Tesla Expects To Build Well Over 1 Million Electric Cars In 2022

2022 is going to be a quiet year for Tesla in terms of new product launches since the Cybertruck, Roadster, and Semi have all been delayed until sometime next year. However, Elon Musk and co. are looking forward to another record year as all signs point to an unprecedented level of cars produced. While in 2021 it built 930,422 vehicles, the number should easily rich seven figures this year.

Speaking during the Q4 2021 earnings call, Tesla’s head honcho mentioned issues with the supply chain could once again cause bottlenecks in production. However, the 50-year-old businessman is confident annual production will exceed one million units by the end of the year: “We do expect significant growth in 2022 over 2021, comfortably above 50 percent growth.”

It seems like a plausible scenario considering volume production at the new factories in Berlin and Austin will begin in the coming months. The hugely popular Model Y will be built at the two locations, thus allowing Tesla to cut waiting times in Europe and North America where more and more people are eager to buy the electric crossover. Not only that, but the plant in California might assemble more cars than before as Tesla aims to make more than 600,000 units in 2022.

Elon Musk suggests new factory locations could be announced by the end of the year as part of Tesla’s greater goal to build millions of EVs annually. A cheaper car to slot below the Model 3 would fuel demand even further, but despite rumors, an entry-level model has recently been ruled out by the company. For the time being, the cheapest way to get behind the wheel of a Tesla is by purchasing the single-motor Model 3 Rear-Wheel Drive from $44,990 in the United States before any applicable EV-related incentives.

While Tesla is ramping up production, the costs per car are coming down. As previously reported, 2021 was the year when the cost of goods sold (COGS) decreased to an average of $36,000 per vehicle built. However, COGS excludes distribution and marketing costs, although the latter should be insignificant given Tesla’s modus operandi of avoiding advertisements.

Source: Tesla via Automotive News Europe