Tesla Aims to Reach 40K/Week Vehicle Production by End of 2022, Reaching a 2M+ Unit/Year Capacity

by Eva Fox November 06, 2022

Tesla's manufacturing performance is an important metric for investors to evaluate the company and its profitability, which is why they are of great interest. Elon Musk's recent mention of immediate production targets indicates that Tesla will be able to produce well above two million vehicles next year.

Speaking at the 29th Annual Baron Investment Conference, on November 4, 2022, in New York, Musk said that by the end of the year, Tesla aims to reach production levels of 40,000 vehicles per week. This means that within the next two months, the company will reach a production capacity of about 2.08 million vehicles per year. Keep in mind that in 2023, Giga Berlin and Giga Texas will continue to increase production, bringing the production figure for the year well above two million units and will be a huge success.

“I believe I've said in the past publicly that our aspiration is to reach 40,000 cars a week by the end of the year.”

The rapid increase in production entails logistical challenges, which is why Tesla is looking to change its delivery model. At the end of Q3, about 20,000 produced vehicles were on the way and were actually delivered in Q4. Musk explained that the company has grown too big to carry its vehicles in the past few weeks of the quarter. He noted that in the long run, this situation will be good for Tesla.

“But it’s actually good in the long run to smooth out deliveries and actually have cars in transit at the end of the quarter because then you’re not rushing to get everything delivered by the end of the quarter and paying all the expedite fees.”