After stressing the necessity to achieve high profitability, Elon Musk recently reportedly wrote to employees also about the top priority of increasing production output by Tesla.
Tesla CEO said that the company notes strong demand for electric cars, but to capitalize on that, it needs to increase production quickly.
"We are fortunate to have a high-class problem of demand being quite a bit higher than production this quarter."
"To ensure that we have the best possible outcome and earn the trust of the customers and investors who have placed their faith and hard-earned money with us, we need to increase production for the remainder of this quarter as much as possible."
The second reason is of course the intention to reach the target of 500,000 cars produced and sold in 2020, which requires a spectacular fourth quarter:
- required production: 170,020
- required deliveries: 181,020
Well, it's great to hear that Tesla continues to have the "demand problem" because it means that the expansion not only progresses but also accelerates.
The second great thing is that Tesla has a chance to achieve or be really close to the 500,000 target - a big milestone, not achieved yet by anyone.
With the surge of sales in China to over 20,000 a month, everything is possible. Hopefully, the quality of cars will not suffer because of the rush.