Forget Nevada? Tesla Looks to Fremont for Model Y Production

Steph Willems
by Steph Willems

After claiming, via official channels, that its Nevada Gigafactory would likely become the site of Model Y production, Tesla seems to have changed its mind on where to build its upcoming crossover.

During a weekend podcast, Tesla CEO Elon Musk said production of the vehicle will likely take place where all other Teslas are built. It might not even require a tent.

As reported by Bloomberg, Musk’s remarks came during a recent “Ride the Lightning” podcast hosted by Model 3 owner Ryan McCaffrey. Forgive this writer for avoiding said podcast like the plague.

“Right now our default plan actually is to produce the Y at Fremont,” Musk said. “I was skeptical about whether this made sense at first but my team convinced me the fastest way to get to volume production is to do the Y at Fremont.”

In April, Tesla and battery partner Panasonic froze plans for further spending (and expansion) at the automaker’s Nevada Gigafactory. At Fremont, home of the Model S, X, and 3, Tesla ramped up production of the Model 3 last year by employing an assembly line built in an outdoor tent. It seems the Model Y, which boasts a slightly larger footprint than the Model 3 and slightly reduced range, may avoid a similar fate.

According to current and former employees who spoke with CNBC, Tesla plans to move assembly of the Model S and X to a single line, freeing room for indoor Model Y production. Both models have seen sales crater in the wake of the cheaper Model 3’s release. The same employees claim the company no longer employs nighttime or weekend shifts for the production of these models, adding that Model Y equipment orders have barely begun.

Following last quarter’s dismal deliveries and earnings reports, as well as a share price that dropped precipitously, Tesla claims it will clamp down on unnecessary spending even more. At the same time, the company sought to raise over $2 billion via a sale of stock and convertible notes. Cash raised, Musk reportedly said, will tide the company over for 10 months.

The Model Y is expected to reach production in late 2020.

[Image: Tesla]

Steph Willems
Steph Willems

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  • Gasser Gasser on Jun 03, 2019

    With falling volume of sales, it makes sense to consolidate production at Fremont. It seems to me that Tesla’s biggest problem is that almost all of the “early adopters” have adopted. Here in Los Angeles, new cars get a paper registration number until the metal plates arrive. I have seen many Model 3 that are brand new, but I haven’t seen any new Model S or X in weeks. I wonder how those sales are going?? With very limited refresh to Model S and the fact that most were purchased (not leased, due to banks’ inability to forecast resale values), why buy a new one after 3 or 4 years? As to the Model X, I have two acquaintances who have dumped theirs, due to disgust with the gull wing doors, both problems with closure and problems with passengers whacking their heads on entrance and egress.

  • EGSE EGSE on Jun 03, 2019

    Off-topic but may be of interest to a few here. An acquaintance with a Model S P90D made some runs at the local strip last month. Three passes all 12.43 to 12.45 for 1/4 mile.. No info on trap speed. Each pass drained ~2% from the battery. For reference a Dodge Viper turned a best of 12.9 at the same strip and with times much less consistent between runs.

    • See 5 previous
    • EGSE EGSE on Jun 03, 2019

      @jack4x There was no word on the Viper's age, condition or the skill of the driver. It was a test and tune day and a lot of folks just show up to get a few timing slips. If I was given a choice between a Tesla or Viper to make a few 1/4 runs it'd be the Viper for the grin factor, no question.

  • Analoggrotto More useless articles.
  • Spamvw Did clears to my '02 Jetta front markers in '02. Had to change the lamps to Amber. Looked a lot better on the grey wagon.I'm guessing smoked is illegal as it won't reflect anymore. But don't say anything about my E-codes, and I won't say anything about your smoked markers.
  • Theflyersfan OK, I'm going to stretch the words "positive change" to the breaking point here, but there might be some positive change going on with the beaver grille here. This picture was at Car and Driver. You'll notice that the grille now dives into a larger lower air intake instead of really standing out in a sea of plastic. In darker colors like this blue, it somewhat conceals the absolute obscene amount of real estate this unneeded monstrosity of a failed styling attempt takes up. The Euro front plate might be hiding some sins as well. You be the judge.
  • Theflyersfan I know given the body style they'll sell dozens, but for those of us who grew up wanting a nice Prelude Si with 4WS but our student budgets said no way, it'd be interesting to see if Honda can persuade GenX-ers to open their wallets for one. Civic Type-R powertrain in a coupe body style? Mild hybrid if they have to? The holy grail will still be if Honda gives the ultimate middle finger towards all things EV and hybrid, hides a few engineers in the basement away from spy cameras and leaks, comes up with a limited run of 9,000 rpm engines and gives us the last gasp of the S2000 once again. A send off to remind us of when once they screamed before everything sounds like a whirring appliance.
  • Jeff Nice concept car. One can only dream.
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