• 4 minutes Drone attacks cause fire at two Saudi Aramco facilities, blaze now under control
  • 7 minutes China Faces Economic Collapse
  • 13 minutes Oil Production Growth In U.S. Grinds To A Halt
  • 15 minutes Iran in the world market
  • 18 minutes Ethanol, the Perfect Home Remedy for A Saudi Oil Fever
  • 2 hours USA Wants Iran War -- Shooty Shooty More
  • 3 hours Collateral Damage: Saudi Disruption Leaves Canada's Biggest Refinery Vulnerable
  • 2 mins Experts review drone damage . Say Saudis need to do a lot of explaining.
  • 9 hours USA : Attack came from 'Iranian soil'. Pompeo to release 'evidence'.
  • 15 hours Never Bring A Rapier To A Gun Fight
  • 3 hours Yawn... Parliament Poised to Force Brexit Delay Until Jan. 31
  • 18 hours Bahrain - U.S.: Signed Deal To Buy Patriot Missiles
  • 20 hours One of the fire satellite pictures showed what look like the fire hit outside the main oil complex. Like it hit storage or pipeline facility. Not big deal.
  • 19 hours Trump Will Win In 2020 And Beyond..?
  • 20 hours How OPEC and OECD play their role in setting oil price in light of Iranian oil sanction ?? Does the world agree with Iran's oil sanctions ???
  • 18 hours Democrats and Gun Views

Tesla’s Model Y To Launch In November 2019

Tesla Model Y

Despite the troubles around the ramp-up of its Model 3 production, Tesla is already eyeing the launch of its next model, the Y, in November next year, two unnamed sources told Reuters.

This will be the carmaker’s first sports utility vehicle, and the company is currently accepting preliminary bids from suppliers. This is yet again a demonstration of Tesla’s aggressive approach to deadlines.

As Reuters notes, the competitive bidding process for car part suppliers usually takes between two and two and a half years. If, however, the start of production for the Model Y is slated for November 2019, this gives bidders little more than a year and a half to come up with their best offer.

Yet this time the shorter timeframe might just work, one of the sources said, because the Model Y will be assembled on the same platform as the Model 3. This will only be the initial production, however, as the factory in Fremont is not large enough to handle the annual target of one million Model Ys Tesla has set.

Capital spending on the Model Y will begin in late 2018, and observers are wondering if that won’t prompt Tesla to raise fresh funds given its unenviable cash position right now. Elon Musk said last month that Tesla does not need any more cash injections this year. But some analysts, notably Moody’s, said the carmaker would need more cash—and soon. Moody’s estimated its needs at US$2 billion, after last year Tesla went through US$3.4 billion.

Some are wondering if this is the best time to work on yet another model before production of the Model 3 has ramped up. Others are questioning the 1-million Model Y target, with Reuters’ sources suggesting that the suppliers that will bid for the project are probably estimating actual annual production targets of half that number.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • T T on April 12 2018 said:
    According to my count, this will be their 2nd SUV after the X.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play