Tesla Refutes Report of Production Snags

Electric-car maker says it’s on track to meet Model 3 production goals outlined earlier in the month.

byKate Gibson| UPDATED May 11, 2021 2:14 PM
Tesla Refutes Report of Production Snags

Tesla is on schedule to make its production goals for the Model 3, the electric-car maker said in refuting a CNBC report of more delays and quality concerns for its latest sedan. 

In a nearly 750-word emailed statement, a spokesperson for Tesla called the report "misinformed and misleading," and said the company is "on trackwith the previous projections for achieving increased Model 3 production rates" given earlier in the month.

Tesla's difficulties in manufacturing batteries at its Sparks, Nevada, Gigafactory are harder than the company has acknowledged, according to CNBC, which cited company employees.

Tesla at times resorted to making batteries by hand and taking on as temporary workers employees from one of its suppliers, CNBC reported.

"Until we reach full production, by definition some elements of the production process will be more manual," said Tesla in its emailed statement.

Tesla this month postponed for a second time setting a production target for the Model 3.

It now plans to produce some 2,500 Model 3s a week by the finish of the first quarter and anticipates hitting 5,000 vehicles a week by the end of the second quarter.