The Tesla Model 3, revealed at the Model 3 Unveil Event, March 31, 2016.
The first Tesla Model 3 has rolled off the production line and is costing electric car enthusiasts only USD$35,000, before incentives.
The Model 3 will achieve a range of 215m (345km), reaching speeds of up to 60mph (100km/h) in 6 seconds. Supercharging and Autopilot hardware will come standard, with adult seating for five.
From what was seen at Tesla’s first reveal of the Model 3, the car’s dashboard is reminiscent of a computer terminal, like the ones on the Model S and Model X.
In an effort to avoid some of the production issues suffered by the Model X, due to its extensive list of options, for the Model 3 will be limited to color and wheels.
Tesla plans on producing 100 Model 3s in August and more than 1,500 in September, Elon Musk has said. Future production goals are—to put it mildly—optimistic, with 10,000 Model 3s rolling out per week, or 500,000 per year, by 2018.
To meet this goal, Musk has admitted that Tesla will require the entire world’s supply of lithium-ion vehicle batteries. In order to get anywhere near that level of production, Tesla will need to complete its Nevada Gigafactory, which is estimated to reach full production by 2018. Musk has claimed that this one factory alone will produce more lithium-ion batteries annually than were produced worldwide in 2013.
Musk has stated that he plans on making these production goals a reality by vertically integrating both vehicle and battery production into the Gigafactory.
Whether this strategy will be enough for Tesla to succeed is up to speculation, but investors are optimistic and markets for both lithium-ion batteries and electric vehicles in general are looking positive.
Lithium and Electric Vehicle Charging System Markets Growth
According to a report by Allied Market Research, the global lithium-ion battery market is expected to reach USD$46.21 billion by 2022, at a CAGR of 10.8 percent. This growth is spurred by increasing demand from manufacturers of smartphones, tablets, PCs, digital cameras, power tools and electric vehicles.
Lithium-ion batteries have garnered quite a bit of popularity, thanks to their rechargeability, small size and light weight.
The electric vehicle charging system market is expected to grow by USD$8.02 billion, at a CAGR of 30.7 percent in the same time period. Electric vehicles are particularly popular across North America and Europe, but the report speculates that we’ll see high growth in China and Japan in the near term.
Given this rise in popularity, implementing the necessary charging infrastructure becomes more pressing.
Looking back at Tesla as an example of electric vehicle charging locations, the company had 3,608 Superchargers and 3,689 destination chargers installed worldwide, as stated by Musk at the Model 3 Unveil Event last March. At the same event, Musk promised 7,200 Superchargers and 15,000 Destination Chargers would be in place by the end of 2017.
Presently, the Tesla website cites only 5,985 active Superchargers across 889 Supercharger Stations. Tesla has only 6 months to make up for the remaining third of Superchargers promised – cutting it quite close.
Tesla will hand over the first 30 Model 3s to US customers July 28th. Whether the company will be able to meet its ambitious goals is an open question, but the future for electric vehicles, lithium-ion batteries and charging stations still looks bright.
For more information about Tesla’s Model 3, visit the company website.