In July, Tesla Chief Executive Elon Musk warned that “production hell” was ahead for Tesla’s new and long-anticipated Model 3.
He wasn’t kidding. On Monday, the company said it had only produced 260 Model 3 cars from the start of production in late July through September 30, far short of the 1,500 the company had forecast.
That’s bad news for Tesla. The success or failure of the Model 3 could make or break the company.
The car is billed as a more affordable alternative to Tesla’s luxury Model S and Model X. The company had planned to be churning out 20,000 of them a month by December, and 500,000 a year by the end of 2018.
In a note to investors Monday, Tesla...