Elon Musk said Tesla’s $35,000 Model 3 would arrive by the end of 2018 — here’s why experts say that probably won’t happen (TSLA)
The Model 3 was presented as Tesla’s first mass-market vehicle, but so far, Tesla has only made premium versions of the Model 3 with long-range batteries.
Tesla CEO Elon Musk gave a timeline in May that suggested deliveries of the $35,000 base-priced Model 3 could begin between the end of September and the end of December.
But it’s more likely those deliveries will begin in 2019 as Tesla focuses on generating higher profits with more expensive models, according to Jeremy Acevedo, a manager of industry analysis for Edmunds.
Tesla declined a request for comment on this story.
The turbulent history of Tesla’s Model 3 has been well-documented. Praised by reviewers, but subject to production delays and reports of inconsistent quality, the vehicle has put pressure on Tesla to prove it can transition from a luxury automaker to a mass-market one.
In June, the company met a long-delayed goal of making 5,000 Model 3s in one week, but in addition to sustaining that rate of production, it has a new hurdle to clear: delivering the $35,000 base-priced version of the Model 3 that prompted Tesla to make the car in the first place. So far, the company has only made premium versions of the Model 3 with long-range batteries. The least expensive Model 3 currently available starts at $49,000, according to Tesla’s website.
In May, Tesla CEO Elon Musk suggested the company would start delivering the $35,000 model three to six months after reaching its 5,000-per-week production goal, which meant deliveries would start sometime between the end of September and the end of December. Musk pushed back that timeline in June, saying Tesla would start making $35,000 Model 3s near the end of 2018 and aim for mass production in 2019. Tesla is even more conservative on …read more
Source:: Business Insider