Tesla Hits Delivery Threshold for Juicy Federal Tax Credit

Tesla Motors announced Thursday that it officially reached 200,000 deliveries this month, which is good news in terms of overall sales. But the figure also means the company has surpassed the threshold requiring that federal tax credits be phased out, which is bad news.

Some speculate that, without government incentives, fewer people will be willing to buy Tesla-branded vehicles. While that’s a possibility, the brand offers unique, trendy models not readily available elsewhere. We’d presume a discount on an iPhone would probably help sales as well, but affordability it isn’t the main reason people purchase them.

We’ll see what kind of impact it has on the automaker as the $7,500 federal electric vehicle tax credit for new owners is gradually phased out. It will also be telling for the electric vehicle market as a whole, as Tesla is the first EV producer to reach the limit.

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Did Tesla Skip a Crucial Quality Step on the Model 3 Home Stretch?

A report in Reuters Tuesday sheds light on the frenzied final weeks of Tesla’s all-out push to reach a production target of 5,000 Model 3s per week by the end of June.

Workers claim CEO Elon Musk became agitated whenever the company’s Fremont, California production lines slowed or stopped due to robot issues, employees were pulled off the Model S line to cover Model 3 workers’ breaks, and longer hours with little advance notice became the norm.

Ultimately, Tesla was able to boast of building 5,031 Model 3s in the last seven days of June. But another report raises the question of whether Tesla skipped an important step in the production process in order to reach its goal.

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One Hell of a Ramp: Tesla Reports 28,578 Second-quarter Model 3 Builds, 18,440 Deliveries

The numbers are out for Tesla’s second-quarter production and deliveries. If you didn’t spend the weekend lying on a block of ice with a fan taped to your chest, you probably heard the faint sound of Tesla aficionados celebrating the automaker’s 5,000-Model 3s-per-week production goal, which was met with few vehicles to spare.

CEO Elon Musk took to Twitter on Sunday to announce the production of 7,000 vehicles during the last seven days of June, some 5,000 of them being Model 3 sedans. Steven Armstrong, CEO of Ford of Europe, shot back a reply stating his company builds that much in about four hours. (There seems to be a lot of bad blood between Ford and Tesla.)

So, how do the numbers break down for the entire second quarter? Read on.

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Model 3 Pricing Changes and a Flurry of Tesla Pickup Promises Precede … What?

That’s the question being asked by a bevy of cynical journalists and industry observers after Tesla CEO Elon Musk regailed his Twitter audience with descriptions of the automaker’s upcoming pickup truck last night. How does a heavy-duty 240-volt power outlet sound? Self-levelling suspension? Hmm?

At the same time, Tesla’s Design Studio announced revised pricing for the dual-motor Model 3 and its Performance variant. Remaining Model 3 reservation holders were also told they would soon get the opportunity to configure their long-awaited vehicles.

Either the big tent’s working out just great and production is well on track, or there’s something investor-rattling coming down the pipe.

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Tesla Shareholder Meeting Yields New Product Promises, Retained Grip on Power for Musk

Elon Musk’s role as chairman and CEO of Tesla remained intact after Tuesday night’s annual shareholder meeting, where a proposal to split the duties between two people sank once it came to a vote. Three directors, including Musk’s brother Kimbal, also saw re-election last night, despite protests from some shareholders who feel they lacked experience.

With the challenge to Musk’s dominance squashed, it was then time to do the thing he does best: placate investors with assurances and rosy production timelines. Anyone interested in a Model Y?

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Fires, a Paint Plunge, and Rework Aplenty: Report on the Goings-on at Tesla's Assembly Plant Won't Have Elon Musk Smiling

Tesla CEO Elon Musk is a man with a knack for envisioning new and elaborate ways of accomplishing simple tasks, but his factory in Fremont, California — home to three revolutionary electric car models — could use a dose of the Old World. By that, we mean lessons learned by legacy automakers over many decades of mass production.

That’s the takeaway from a scathing exposé published in The Daily Beast, penned by former TTAC managing editor Edward Niedermeyer. Coming on the heels of a CNBC report on fires at the automaker’s paint shop, The Daily Beast‘s piece brings together testimony from current and former employees to paint a picture of what can happen when Silicon Valley startup culture meets the realities of mass auto production.

Bring your safety goggles.

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Consumer Reports About-face Brings 'Recommended' Label to Tesla's Model 3

The Consumer Reports review that criticized the Tesla Model 3’s stopping distance and all-consuming touchscreen seems to have sparked CEO Elon Musk’s recent spat with the media, but a change of heart at CR might cause Musk to think twice about his proposed rating site for journalists.

After the automaker improved the model’s 60-0 mph stopping distance by nearly 20 feet (a feat accomplished via an over-the-air software update), the publication bestowed the car with a “recommended” rating, despite lingering concerns over certain features. Maybe the torches-and-pitchforks crowd can clear off CR‘s lawn now.

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Tesla Fixes Braking Issue Over the Airwaves, Musk Wages War Against the Media

So far, 2018 hasn’t turned out to be a great year for Tesla Motors. The company has been plighted with production issues, some quality control problems, bad press over the questionable safety of its Autopilot system, and concerns over the financial stability of the company. While all of these matters remain fixable, the compounding pressure seems to have left Tesla CEO Elon Musk a bit unhinged — which has caused some complications of its own and been exacerbated by negative media attention.

The automaker needs a win, even a small one, so it can help rebuild its reputation and alleviate some of that pressure. Fortunately, it seems to have found its opportunity.

Last week, Consumer Reports gave the Tesla Model 3 a very mixed review. While it claimed to enjoy the vehicle’s handling and superior electric range, the outlet said its in-car controls were distracting and noted its average stopping distance of 152 feet was “far worse than any contemporary car we’ve tested and about 7 feet longer than the stopping distance of a Ford F-150 full-sized pickup.”

As a result, it could not recommend the the Model 3 to consumers. Musk immediately flew to Twitter to respond, saying the matter would be fixed without customers needing to have the vehicle serviced.

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An Update on the Everyman's Car

You know what we’re talking about, right? The Tesla with the affordable price that everyone couldn’t stop talking about during the 2016 unveiling? That one. Not the Model 3 Long Range model, currently the only version in production ($44,000 to start), and not the $78,000 dual-motor performance model announced this past weekend.

We’re talking about the $35,000, 220-mile entry level Model 3. Lost in the hubbub over the performance variant and the apparently controversial Consumer Reports review is the latest approximation of when reservation holders stand to see a stripped-down version of the slow-to-ramp electric sedan.

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Them's the Brakes: Musk Promises 'Further Refinement' of Model 3's Binders

If you weren’t on Twitter yesterday, well, you picked a good day to stay away. However, if public battles between an automaker and the media is your thing, coupled with exasperating (and disturbing) displays of tribalism from the manufacturer’s fan base, Monday was a gold mine.

The social media brouhaha was a result of Consumer Reportsless-than-glowing review of the Tesla Model 3, which was found to have the worst braking performance of any contemporary car in the publication’s testing catalog. As Tesla disciples circled the wagon (one created a list of “bad journalists”), Tesla CEO Elon Musk responded to CR‘s findings.

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Pump the Brakes: Consumer Reports Dings Model 3 For Lackluster Stops

“Lackluster” may be an understatement. In its test of the Tesla Model 3 Long Range model, Consumer Reports discovered plenty of things to like about the California automaker’s smallest electric vehicle, but two large gripes kept the publication from bestowing a coveted “recommended” tag on the sedan.

We’ve complained before — and online videos have aptly demonstrated — about how the Model 3’s massive center screen diverts too much attention away from the road by consolidating simple tasks (like adjusting the dash vents) into the menus and submenus of the vehicle’s interface, and CR‘s opinion was no different. However, the largest issue seen while driving the Model 3 was its lengthy average stopping distance.

The publication went so far as to borrow a privately owned model just to make sure its observations were legit.

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Revenue Stream: Tesla's Everyman Car Gets a $78k Makeover

If you had nothing better to do with your Saturday night than sit in front of the computer, you’re already well aware that the Tesla Model 3 — revealed in 2016 with a base price of $35,000 — will gain a $78,000 dual-motor performance variant, a speedier companion to the existing $44,000 Long Range model.

Currently, the LR is the only version rolling off Tesla’s Fremont, California assembly line.

So, what does this additional coinage get you?

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Another Line Forms: Dual-motor and Performance Tesla Model 3s Start Production in July, Musk Says

Replying to an over-enthusiastic superfan on Twitter, Tesla CEO Elon Musk said orders will start this month for the dual-motor and performance variants of the Model 3 sedan. Currently, Tesla’s Fremont, California factory only cranks out the rear-drive, long range model.

Production of the higher-end models begins in July, Musk claimed, but the CEO failed to give reservation holders waiting for a base $35,000 sedan anything new to go on.

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Unpacking Elon Musk and Tesla's Current PR Problem

It would be unfair to criticize Tesla Motors’ CEO without also illustrating just how important he is to the company. Were it not for Elon Musk, Tesla would have never made it this far. He was not only integral in its foundation but also the driving factor as it picked up investors. While the company was building innovative products, he has kept shareholders looking toward the horizon and keeping the faith.

Unfortunately, 2018 hasn’t been a great year for Musk. While the brand has managed to keep its exceptionally loyal fan base, bad publicity has shaken investor confidence. No automaker is free from ugly stories but Tesla has been deemed semi-miraculous for some time — making any failures that much more glaring. The bar has been set unreasonably high and unkept promises have caused issues. Tesla has itself a PR problem and, like most things, it looks like it’ll be up to Elon to fix it. But it’s going to be a monumental task, Musk is already putting out fires everywhere and the pressure is only expected to build over the next 24 months.

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Tesla Model 3 Production Temporarily Halted Yet Again

Tesla has stopped production of the Model 3 again.

That’s the second time this year.

Production problems might not normally make such news – after all, Tesla is a small automaker that’s both attempting to grow and bring a new model, its first truly mass-market model, to production.

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  • Analoggrotto I hope the walls of Mary Barra's office are covered in crushed velvet.
  • Mikey For 36.4 years i punched the clock at GM Canada.. For the last 15.5 years (frozen at 2008 rates) my GM pension shows up in my account. I flirted with Fords for a couple of years but these days I'm back to GM vehicles and still qualify for employee price. Speaking as a High School drop out ..GM provided myself and family a middle class lifestyle.. And still does .. Sorry if i don't join in to the ever present TTAC ..GM Bash fest
  • Akear Does anyone care how the world's sixth largest carmaker conducts business. Just a quarter century ago GM was the world's top carmaker. [list=1][*]Toyota Group: Sold 10.8 million vehicles, with a growth rate of 4.6%.[/*][*]Volkswagen Group: Achieved 8.8 million sales, growing sharply in America (+16.6%) and Europe (+20.3%).[/*][*]Hyundai-Kia: Reported 7.1 million sales, with surges in America (+7.9%) and Asia (+6.3%).[/*][*]Renault Nissan Alliance: Accumulated 6.9 million sales, balancing struggles in Asia and Africa with growth in the Americas and Europe.[/*][*]Stellantis: Maintained the fifth position with 6.5 million sales, despite substantial losses in Asia.[/*][*]General Motors, Honda Motor, and Ford followed closely with 6.2 million, 4.1 million, and 3.9 million sales, respectively.[/*][/list=1]
  • THX1136 A Mr. J. Sangburg, professional manicurist, rust repairer and 3 times survivor is hoping to get in on the bottom level of this magnificent property. He has designs to open a tea shop and used auto parts store in the facility as soon as there is affordable space available. He has stated, for the record, "You ain't seen anything yet and you probably won't." Always one for understatement, Mr. Sangburg hasn't been forthcoming with any more information at this time. You can follow the any further developments @GotItFiguredOut.net.
  • TheEndlessEnigma And yet government continues to grow....