The new milestone - despite being put in rather harsh perspective by Ford CEO Steven Armstrong (see Tweet below) - is important for Tesla, to reassure both shareholders about its mass production capability, and customers, who have been waiting patiently for delivery of their Model 3 since this time a year ago.
By late next month, Model 3 production is expected to increase to 6,000 units per week.
Tesla stock finished June with a 20% gain in share price, its best monthly performance in nearly four years, according to Bloomberg. Having blamed delays on "excessive automation" and being forced to conduct several shutdowns to correct issues, Tesla built a large, semi-permanent tent at the factory to house another assembly line.
Field joined Tesla in 2013 and led production for the Model 3, which the company struggled to ramp up in the months after it was launched in July 2017.
Tesla has missed earlier production goals for the vehicle. This breaks down to 18,440 Model 3 cars, 10,930 Model S cars and 11,370 Model X crossovers. The boost in productivity has been attributed to GA4, the new Tesla production line which is located in a tent.
TipRanks indicates Wall Street is evenly split between a battle of bulls vs. bears on this electro vehicle giant giant. Sceptics say the production rate may not be sustainable.
Doug Field - who previously served head of Tesla Model 3 production until his April reassignment by CEO Elon Musk - opted to take a leave of absence in May in order to spend time with family and recover his energy. That, Tesla points out, is a 55-percent increase over Q1 2018, and in fact "the most productive quarter in Tesla history by far". "What an incredible job by an wonderful team".
"We did it!", Musk wrote in the email to employees. The company hit the Model 3 mark while also achieving its production goal of 7,000 Model S and Model X vehicles in a week, Musk said in the email.
"We also reaffirm our guidance for positive GAAP net income and cash flow in Q3 and Q4, despite negative pressures from a weaker USA dollar and likely higher tariffs for vehicles imported into China as well as components procured from China", the company said. Couldn't be more proud to work with you.
If we are to solve the great challenges of the twenty-first century - whether overpopulation, democratic disruption, new antibiotic-resistant diseases, or shortages of resources - it will be thanks to innovators like Musk, who think not just outside the box, but in an entirely different box-free universe. The company had failed to meet any of its production and delivery targets for the Model 3 up until now.
Tesla's production and delivery press release for Q2 2018 can be accessed here.