Tesla introduced throughout its Q2 2023 earnings name on Wednesday that it’s sustaining its manufacturing goal of 1.8 million autos for this 12 months.
Whereas that is nice information for traders, Tesla did observe that manufacturing unit upgrades would happen in the course of the third quarter, probably inflicting a slight lower in manufacturing.
Tesla CEO Elon Musk advised traders that they need to count on decrease manufacturing figures for Q3 in comparison with the report outcomes posted in Q2, when the automaker produced 479,700 electrical automobiles and delivered 466,140 of them.
The explanation for the lower in manufacturing is the truth that a few of Tesla’s factories will shut down briefly this summer season to implement upgrades, Elon Musk defined.
“We proceed to focus on 1.8 million car deliveries this 12 months. Though, we count on that Q3 manufacturing will likely be a bit of bit down as a result of we have summer season shutdowns to – for lots of manufacturing unit upgrades. So, simply in all probability a slight lower in manufacturing in Q3 for kind of world manufacturing unit upgrades.”
Tesla’s Chief Monetary Officer Zachary Kirkhorn mentioned basically the identical factor later within the name.
“As we stay up for the remainder of the 12 months, I need to reiterate Elon’s feedback on Q3 volumes pushed by deliberate downtimes for manufacturing unit upgrades. These upgrades will even carry some quantity of manufacturing unit idle value. Nonetheless, we’re working to attenuate as a lot as attainable.”
The explanation behind the manufacturing unit shutdowns is probably going an improve of manufacturing and probably retooling.
We all know that Tesla is getting ready to launch two new fashions, the Cybertruck and the facelifted Mannequin 3 – the so-called Venture Highland – so the shutdowns are most probably associated to the efforts to industrialize these two new EVs.
Because the Mannequin 3 is constructed at two of Tesla’s crops – the Fremont Manufacturing facility and Gigafactory Shanghai – and since we’re coping with “kind of world manufacturing unit upgrades,” based on Musk, we are able to count on Venture Highland to be the primary cause for the manufacturing unit shutdowns coming this summer season.
We already know the Fremont Manufacturing facility is present process an overhaul, however Tesla is but to substantiate whether or not the road upgrades are for the Mannequin 3 Highland.
In the meantime, check prototypes of each autos proceed to be noticed throughout the USA – particularly in California and Texas – and even abroad, an indication that the testing course of is in full swing.