Tesla Cuts Production Hours For Model S And X To Accommodate The Model 3

Tesla announced that it has reduced production hours for the Model S and Model X as it looks to increase production of entry-level Model 3 variant.

In an email sent to Reuters, a Tesla spokesperson said that the reduction in production hours for the Model X and Model S comes in response to the car manufacturer dropping the 75 kWh versions of the two models.

“As a result of this change and because of improving efficiencies in our production lines, we have reduced Model S and X production hours accordingly. These changes, along with continuing improvements, give us the flexibility to increase our production capacity in the future as needed,” the spokesperson said.

Tesla’s move to alter the production schedule of the Model S and Model X comes just a few weeks after the electric vehicle tax break started to be phased out. The automaker now has to decide whether it should raise prices of it vehicles or instead reduce costs in a bid to ensure it doesn’t lose customers.

A plethora of other Tesla models are also on the horizon and present even greater challenges to the electric car maker. These vehicles include the all-electric Semi, the next-generation Roadster and the affordable Model Y crossover. Elon Musk also recently confirmed that a vehicle which would slot below the Model 3 is a possibility.

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  • Arthur Burnside

    Quit listening to anything Tesla says – the company has zero credibility (they even refused to say how many are still on the waiting list). The 75KWhr Model S and Model X cars got clobbered by the Porsche Taycan and Jaguar I Pace in Europe. THAT is why they stopped making them – they could not sell them.

    • THE TAYCAN ISN’T ON SALE YET AND DIDN’T JAG SAY THEY SCREWED UP LEAVING SOME FEATURES OFF THE I PACE AND OFFERED CUSTOMERS $600?

      https://www.carscoops.com/2019/01/jaguar-e-pace-suvs-miss-key-infotainment-software-theres-no-fix/

    • TheBelltower

      You’re high. None of that makes any sense. The Taycan isn’t even close to launching. The Jaguar has a 95Kwhr battery pack, and is nowhere as efficient as the X. And that’s regardless of whether the iPace is compared to the Model X 75D, 100D or P100D. So there’s no “clobbering” that’s happened. Tesla stopped offering the 75Kwhr models for the same reason they stopped offering the 60Kwhr models. Because the cost of batteries has gone down and it’s more efficient to only offer one battery, with features unlocked by software.

    • stockinbug

      ……the company has zero credibility…

      That would seem to describe these comments from you.

      …got clobbered by the Porsche Taycan and Jaguar I Pace in Europe…

      Not even close to true. The Taycan doesn’t even exist yet. And i-Pace global sales numbers aren’t near any Tesla model.

      Model S and X models were refreshed, not eliminated. The two versions of each now have software-locked batteries for the lower cost versions.

  • DOESN’T MAKE SENSE CUTTING THE WORK FORCE AS MENTIONED LAST WEEK WHEN THEY’RE STRUGGLING TO MAKE MODEL 3’S. YOU’D THINK THEY’D HIRE MORE AND BUILD ROUND THE CLOCK.

    • Bobby Lee

      They’re not letting go of production workers.

  • Toronado_II

    Strange to cut high margin vehicle for a low margin one… How they will make profit for the next quarter ?

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