000 of these cars for catching fire, so we'll see how goes

4th Gear: Ford Cut 5,000 Jobs in Germany. Now Britain Is Waiting for an Answer

Ford's expecting things to get into Europe, and recently cut 5,000 jobs in Germany in anticipation. But Germany is only one of two main hubs for Ford in Europe. The other is the UK, and it is waiting for the other shoe to drop, as Reuters reports:

While the company has announced 5,000 job cuts in Germany, its second-largest European market, it has yet to make major decisions Britain, which is the biggest.

[…]

[Ford Europe chairman Steven] Armstrong said Ford has hedged against the possibility of a sharp fall in the value of the pound through the end of 2019, while stockpiling inventory would help bridge a one or two month period of potential chaos around Brexit.

"But it's impossible really to mitigate the financial impact in the longer term or no-deal," he said. Ford could try to pass on higher tariffs, but it would be difficult in Britain, where recession would mean falling sales, he added.

There is a number of things that we would try to do but the reality is … it would impact the whole of industry, not just Ford, "Armstrong said.

Basically, we know things will get bad, we just don 't know by how much. Very relaxing. Love how all this is going down.

5th Gear: Renault-Nissan Just Found Three Private Jets It Didn't Know About

The Ghosn investigation has turned up a lot over the past few months, and it may have its largest new reveal today, at least in terms of physical size. Renault thought it had one private jet. It found out during its investigation of Carlos Ghosn that it was actually four, as the Financial Times reports: ] Carlos Ghosn, the former chief executive of Renault and former chairman of Nissan, was known for a relentless travel schedule, often using a corporate jet that bore the registration number N155AN.

“It is not uncommon for me to leave Tokyo on on Friday night, attend meetings in another country over the weekend, then fly to Paris for a full week of work, ”he said in a 2017 profile on Nissan's website. "It helps that I can sleep well on an airplane."

[…]

People close to Mr Ghosn's family said: "This is another baseless attack from executives who knew all along that Nissan owned four planes and [who] flew on them personally. ”

I know it's too early to call, but I feel like you have to side with Ghosn's family on this one. What do you think of being a private jet? C'mon

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Neutral: Will Tesla Ever Become a Normal Car Company

Do you think Tesla will eventually smoothen out, either with or without Musk at its head, or do you think it will always be a non -standard kind of car company? Is it just enough to make EVs, or does Tesla have to do all its business out of the norm to survive?


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