Elon Musk had an encouraging update on Sunday when he announced that Tesla’s first mass-market car, the Model 3, would begin deliveries later this month on July 28th.
He wrote on his Twitter late Sunday that production would increase quickly. There would be 100 Model 3s vehicles produced in August and 1,500 more in September. According to Musk, it would be in December when Tesla starts producing 20,000 Model 3s vehicles a month.
Much has been riding on the success of the Model 3s as it would be Tesla’s ticket to becoming a producer of mass-market electric cars. The company’s luxury cars have been produced in small numbers up until now and have been selling for $90,000 and up.
The fact that the Model 3 is going to be priced around $35,000 gives it the chance to be made available to a much wider range of customers. In 2018, Musk has projected that it would put Tesla’s out put to 500,000 cars a year.
Tesla has built a huge factory in Nevada worth $5 billion in order to produce batteries fast enough to keep up with the line up.
Disclaimer: We have no position in Tesla Inc. (NASDAQ: TSLA) and have not been compensated for this article.