Tesla recently has announced that the company is speeding up Model 3 delivery timelines for latest orders. This announcement is done in the course of improvements in its production over the last few weeks.
Tesla has updated that their Model 3 production is increasing. Now, the company has a better idea of the demand for the different configurations.
Previously, it would take 12–18 Months time after placing a new reservation for the Model 3 in the U.S. Now, this time is reduced to 4–6 Months. The company has assured that the longtime Model 3 reservation holders waiting for those versions will receive their cars in 12–16 Weeks.
The company has asserted that the Model 3 reservation holders will be informed by email of a slight delay over the usual 3–6 Weeks delivery timeline once the order is placed. The automaker claims that the take rate for the last batch of the invitation was higher than anticipated, which created the delay.
Those new timelines are starting to make much more sense. As the weekly production rate increases rapidly, which appears to be the case right now, Tesla is going to need new orders in the U.S. until they expand to other markets.
While the global backlog is still substantial, if Tesla keeps its current tempo, they could be producing over 5,000 Model 3 vehicles per week within the next 2 Months. At that point, they should start working on their U.S. and Canadian backlogs quite rapidly.
Recently, Tesla has announced that the company has signed a 3-year lithium supply contract with Australian miner Kidman Resources. Further, the company has explained that the fixed-price contract lithium, which is the key raw material for batteries, will start when Kidman’s project in Western Australia starts its production.