The Tesla Model 3 Thread

Tesla Model 3 detailed: all the key facts and figures

The Tesla Model 3 has finally been officially revealed, with Elon Musk’s automotive firm sharing all the key facts and figures of its first mass-market vehicle.

Although a date for local introduction has yet to be revealed, Tesla CEO Musk last year confirmed that the Model 3 would eventually be offered in South Africa. But don’t expect it to soon, since the company has already said that initial right-hand-drive markets will receive their first shipments only in 2019.

So, what has the firm revealed about what will be it most affordable electric car? Well, Tesla says the Model 3 boasts enough interior space to “comfortably fit five adults and all of their gear”, and was “designed to achieve the highest safety ratings in every category”.

It measures 4 694 mm long, with a wheelbase of 2 875 mm. Width comes in at 1 849 mm, while height is listed as 1 443 mm and ground clearance at 140 mm.

Pricing in the United States will start at $35 000 (about R455 000), with the base model boasting an estimated range of 220 miles (354 km). Using one of Tesla’s Superchargers will allow 210 km of range to be added in just 30 minutes, while charging rates at home (240V outlet, 32A) will be around 48 km of range per hour.

The entry-level Model 3 will accelerate from 0-60 mph (0-96,6 km/h) in a claimed 5,6 seconds, before topping out at 209 km/h.

Inside, you’ll find a 15-inch touchscreen display (and virtually no physical buttons), dual-zone climate control and a centre console storage system with two USB ports. Other standard features include navigation, Wi-Fi and LTE internet connectivity, keyless entry and a reversing camera.

Safety features include as many as eight cameras, forward radar and twelve ultrasonic sensors, as well as six front row and two side curtain airbags, electronic stability and traction control, disc brakes all round and tyre pressure monitoring. The warranty in the US covers four years or 50 000 miles (a little over 80 000 km), while the standard battery is covered for eight years or 100 000 miles (approximately 160 000 km).

Specifying the long-range battery – which boosts claimed range to nearly 500 km – adds another $9 000 (almost R120 000) to the price, with the battery warranty increased to 120 000 miles (about 190 000 km). This also drops the claimed sprint time to 5,1 seconds and increases the top speed to 225 km/h.

All manner of others options will also be available, from a Premium Upgrades Package (essentially a posher cabin) to Enhanced Autopilot and even Full Self-Driving Capability.

http://www.carmag.co.za/news_post/tesla-model-3-detailed-all-the-key-facts-and-figures/

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Tesla Finally Launches Model 3

The official launch of Tesla's entry-level Model 3 took place at the tech company's Fremont facility in California at the weekend, where the first 30 customers of the business class EV took delivery of their vehicles.

Production of the Model 3 is expected to ramp up significantly during the remainder of 2017 with the bulk of orders being delivered during the course of 2018 and beyond. Last year, it was reported that Tesla added South Africa to its Model 3 order book and we have reason to believe that the Model 3 will only arrive in South Africa later in 2018 or most likely in 2019.

Key details

There are 2 derivatives of the battery-powered Model 3 on offer. The standard version offers a range of 354 km and can accelerate from 0 to 100 kph in 5.6 seconds with a top speed of 209 kph. Alternatively, the Long Range model has a range of 498 km with a zero to 100 kph sprint time of 5.1 seconds and a top speed of 225 kph.

As for charging, the standard Model 3 will gain 209 km range from a 30-minute charge using a Tesla Supercharger while a 240V household outlet at 32A will charge at a rate of 48 km per hour. As for the Long Range derivative, 30 minutes on a Tesla Supercharger will yield 274 km while a household outlet will charge at a rate of 60 km per hour.

A 15-inch touchscreen display is the main attraction in the Model 3 and controls all the vehicle's functions.

Standard specification for the Model 3 includes a 15-inch touchscreen display, dual-zone climate control and cloth seats. The interior can be further upgraded with an optional Premium Upgrades Package, which adds features such as 12-way electrically adjustable and heated front seats, open pore wood trim, 2 rear USB ports and a premium sound system, to name a few. Each car is equipped with autonomy equipment including 8 cameras, a forward radar and 12 ultrasonic sensors to enable collision avoidance and automatic emergency braking.

Tesla's Autopilot feature is offered as an option and allows the Model 3 to drive itself within a lane, conduct automatic lane changes, transition from one highway to another, exit a freeway and self-park when you reach your destination. Tesla says that more features will be added via software updates and full self-driving capability will be offered in the future.

The Model 3's exact arrival in South Africa is yet to be confirmed, but 2019 is likely.

The Tesla Model 3 rides on 18-inch alloy wheels as standard while 19-inch wheels are offered as an option. A Solid Black exterior colour is standard while other colour options include Midnight Silver Metallic, Deep Blue Metallic, Silver Metallic, Pearl White Multi-Coat and Red Multi-Coat.

To give you an idea of price, the standard Model 3 is selling for $35 000 which equates to about R455 000 while the Model 3 Long Range is priced at $45 000 which is about R585 000.

Tesla’s distribution model for South Africa is yet to be confirmed and considering the vast area that South Africa covers, charging stations for the Model 3 is something that will have to be addressed by the automaker.

We will keep you updated as more information becomes available. Are you excited to see the Tesla Model 3 in South Africa? Share your thoughts with us!

http://www.cars.co.za/motoring_news/tesla-finally-launches-model-3-/43041/
 
Tesla Model 3 Performance model due in 2018

Tesla CEO Elon Musk has revealed that a Model 3 Performance variant will be launched in the middle of next year, so long as the brand can cater to what is the highest level of demand it has experienced yet.

In a Tweet, Musk said that the "Focus now is on getting out of Model 3 production hell", but explained that adding more versions now would push the brand "deeper in hell" - suggesting it would hold the Performance's launch until output was comfortably meeting demand.

He refrained from revealing more about the Model 3 Performance's potential, but the hot version is expected to stick to Tesla's usual range-topping formula of using a dual-motor, all-wheel drive powertrain. The Model 3 is more than 400kg lighter than the Model S, so it could become the brand's quickest car.

Musk handed over the first customer Model 3 to its owner at an event last Friday, where he also pledged to meet the massive customer order demand for the car with an ambitious production schedule.

Musk confirmed that production for the Model 3 is already in full swing at Tesla's Gigafactory in Nevada, US. It expects to build 100 cars in August, before growing output to 1500 cars in September. The plant will reach maximum pace from December, when it'll be able to produce 20,000 cars per month. However, right-hand drive models won't begin production until 2019. If Tesla hits its planned production of 500,000 cars a year from the factory, analysts predict that it will outsell BMW, Mercedes and Lexus in the US.

https://www.autocar.co.uk/car-news/new-cars/tesla-model-3-performance-model-due-2018
 
Demand doubles Tesla revenue but company's losses continue to grow

Electric car maker’s fast-selling Model 3 has surged income - but it can’t offset the cost of ongoing investment

Tesla has more than doubled revenue in the second quarter (Q2) of 2017 thanks to significant increases in customer deliveries.

The American brand recorded total revenue of almost $2.8 billion (£2.12bn) between March 30 and June 30, more than $1.5bn (£1.13bn) on top of what it achieved in the same period of 2016.

Tesla attributed much of its revenue growth to a surge in customer vehicle deliveries, which have just grown to also include the heavily in-demand Model 3. Deliveries grew by 53% compared to Q2 of 2016 – something Tesla said was unique in an otherwise “flat luxury vehicle market”, with 22,026 Model S and Model X deliveries in Q2 of 2017 growing the brand’s year-to-date deliveries to 47,077.

Tesla’s automotive operations contributed 93% to its revenue this Q2.

Ongoing investment into its battery-producing Gigafactory in Nevada, as well as research and development for future models, has led to it accruing losses of $336 million (£254m) in the three-month period, up from $293m (£221m) in 2016.

However, the brand’s overall progress has resulted in an 8% increase in its share prices.

Tesla expects demand for its Model S and Model X to grow through the second half of 2017. It will ramp up production of its Model 3 to 20,000 units per month from December.

https://www.autocar.co.uk/car-news/...s-tesla-revenue-companys-losses-continue-grow
 
Tesla Model 3: Musk confirms 50kWh and 70kWh batteries

Tesla CEO Elon Musk reveals that a hot variant of his new electric BMW 3 Series rival is due in mid-2018

Tesla CEO Elon Musk has revealed that the Model 3 comes with 50kWh or 75kWh batteries, during a conference call for bondholders.

Musk revealed the specifications for the first time to allow potential investors to gauge the cost of production for the new all-electric car, deliveries of which have just begun.

A Performance variant is due in 2018, but Musk has previously stated that a more powerful 100kWh battery (which is the normal battery for Tesla Performance models) would not fit into the Model 3's smaller structure, suggesting it might only slightly increase the battery size of the current range-topping version.

The Model 3 Performance is due to be launched in the middle of next year, as long as the brand can cater for the high level of demand it has experienced for the new electric BMW 3 Series rival so far.

In a tweet, Musk said the "focus now is on getting out of Model 3 production hell". But he explained that adding more versions now would push the brand "deeper in hell" - suggesting it would delay the Performance's launch until output was comfortably meeting demand.

He refrained from revealing more about the Model 3 Performance's potential, but the hot version is expected to stick to Tesla's usual range-topping formula of using a dual-motor, four-wheel drive powertrain. The Model 3 is more than 400kg lighter than the Model S, so it could become the brand's quickest car.

Musk handed over the first customer Model 3 to its owner at an event at the end of July, where he also pledged to meet the massive customer order demand for the car with an ambitious production schedule.

Musk confirmed that production for the Model 3 is already ramping up at Tesla's Gigafactory in Nevada, US. It expects to build 100 cars in August, before growing output to 1500 cars in September. The plant will reach maximum production from December, when it'll be able to produce 20,000 cars per month. However, production of right-hand-drive models won't begin until 2019. If Tesla hits its planned production of 500,000 cars a year from the factory, analysts predict that it will outsell BMW, Mercedes and Lexus in the US.

https://www.autocar.co.uk/car-news/new-cars/tesla-model-3-musk-confirms-50kwh-and-70kwh-batteries
 
Tesla Model 3 (2019) Pre-Launch Review

The Tesla Model 3 is making huge waves in the States, however it's only likely to be available internationally in 2019 and its arrival date in South Africa is yet to be announced. We sent US correspondent Mark Harris to give Tesla's smallest car a whirl and see what it's all about.

Unless you were born this millennium, Elon Musk did not build the Model 3 for you. He built it for kids just learning to drive who have never known a world without touchscreen smartphones, wireless internet and streaming video.

Slipping behind the wheel of Tesla’s latest electric vehicle is like playing the world’s most stylish racing game. The cabin is spacious and bright, thanks to a panoramic rear window arcing forward. There is nothing so clumsy as a key or even a start button – the Model 3 wakes and unlocks when your smartphone approaches. Small dials on the steering wheel let you adjust it to suit but almost everything else is controlled on the 15-inch touchscreen.

Screen overload

Huge 15-inch touchscreen controls absolutely everything in the car.

Even if you work on a laptop all day, finding an identical display in a car is a jarring experience. The place where your eyes naturally look for the speedometer is just a plain expanse of sanded wood. Instinctively reach for the climate or audio controls and there’s nothing but plastic fascia. Maps look beautiful and streaming a podcast are effortless but no matter how clear the display or logical its menus, a touchscreen will never be as fast and intuitive as simply flicking open an air vent by hand.

Lucky, then, that nothing in the Model 3’s price range is as fast and intuitive as its glorious electric drivetrain. Even without the raw adrenaline punch of the Model S’s ‘Ludicrous Mode’ acceleration, the Model 3 is every bit as easy and fun to drive as its luxury predecessor. Floor the accelerator and the Model 3 springs into action with an enthusiastic hum. Steering is assured and road handling rock solid, the Tesla whipping around corners and shifting lanes with a mature confidence that belies its youthful styling.

Let up on the accelerator and the Model 3’s electric motor automatically slows the car, feeding the energy back into the battery. If you’re new to EVs, this strong regenerative braking can take a little getting used to, but it extends the car’s range and lets you negotiate urban streets without ever tapping the actual brakes.

Upgradable systems

You won't find a less fussy interior anywhere else.

Of course, Elon Musk’s ultimate aim is to have you moving around cities without touching any pedals at all. All Model 3s come with a suite of sensors to enable collision avoidance and emergency braking. If you’ve paid for the upgrade, a quick double-pull on the gear shift lever activates Enhanced Autopilot, Tesla’s state of the art semi-autonomous driving system.

In my brief drive near Tesla’s factory in Fremont, California, the Autopilot worked well rather than perfectly. Its radars and ultrasonic sensors detected some workers digging a hole by the side of the road but the car passed closer to them, and at a higher speed than I would have. The cameras also followed road lanes flawlessly, until the lane markings faded on the approach to a corner, forcing me to tap the brakes to take back control.

Tesla insists that today’s Autopilot is merely a driver assistance system, requiring you to pay attention and keep your hands on the wheel at all times. But the stripped-back interior and central touchscreen suggest something different – that fully self-driving technology is on the horizon and that the Model 3 is eager to serve as one of the very first autonomous taxis.

There is even a driver-facing camera mounted above the rear view mirror. This is not currently activated but it might be used to ensure drivers are staying alert, or further out to monitor passengers in a futuristic autonomous ride-sharing scenario.

Future proof

Make no mistake. If you buy a Model 3 today, you are investing in the future – and not just because Tesla’s notoriously sluggish production means you may not receive it for a year or two. Elon Musk has pioneered the idea of the car as something constantly evolving. Today’s Model 3 is a hardware platform that will probably receive dozens of software updates in the years ahead. Expect the ability to unlock new features – perhaps even faster performance or longer range – as well as changes to the display, safety improvements, and eventually Musk’s ride-sharing program to help you earn back some of the Model 3’s sticker price.

Tesla sells you the hardware, like a laptop and then the software the car runs is constantly updated remotely.

But for all this technology, Musk’s smartest move might have been wrapping up the Model 3’s mind-bending innovation in a modest, mass-market design. Anyone can appreciate the 3’s graceful curves, and its short, even stubby, nose is about as unthreatening as can be. Splash out on Tesla’s sporty wheels and metallic paint options and you’ve got a credible street racer but there is nothing here to scare off a suburban family. In fact, the generous rear seating, together with front and rear trunks, make the Model 3 a very practical choice for most.

More questions than answers

There are still many questions around the Model 3. What size are its batteries (Musk isn’t saying)? How much will using its global networks of Superchargers cost? What will the story be with servicing? When will full self-driving actually arrive? And if you’re fine coping with these uncertainties, there remains the biggest question of all: with around half a million pre-orders to fulfil, when will you be able to actually drive one home?

Musk hasn't given much in the way of details about the Model 3 or servicing or charging. People still flocked to buy one online.

Driving the Tesla Model 3 is like reviewing a shiny new laptop computer. The hardware is gorgeous, the finish is fine and it runs extremely smoothly. However, the Model 3’s success will ultimately come down to the software it runs – and that is still a work in progress. One thing is for sure. This is already the mid-range electric car to beat, and it’s getting better all the time.

Editor's note: Even though Elon Musk famously tweeted in 2016 that the Model 3 was earmarked for release in South Africa, the firm had not committed to an introduction date (and the establishment of local sales/service infrastructure) at the time this article was published. We have it on good authority that a handful of local motorists had put down deposits for the 3

Tesla Model 3 specifications

Engine: Electric motor, lithium-ion battery pack (kWh not stated)

Transmission: Single-speed direct drive, rear-wheel drive

Performance: Standard 5.8secs 0-100 kph, 210 kph top speed, 350 km range; Long Range version 5.3 secs 0-100 kph, 225 kph top speed, 500km range

Features: Wi-Fi/LTE, 15-inch touchscreen display, keyless entry, voice activated controls

Safety: Seven cameras, forward radar and twelve ultrasonic sensors (some features cost extra).

Weight: 1610 kg

On sale: 2019 (international)

http://www.cars.co.za/motoring_news/tesla-model-3-2019-pre-launch-review/43844/
 
It really is lovely looking. Can't wait until these are locally available.
 
Be that as it may I still think operating the entire vehicle from only a 15" screen is really pushing it. If you screen ****s out...you cant drive?
 
FiestaST said:
Be that as it may I still think operating the entire vehicle from only a 15" screen is really pushing it. If you screen ****s out...you cant drive?
Click to expand...

Yea look there's always going to be reliability things to consider. Like if your phone is flat you can't unlock, screen dies you can't drive etc. But that is the future and the sooner those types of solutions are on offer, the sooner any issues with them will be resolved. Someone has to push the envelope and they've been pretty successful thus far.
 
FiestaST said:
Be that as it may I still think operating the entire vehicle from only a 15" screen is really pushing it. If you screen ****s out...you cant drive?
Click to expand...
And on Audi and VW with their new fancy digitally customisable instrument cluster?
 
reactor_sa said:
And on Audi and VW with their new fancy digitally customisable instrument cluster?
Click to expand...

I get what you are saying. At least with all the relevant VW & Audi models bar the TT & R8 there is still the infotainment screen that runs the same MMI UI. Yes I know certain features cannot be transferred from VC to the MMI screen.

Like Urban said I guess there needs to be someone who pushes the boundaries. Tesla is remarkable good at doing that.
 
Tesla's Model 3 isn't only affordable EV on market

The Tesla Model 3 has captured the interest of both mainstream car buyers and electric vehicle enthusiasts alike.

The Model 3's combination of sleek styling, long range and semiautonomous driving features gives the Model 3 an "it" factor that's hard to resist. But with a base price of $35 000 or R500 000 , limited availability, and many of its most desirable features on the options list, the Model 3 isn't for everybody.

For buyers who are interested in an electric vehicle but don't want to wait around for the Model 3, several great alternatives are available now at a similar price point.

Some have shorter ranges while others lack the latest driver assistance features, but if you're interested in an electric car that won't take as long to arrive, these EVs are worth a look.


2018 Nissan Leaf

The Nissan Leaf was a game-changer when it debuted in 2011, so hopes are high for the redesigned 2018 model. The Leaf still doesn't have the long-range abilities of the Model 3, but its low base price gives it a level of attainability that most competitors can't match. In addition to its new look, the 2018 Leaf boasts a larger battery pack that increases maximum range from 172km to an estimated 240km. A more powerful electric motor bumps output from 80kW to 110kW for improved performance.

Two new features set the Leaf apart from its rivals. The first is called e-Pedal. It allows drivers to bring the Leaf to a complete stop merely by lifting off the accelerator. It makes for a one-pedal driving experience that eases fatigue in heavy traffic.

The second feature, called ProPilot Assist, combines several driver aids to provide a semiautonomous driving experience. Available on SV and SL models, ProPilot Assist maintains a set distance between the Leaf and the car in front, keeps the Leaf centered in its lane and steers through corners. Nissan notes that it's called ProPilot "assist," so drivers still need to keep their hands on the wheel and their eyes on the road.

Base price: Unconfirmed

Range: 240km (manufacturer estimate)

Recharge time: 8 hours on a 240-volt charger

Availability: Last quarter of 2018


2017 BMW i3

BMW's i3 stands out in more ways than one. Its funky styling hides a frame made of carbon-fibre-reinforced plastic, making it extremely tough yet lightweight. Inside, its cabin is decked out with natural materials, including real eucalyptus wood trim and leather treated with olive tree leaf extract. The i3 is sold with a choice of two battery sizes: the base 60-amp-hour version with 81 miles of range or the 94-Ah version with 183km of range. The 94-Ah model is also available with a small gasoline engine to further extend the i3's range when the battery runs out.

Base price: Available close to launch

Range: 130km to 183km (EPA estimate)

Recharge time: 4-5 hours on a 240-volt charger

Availability: Fourth quarter of 2018

http://www.wheels24.co.za/News/Gear...-3-isnt-only-affordable-ev-on-market-20170928
 
reactor_sa said:
And on Audi and VW with their new fancy digitally customisable instrument cluster?
Click to expand...
My issue comes with having no tactile feedback like you would get with a switch or dial. To operate the screen, you would have to give it more attention to hit that button or slider which means taking your eyes off the road. How often do you look when adjusting fan speed or volume. Vehicle infotainment systems have been notoriously bad that this no matter how much they try to simplify. There's always menus you need to navigate and that needs attention & concentration.
 
Tesla misses production target for Model 3

Tesla has missed its production target for the Model 3 sedan, the first mid-priced electric vehicle for the mass market in its lineup, the car maker announced Monday.

Only 260 of the sedans were produced in the third quarter due to "production bottlenecks," the company said, failing to meet founder and CEO Elon Musk's expectations of 1500 Model 3's delivered by September.

Coming to South Africa

The electric car maker started taking reservations for its mass-market sedan in March 2016, which is priced at $35 000 to start and is key to the company's plans to expand market share.

The company said it has received some 450 000 pre-orders for the Model 3. Production has been hobbled by a bottleneck in a handful of "manufacturing subsystems," according to a company statement.

"There are no fundamental issues with the Model 3 production or supply chain. We understand what needs to be fixed and we are confident of addressing the manufacturing bottleneck issues in the near-term."

Musk has previously predicted much higher deliveries for the Model 3 sedan by the end of the year.

"Looks like we can reach 20 000 Model 3 cars per month by Dec(ember)," Musk said on Twitter in July, when announcing deliveries of the first 30 of the highly-anticipated cars.

Tesla to debut heavy-duty truck

Not long after Tesla was founded in 2003, Musk said the plan was to use money from high-end electric vehicles to create more affordable offerings to make the technology the new automotive norm.

Tesla also planned to unveil a heavy transport truck later this month, further broadening its lineup.

"Tesla Semi truck unveil & test ride tentatively scheduled for Oct(ober) 26th," Musk wrote on Twitter last month. "Worth seeing this beast in person. It's unreal."

The company also announced Monday that it increased production of Model S and Model X vehicles to an all-time best quarter of 26 150 vehicles, and anticipated it would deliver 100 000 of the luxury models in 2017 - a third more than in 2016.

http://www.wheels24.co.za/News/Industry_News/tesla-misses-production-target-for-model-3-20171003
 
Tesla falls behind on Model 3 deliveries

Brand blamed ‘production bottlenecks’ for delivering just over one-seventh of its target in the third quarter

The Tesla Model 3 is facing a delivery setback due to ‘bottlenecks’ in the production process, according to the brand.

In the third quarter of 2017, 220 Model 3s were delivered, compared with Tesla’s prediction of 1500 stated in its second quarter report.

Tesla reassured stakeholders: “There are no fundamental issues with the Model 3 production or supply chain. We understand what needs to be fixed and we are confident of addressing the manufacturing bottleneck issues in the near term.”

The company aims to produce 5000 Model 3s by the end of the year and 10,000 by the end of 2018.

Despite the hiccup in deliveries of the Model 3, the overall Q3 delivery total of 26,150 cars was Tesla's best result to date. Deliveries were up 4.5% over the third quarter of 2016 and 17.7% over the second quarter of 2017.

The best-selling Tesla remains the Model S, with 14,065 delivered, while 11,865 examples of the Model X were delivered in the period. Despite the current bias towards saloons, the brand’s first small SUV, the Model Y, is expected to outsell its other models when it goes on sale in 2019.

It will have to prove hugely popular to outsell the Model 3, however; Tesla revealed that in the days following the Model 3 handover event, 1800 reservations were being made per day.

Tesla declined to comment on whether the delivery issue would delay the Model 3’s arrival in the UK. Currently, orders placed today will arrive in 12-18 months for right-hand-drive markets, while left-hand-drive cars arrive in 2019.

https://www.autocar.co.uk/car-news/new-cars/tesla-falls-behind-model-3-deliveries
 
Tesla posts $619 million loss in third quarter of 2017
Electric car company's worst financial quarter result yet comes from heavy Model 3 production spending amid build woes

The Tesla Model 3's production issues have contributed to Tesla posting a loss of £468 million in the last financial quarter.

The ‘bottlenecks’ which have delayed the delivery of the Model 3 in line with Tesla’s ambitious targets are being addressed, but there are still problems.

Tesla’s 5000-per-week target for Model 3 production has pushed back to late in the first quarter of 2018. Tesla will be clearer as to exactly when this will happen in its next quarterly report. For now, it's still uncertain when the problems will be alleviated.

“While we continue to make significant progress each week in fixing Model 3 bottlenecks, the nature of manufacturing challenges during a ramp-up such as this makes it difficult to predict exactly how long it will take for all bottlenecks to be cleared or when new ones will appear,” the company's latest report reads. Increasing orders for the Model 3 are both helping Tesla and exacerbating the problem.

Tesla's hesitant outlook comes as it celebrates total production of 250,000 cars since the brand’s birth in 2003, as well as the ever-stronger performance of the Model S and Model X; the two are on track to achieve 100,000 deliveries worldwide across the year. Overall, Tesla’s automotive revenue grew by 10% year-on-year compared with the same period in 2016.

It’s thought that given the level of investment in the production of Model 3, Tesla will likely post more encouraging financial results for investors once production gains momentum.

https://www.autocar.co.uk/car-news/new-cars/tesla-posts-619-million-loss-third-quarter-2017
 
Gigafactory gremlins delay Tesla production

Tesla has pushed back its target for volume production on the new Model 3 sedan by about three months, saying it was difficult to predict how long it would take to fix all the production bottlenecks.

The company, led by Silicon Valley entrepreneur Elon Musk, faces a crucial test in its growth strategy as it ramps up production of the Model 3, its new sedan that starts at $35 000 (R573 000), about half the price of its flagship Model S.

Although Tesla has made inroads among luxury car buyers with the advanced technology and innovative design in its Model S sedan and Model X SUV, it is the Model 3 on which its long-term viability rests. The company continues to burn through cash, and spent $1.1 billion (R18 billion) in capital expenditures in the third quarter of 2017.

It now expects production of the Model 3 to reach 5000 a week by late in the first quarter of 2018, from its original target date of December.

Battery problems

Tesla said the main constraint was its battery module assembly line at its Nevada Gigafactory, where the company had to redesign part of the production process.

"I was really depressed about three or four weeks ago," Musk said, adding that he is now optimistic because it is clear what needs to be done. "We are on it, we've got it covered," but it will take a few months longer than expected, he said.

Tesla made just 260 Model 3 sedans in the third quarter due to what it called "production bottlenecks". It had planned to build more than 1500. Production delays mean postponed income from sales, and could also worry the more than 500 000 customers who have put down a refundable deposit.

Cash-flow problems

Tesla could soon face major cash-flow problems, given the Model 3 delays, a possible factory in China, and plans to develop other vehicles, including an electric heavy duty truck.

But Musk said he did not expect any significant capital expenditure in China until 2019, adding that he envisioned a factory producing at least 200 000 vehicles a year for the Chinese market.

Tesla's continued need for cash is exacerbated by Musk's insistence on vertical integration, such as making its own batteries and selling cars directly to customers. That, industry experts say, is among the reasons Tesla is nowhere close to its aggressive goal of building 500 000 vehicles annually by 2018, most of them Model 3s.

Tesla delivered 26 150 vehicles in the third quarter of 2017, an improvement of only 4.5 percent over the same period in 2016.

https://www.iol.co.za/motoring/industry-news/gigafactory-gremlins-delay-tesla-production-11839431
 
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