Amid Model 3 Production Bottlenecks, Tesla Fires Hundreds Of Employees
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It likely isn’t much of a shock, but the start of Tesla Model 3 production has been anything but smooth. CEO Elon Musk already prepared eager owners after saying the Model 3 is deep in “production hell.”
The production woes are likely due to the Model 3’s welding process. Tesla, which has used all aluminum bodies with its Model S and Model X electric cars, uses steel and aluminum in the Model 3. Therefore, the process requires more welding, and analysis from Automotive News shows the electric-car maker is having difficulties with the process.
After Musk posted a video of the Model 3 running down the production line at one-tenth of its potential speed, Michael Tracy, an automotive manufacturing consultant, broke down what he saw. The video shows sparks flying as robotic arms perform the welds, something Tracy says isn’t ideal.
“Resistance welding should make a little smoke, but when you see stuff popping out like that, that’s called expulsion,” he said. “It’s symptomatic of weld spots getting too hot because they’re poorly planned, or in this case, the metal not being pulled all the way together.”
Tesla built just 260 Model 3s in quarter three of this year after it expected to assemble 1,500.
Meanwhile, Tesla fired hundreds of employees at various levels of the company after performance reviews. According to Reuters, the company let “about 400” people go.
It’s a critical time for Tesla. Competitors continue to close in on the company’s once-competitive advantage. Specifically, General Motors’ Chevrolet Bolt EV is already available nationwide and it will launch two new battery-electric cars in the next 18 months. It plans for 20 new electric cars by 2023.
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This has nothing directly to do with GM. Why is this uploaded to a blog dedicated to GM news?
With the battle for number one US auto manufacturer, and the direct competition with the Model 3 and the Bolt. It is very relative to GM news.
John, you’re absolutely correct. If we all cast our minds back over the past several months, Tesla has had a number of difficulties, which Elon Musk has been able to talk his way out of. There’s no doubt that he’s a good salesman. GM goes about business in a far quieter fashion and they get the job done. Truthfully, I cannot see so far into the future as to envision 455,000 Model 3’s on the road. At what point to future Tesla buyers become disillusioned with such long wait times as those which are now anticipated. The missus and I will be moving into an electric car next time we buy, and I do believe it will be a Chevy Bolt.
here is an article concerning model 3 production. according to this, they are having problems with welding steel.
http://www.autonews.com/article/20171016/OEM01/171019743/why-is-tesla-struggling-with-the-model-3
Tesla is all hat and no cattle.
The longer this goes on the more critical it becomes.
They are having issues on welding and assembly. They also will have more issues as they short cut their way to production.
Then there are the risk of quality issues like the X model. Also the S is having more issues than in rather past.
The more the main line automakers get into the segment the smaller the pie will get. They have deeper pockets and more profit making models so they have a much more secure base.
Looks to me like Musk is ready to move all production to his and Obama’s favorite…..China.
Ace, is Musk considering doing this do you know? Has he stated it publicly? If he did, I think it would reduce his credibility very substantially. Should that happen, I can see a few hundred thousand orders being cancelled.
Parts content in TESLAS are 50% or more foreign, with most of the foreign parts being made in Asia. Panasonic manufactured most batteries for the Model S in China.
He recently landed a deal with China to build factories there. If Hilliary won the White House, she would have allowed China to join the TPP…..by the way….Musk told Obama to make sure that Chile was included in the TPP…..Chile is world’s #1 supplier of Lithium.
The other reason why an article about TESLA appeared on this GM site is because all the big auto manufacturers know that Obama’s EPA targeted Volkswagen Audi Porsche as a favor to Musk. Sooner or later the truth will come out. This is why GM sold off it’s European brand….because when the truth does come out, no one in Europe will want to buy an American brand.
Obama spends a lot of time with Musk. In fact, Michelle was without her BO on Valentine’s night for the past four years. Here are Michelle’s top three Valentine night songs:
3. I Touch Myself (Devinyls)
2. She Bop (Cindy Lauper)
And…..the #1 song Michelle plays to herself all Valentine’s night long (Or for as long as the batteries last)……
1. Good….Good…Good….Good Vibrations.