In Q3 2023, Tesla produced 430,488 cars, which is 10% less than in the previous quarter, but 25% more than a year ago.

The drop in production at Tesla was due to the planned shutdowns of factories. Elon Musk noted that this was necessary to update the Model 3 and Model Y models aimed at the Chinese market.

Tesla’s decline in production may also be due to other factors, such as problems with the supply of raw materials, changes in laws, or demand for labor. Planned plant shutdowns are often associated with equipment upgrades or changes to the production process.

The report shows that Tesla produced 435,059 vehicles in Q3, down 6.6% from the previous quarter but up 26.5% year-over-year. In 2021, China was one of the largest markets for electric cars. More than 1 million electric vehicles have already been sold here. This confirms the high demand for Tesla products in the country.

In 2023, Tesla plans to produce 1.8 million cars. According to the report, 1.35 million have already been produced, which is about 75% of the annual target.

Earlier we wrote that Tesla plans to build a plant in Mexico. One of the main reasons may be a desire to reduce production costs, particularly the cost of labor and logistics. The plant in Mexico will also help the company to be closer to the American market.