Elon Musk

Tesla falls short on Model 3, but overall sales rise in 2017

Electric car maker Tesla Inc. has again fallen short of production goals for its new Model 3 sedan.

The Palo Alto, California-based company made 2,425 Model 3s in the fourth quarter. That's only a fraction of the 20,000 per month that CEO Elon Musk promised last summer when the car first went into production.

The company exceeded its overall sales targets, delivering 101,312 Model S sedans and Model X SUVs in 2017, up 33 percent over 2016.

But all eyes are on the Model 3, which is Tesla's first lower-cost, high-volume car and is crucial to its goal of becoming a profitable, mainstream automaker. Tesla at one point had more than 500,000 potential buyers on the...

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