Tesla Memo Suggest Production Boost Incoming

tesla memo suggest production boost incoming

After posting a stinker of a first quarter, Tesla entered into a training montage and managed record-setting production output in Q2 — helping nudge its all-important share price back in the right direction.

Now, internal documents have shown the automaker is trying to position itself to further boost production at its California factory and might even bring some new staff on board. Question the legitimacy of this “leak” if you must, but that won’t change Tesla’s ultimate goal of more volume and happier investors in Q3.

According to an e-mail from the desk of Tesla VP Jerome Guillen intercepted by Bloomberg, the company is preparing to raise output in Fremont. “While we can’t be too specific in this email, I know you will be delighted with the upcoming developments,” he told employees. Not much of a bombshell but Tesla likely isn’t taking on staff out of the kindness of its heart.

From Bloomberg:

Tesla has said it plans to produce “significantly” more than the 360,000 to 400,000 vehicles the company expects to deliver in 2019. Output may reach 500,000 vehicles worldwide this year if its factory near Shanghai can reach “volume production” early in the fourth quarter, the company told shareholders in April.

Guillen wrote in his newsletter that several portions of the Shanghai plant are falling into place.

“The Stamping, Body, Paint, and General Assembly lines in China are well underway and hitting records in both line design and fabrication,” he said.

Guillen’s note urging employees to put the word out that Tesla is hiring may have come as a bit of a surprise. Musk announced plans to reduce headcount by about 7 percent in January and 9 percent in June 2018.

Some of those new hires will, no doubt, be helping build the Model Y crossover in 2020. But Guillen was intentionally vague with the details and requested that employees not share information with outside entities… you know, after telling them to spread the word about hiring.

“Do not share company information through email, Instagram, Facebook or Twitter. Leave that to Elon!” he wrote. “Once that information is public, feel free [to] retweet your heart out, share on IG or FB.”

Don’t worry, Jerome. We’ll keep a lid on things.

[Image: Nadezda Murmakova/Shutterstock]

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  • Vulpine Vulpine on Jul 11, 2019

    @tonycd: Might I recommend some research on the number of hard-shell buildings Tesla has added to the property? You seem to be sorely lacking on facts.

  • HotPotato HotPotato on Jul 15, 2019

    I wish Tesla would go private. Then they wouldn't have to dangle shiny objects (self-driving this! pickup-truck that!) in order to keep the ADHD-riddled junior-high drama class known as the "investor community" interested, and could focus on the only two things that matter right now: 1) getting Model 3 production volume up, and 2) launching a Model Y based heavily on the Model 3.

  • FreedMike Alfa had its’ shot in this market, and it didn’t work out. Of course, based on Alfa’s horrid history of reliability record, scathing quality related reports like this one certainly didn’t help. Yes, the base models weren’t that bad, but this kind of atrocious press was the worst possible thing for a brand that got drummed out of this market over quality issues. Besides, Dodge is a LOT more viable in this market than Alfa Romeo. Let the Europeans have Alfas.
  • Dukeisduke That charging station in the picture looks like it's nailed to the back of an old utility pole and weather beaten chest of drawers. Lol, WTH?
  • Dukeisduke Corey, do you have links for some of those ads? I'd like to be able to zoom in on them.
  • Dukeisduke A free Model T Touring Car? Heck, I'd take one of those, even today. The ABC radio news ad has a few names I recognize - columnist Walter Winchell (he later narrated TV's "The Untouchables"), Drew Pearson, who was an accomplished journalist and writer, Dorothy Kilgallen, a columnist who later appeared on game shows in the '50s, like "What's My Line?", and Hollywood gossip columnist Louella Parsons.
  • Dukeisduke The Hornet got plenty of hate on Instagram when Dodge announced it the other day, mainly from people who want Dodge to build nothing but Hemi-powered vehicles, in perpetuity.