30 May, 2019

‘Catch up’ says Tesla CEO to employees

Tesla’s CEO Elon Musk believes the company can still deliver a record breaking Q2 if they can catch up on deliveries.

‘While our demand is strong, we have a lot of vehicle deliveries to catch up to in order to have a successful quarter’

Tesla’s record of 90,700 vehicles produced in a quarter was achieved in the final quarter of last year. This is in line with the current target of 7,000 vehicles per week but the company remains adrift with just 900 cars being produced per day.

Musk wrote in a company-wide email: ‘While our demand is strong, we have a lot of vehicle deliveries to catch up to in order to have a successful quarter,

‘Per my earlier email, if we execute well, Q2 will be an all-time record for Tesla vehicle deliveries and an awesome victory!!’

Futureproof

While demand has been a problem for the carmaker, with Tesla dropping the price of its Model 3 earlier this year, a new study has suggested Tesla will retain market dominance in the emerging US electric vehicle (EV) landscape.

The study, by research firm IHS Markit, looks ahead to the EV market in 2026 and accounts for growing EV manufacturers acting as competition for Musk’s company.

If the report proves to be accurate in 2026, 48 brands will sell a total of 16.8 million vehicles (including EVs), which works out to an average of 350,000 sales per brand in the overall market.

IHS automotive analyst Stephanie Brinley said: ‘Increased choice and availability will drive sales growth, but the number of vehicle introductions is initially outpacing demand for the electric propulsion option.’

Tesla is expected to deliver between 360,000 and 400,000 electric cars this year, decimating the competition, and will even challenge the mainstream brands going forward.