Ilon Mask: Tesla will produce up to 1 million cars by 2020

As it is known, Tesla's result for the past quarter was a huge loss of $ 742.7 million, but on the whole the quarter can be considered successful, which the company managed to achieve in this period. During the "post-final" press conference, Tesla CEO Ilon Mask reiterated his forecast, assuring that the company will break even this quarter, and also made another very high-profile statement.

Musk said that in two years Tesla intends to increase volumes of output of cars up to 1 million pieces a year, that is approximately four times. The head of Tesla expects that by 2020 two factories in the US will produce about 600 thousand cars per year and another 200 thousand will be provided by the factory in China. Mask also noted that the total of these three plants will be able to produce up to 1 million cars per year.

We must admit that these are ambitious plans, given the current precarious financial situation, as well as constant breakdowns in terms of deadlines – in early July the company entered the production of five thousands of Model 3 per week, although it should have done so by the end of 2017. In addition, some analysts and the media pointed to numerous mistakes, claiming that, in pursuit of achieving the necessary volumes of Model 3 production, the company does not look at costs.

Ilon Mask reiterated that this year the company will not need to raise capital any more.

As for the plant in China with an estimated capacity of 500,000 cars per year, the company plans to borrow money from its Chinese banks, that is, to open a credit line.

Source: axios

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