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Report: Tesla Planning For Production Bump At Fremont Plant

Report: Tesla Planning For Production Bump At Fremont Plant

Coming off a strong quarterly production and delivery performance, Tesla Inc (NASDAQ: TSLA) is prepared to hire once again and boost production at its Fremont, California factory, according to Bloomberg

The news comes from a Tuesday email sent by Jerome Guillen, Tesla's automotive president, the publication said. 

The optimism stems from the strong offtake of Tesla's budget electric car model, the Model 3, even as sales of the Model S and Model X decline. 

About 82% of Tesla's total deliveries in the second quarter were Model 3s. 

The Bloomberg report said Guillen's statement implies that Tesla might be looking to hire after a series of job cuts made in 2018.

The company "hit new records in all production lines for output and efficiency" in the most recent quarter — both at the California and Nevada plants — and "quality is also reaching record highs," Guillen reportedly said in the email.

Earlier this week, Morgan Stanley analyst Adam Jones lowered his second-half revenue forecast for Tesla and said demand was pulled forward into the second quarter by the automaker. 

Tesla shares were up 2.8% at $236.50 at the time of publication Wednesday. 

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Photo courtesy of Tesla. 

Posted-In: automotive Bloomberg electric vehicles EVsMedia Trading Ideas Best of Benzinga


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