Tesla Starts Semi Truck Deliveries After 9 Years of Delay
Synopsis
Tesla has started Semi electric truck deliveries to its first customers, marking a major step for the long-delayed truck first unveiled in 2017.
Key Highlights
- Tesla delivers the first 2 semi electric trucks to customers.
- The Semi was introduced by Elon Musk back in 2017.
- Tesla’s semi manufacturing is expanding, but last week the company upped its estimate of how many Semis it can crank out each year at a plant in Nevada to 50,000 units.
- The long-range version can go 500 miles (804 km) with a load.
- The standard version has 325 miles of range.
Tesla executives announced during a visit on Tuesday to its plant in Sparks, Nevada where Tesla is starting deliveries of its Semi electric trucks to its initial group of customers.
The deliveries represent a significant turning point for the truck that was initially revealed nearly nine years ago. The Semi moves Tesla away from electric cars and SUVs further into commercial freight.
Tesla Aims to Produce 50,000 Semis Annually
Tesla reiterated its plans to produce 50,000 Semi trucks per year at its Nevada plant.
The event had no appearance by Elon Musk. In a video message he recorded, calling on customers to factored more orders, saying the list was already substantial. It was an event to tempt customers like PepsiCo, DHL and US Foods with trucks emblazoned with their logos parked outside the plant.
Semi Up to 500 Mile Range
Tesla’s 1,000 km (621-mile) Semi can cover a distance of 500 miles (805 kilometres) on a single charge when loaded, according to Dan Priestley, Tesla’s director of Semi truck engineering. Tesla also sells a standard version of the Semi with a 525-mile range.
Weeks & Years of Delays for Semi Production
The Semi was first revealed in 2017 and was originally supposed to go into production in 2019. Volume production was anticipated to start this year with the first truck finally rolling off the high-volume production line in April.
But then in its July shareholder letter, Tesla stated Semi production was not set to ramp up until 2026 and removed an earlier forecast of volume production beginning this year. Tesla has also commenced volume supply to customers like PepsiCo in the United States in late 2022.
New orders increase demand for Tesla Semi
The Semi arrives at a point of record-high diesel prices in the United States for commercial truck buyers. Tesla, which has struggled with production delays and growing competition from rivals, is a riskier investment as US policies on electric vehicles have also changed negatively for demand.
Yet clean transportation nonprofit Catalyst Mobility found that Tesla received this week an order for 2,500 Semis from a group of some of the biggest cargo-owning companies in the world, including Microsoft and PepsiCo.
According to the organisation, the order is close to double the current US fleet of electric Class 8 trucks. Swedish freight technology firm Einride AB last month announced an order for 500 Semi trucks.
What This Means for Australian Businesses and Entrepreneurs
Following years of delays as it developed the vehicle, Tesla is now entering commercial freight vehicles with deliveries of its Semi. The long-range variant of the truck features a 500-mile range on a single charge, and the standard version comes with a good measure of 325 miles.
New orders from companies such as Microsoft and PepsiCo, and Einride’s 500-truck deal, illustrate the customer interest reported by news outlets as Tesla begins broader Semi deliveries.
Source: Reuters
At Inspirepreneurs Magazine, covering entrepreneurship, business failures, and the human stories behind the world's most ambitious founders. She writes at the intersection of strategy and storytelling.
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