Musk said Model 3 production is now scheduled to begin July 1, 2017. He is smart enough to know that just because production is scheduled to begin on that date, that doesn’t mean the factory is going to suddenly go straight into working at maximum speed. There will be issues to be resolved and unexpected quality glitches to deal with. But the Model 3 is designed for ease of manufacture. “[W]e’re not adding extraneous features to the 3 that aren’t necessary to achieve the production volume,” Musk said.
“Will we actually be able to achieve volume production on July 1 next year? Of course, not. The reason is that even if 99% of the internally produced items and supplier items are available on July 1, we still cannot produce the car because you cannot produce a car that is missing 1% of its components. So the reality is that the volume production will then be some number of months later as we solve the supply chain and internal production issues. So as a rough guess, I would say we would aim to produce 100,000 to 200,000 Model 3s in the second half of next year. That’s my expectation right now. Yeah, so that’s the thing.”