Elon Musk says Tesla will eliminate some options for Model S and X


Mike Blake | Reuters

Newly manufactured Tesla vehicles are placed on transport trailers from a large inventory of newly made vehicles in Burbank, California, August 24, 2018. 

Tesla CEO Elon Musk said Tuesday the company will eliminate some interior design options for the Model S sedan and Model X sport utility vehicle to simplify production at Tesla’s assembly factory.

The Model X is the company’s most complex vehicle in production today, in part because it has unusual falcon wing doors. Customers have had the option to configure the interior of Model X with six or seven seats and a number of options for upholstery, wood and headliner materials.

Musk, who announced the news over Twitter, said some options won’t be available after Nov. 1. “Order now to be sure of the one you want,” he said.

He’s previously said the company may have been too ambitious when it designed the Model X, and intentionally adopted a simpler design for the subsequent Model 3 mid-sized sedan in order to help speed production.

Tesla has historically struggled to meet Musk’s aggressive production targets. The company had planned to reach a Model 3 production rate of 5,000 cars per week by the end of 2017, but did not hit that target until the end of June 2018.

Shares of Tesla were up more than 12 percent Tuesday afternoon after a noted short seller, Andrew Left of Citron Research, said he’s changed his mind and is investing in the company’s stock. “Tesla is destroying the competition,” Left said in a research note.

The electric car maker reports third-quarter earnings after the bell Wednesday.

Source : CNBC