Tesla has just shared an update about its long-delayed Semi electric truck volume production. The electric vehicle giant now aims to ramp up the production of the Class 8 electric semi truck in late 2025.
Volume production target
Tesla Vehicle Engineering Vice President Lars Moravy disclosed during the recent Q1 2024 Earnings Call that the company now aims to start the Semi’s volume production later next year.
According to VP Moravy, initial units will reach external customers by 2026.
“We’re finalizing the engineering of Semi to enable like a super cost-effective high-volume production with our learnings from our fleet and our pilot fleet and Pepsi fleet, which we are expanding this year marginally. In parallel, as we showed in the shareholders’ deck, we have started construction on the factory in Reno. Our first vehicles are planned for late 2025 with external customers starting in 2026.”
Lars Moravy, Tesla Vehicle Engineering VP
Far behind schedule
Tesla’s Semi program has faced numerous delays since its debut in 2017.
The Musk-led company originally planned to launch the Semi electric truck in 2020. However, it only started initial production in late 2022.
Despite the production onset, the Tesla Semi’s availability remains limited. As of October last year, the company had only produced approximately 70 Tesla Semis.
Considering the limited supply, Tesla only deployed the units to its internal fleet and key customer, PepsiCo.
Semi deliveries fall short of customer orders
Tesla’s Semi deliveries to American multinational food giant PepsiCo have apparently fallen short of the initial 100 unit orders.
PepsiCo ordered a total of 100 Tesla Semis in 2017. It aims to add the Class 8 electric semi truck to its fleet that hauls Cheetos, Lays, and Pepsi soft drinks to its retailers.
However, one of PepsiCo’s executives with knowledge of the order revealed that the company has only received 36 Semis as of today. Therefore, Tesla is 64 units short of its Semi delivery commitment to PepsiCo.
Tesla’s plans to ramp up Semi’s production is undoubtedly good news not only for its own fleet but also for its customers, especially PepsiCo. Other would-be Tesla Semi buyers have reportedly started to use other companies’ electric trucks while waiting for the Semi. Some of them include Sysco, UPS, Schneider National, and Walmart Canada, which shifted to Daimler Truck’s eCascadia electric trucks.
