Model Y already entered production at the Tesla Factory in Fremont in January 2020.

The rumors about customer deliveries of the Tesla Model Y happening very soon were true. Tesla has already begun the production ramp for the Model Y in Fremont, California in January, months ahead of schedule.

First customer car deliveries are expected by the end of Q1 2020.

The combined installed production capacity for the Model 3 and the Model Y is 400,000 units per year (for comparison, Tesla produced 302,301 Model 3 in 2019). With the expansion planned for mid-2020, the production capacity for the 3/Y will be 500,000.

"The production ramp of Model Y started in January 2020. Together with Model 3, our combined installed production capacity for these vehicles is now 400,000 units per year.

The ramp of Model Y will be gradual as we will be adding additional machinery in various production shops. After such expansions are done by mid-2020, installed combined Model 3 and Model Y capacity should reach 500,000 units per year. We will start delivering Model Y vehicles by the end of Q1 2020."

Tesla provided a few images of the Model Y body shop - up and running:

Gallery: Tesla Model Y production

The good news does not end here, as the car itself will be even better than previously anticipated. Tesla increased its EPA range rating for the all-wheel-drive version from 280 miles (450.5 km) to 315 miles (506.8 km).

"Due to continued engineering progress of the Model Y all-wheel drive (AWD), we have been able to increase its maximum EPA range to 315 miles, compared to our previous estimate of 280 miles. This extends Model Y's lead as the most energy efficient electric SUV in the world."