📺 Stream EntrepreneurTV for Free 📺

Tesla Model 3 Moves to 24/7 Production Elon Musk is serious about reaching 6,000 cars per week by June.

By Matthew Humphries

entrepreneur daily

This story originally appeared on PCMag

via PC Mag

Yesterday, it was revealed that Tesla intended to stop Model 3 production for up to five days. The reason given was to improve automation. However, a letter sent by Elon Musk to employees reveals the real reason for the pause in production: Tesla is upgrading the plant for round the clock production from next week.

As Electrek reports, in the letter Musk confirmed that Model 3 production had reached 2,000 per week, which is double that attained in January. The goal is to reach 5,000 per week no later than June 30, but in order to achieve that and allow for a margin of error, Musk is setting the new goal of 6,000 per week by that date.

Going from 2,000 to 6,000 in just over two months would be very optimistic if not for the fact Tesla is also introducing another shift to the production line, meaning the Model 3 will be manufactured 24/7 in Fremont. Tesla's general assembly, body and paint teams will all add a third shift and require more people. Tesla is expecting to employ an extra 400 people a week for several weeks across its entire operation to help support that.

The letter goes on to talk about improving the build precision of the Model 3 to exceptional standards and how Tesla needs to become profitable. With that in mind, "we will be far more rigorous about expenditures" and all contracts with third-parties will be reviewed. Musk describes the contractor situation within Tesla as being like a "Russian nesting doll" and that some perform "worse than a drunken sloth." So expect some big changes on that front soon.

There's a suggestion of one more pause in production during May for further upgrades, but beyond that Model 3 production just got serious. Six-thousand by the end of June does indeed look achievable if 24/7 production works without a hitch. That also means the dual motor version could still happen in July.

Matthew Humphries

Senior Editor

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Growing a Business

Why Podcasting Can Now Boost Your Bottom Line More than Ever

This format boasts bigger-than-ever audience size and listenership advertiser enthusiasm, and now is the time to take advantage.

Business News

Gen Z Is Increasingly Turning to Trade Schools as a Fast Track to Entrepreneurship and an AI-Proof Career

Trade school enrollments increased last year as undergrad degree completion dropped.

Business News

These $1 Bills Could Be Worth $150,000 — Here's How to Check If One Is in Your Wallet Right Now

There are an estimated six million of these erroneous bills in circulation.

Side Hustle

When This Entrepreneur Couldn't Decide What to Name His Business, He Started a $2,000-a-Month Side Hustle to Help — Now It Earns Over $10 Million a Year

Darpan Munjal, founder and CEO of AI-powered startup ecosystem Atom, offered $50 to anyone who could help with the creativity block.

Business News

Domino's Pizza Is Paying Customers Back When They Tip Their Delivery Drivers

The chain rolled out its new "You Tip, We Tip" initiative on Monday.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.