Tesla Ready to Launch Model 3

Tesla Ready to Launch Model 3”

The company also said that it expects Model S and Model X deliveries in the second half of the year will top the tally from the first half of 2017.

Musk announced the first Model 3 deliveries as Tesla gave its second-quarter production delivery figures. With the results released Monday, Tesla's first-half sales were at the lower end of its prediction of 47,000 to 50,000 units.

According to the report, the seat belt in Tesla's Model S was not effective during the test and could lead to the driver's head striking the steering wheel hard through the airbag. With prices slated to start at $35,000 before any incentives or options, the Model 3 is the youngest publicly traded USA automaker's best chance at mass-market penetration. Meanwhile, Tesla's Model X crossover will have a new competitor in the Jaguar I-Pace. That's down from an earlier estimate of 13 percent. However, Tesla also intends to ramp up Model 3 production by 20,000 a month this December until next year.

Mr Musk took to Twitter to announce that the hotly anticipated electric vehicle had passed "all regulatory requirements" two weeks ahead of schedule. Musk also mentioned that "Production grows exponentially, so August should be 100 cars and September above 1500".

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Taking to Twitter on Monday morning, Tesla CEO Elon Musk confirmed that the Model 3 electric auto will make its debut later this month, with a ceremony marking the initial production run of just 30 cars planned for July 28, reports Forbes.

Musk's ambitious production target rate has anxious investors recently since the company has not been able to meet the previous deadlines religiously.

But the selloff becomes a little more understandable when one remembers how much has been priced into Tesla's shares following an epic 7-month rally.

After Monday's close, Tesla reported a smaller-than-expected Q2 deliveries of the Model S and Model X, citing big battery shortages. More specifically, the outlook says another 35 "Gigafactories", like the one Elon Musk built in Nevada for Tesla, will be needed by 2030 to meet the power needs of electric vehicles. Demand for Tesla Model 3 already exceeds the production capacity of the company. High-volume production won't kick in until late in the year. Goldman Sachs, which was a key player in a prior financing, now forecasts that Musk will stage his next capital for Tesla in the first half of 2018. Both these numbers are lower than Q1, when Tesla delivered about 25,000 vehicles after building 25,418 of 'em.

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