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2017 Tesla Model 3 Will Come With 95% Of The Parts Made In The U.S.

By Monica U Santos , Jan 09, 2017 01:36 AM EST
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Elon Musk releases 'affordable' Tesla Model 3 electric car
Tesla’s existing vehicles have less “American-ness” but its upcoming Model 3 will outshine in that regard saying that 95% of its part will be made in the US. (Photo : Cars and Dogs/YouTub Screenshot)

Tesla, being one of the most vertically-integrated car companies in the world, have an existing vehicle lineup that includes 2 of the most American-made vehicles. However, its upcoming all-electric compact sedan, named as the Tesla Model 3, is expected to top the said list.

The 2017 Tesla Model 3 is said to have 95% of auto parts that are all made in the US. And mainly it is called "American-ness" car because of the new 2170 battery cell being produced at the Gigafactory in Sparks, Nevada.

2017 Tesla Model 3 Will Come With 95% Of The Parts Made In The U.S.

The Kogod School of Business at American University in Washington, D.C. calculated the possible percentage of what makes a car “made in America” with basis on how many parts were made in the US, on how much labor was done in the US and on how much research and development were done only in America.

According to their conducted study, the most traditional American cars are the Buick Enclave, the Chevrolet Traverse and the GMC Acadia, at “90% American made”. But when Tesla’s new ‘2170’ battery cell will be added to its vehicles, the 2017 Tesla Model 3, the said vehicle will become 95% made in the US plus it potentially becomes the “most American cars” in production.

More On The 2017 Tesla Model 3

Tesla’s new vehicle with ‘2170’ battery cell is the most important product Tesla can bring to the market this year, according to the report of Electrek. Tesla Model 3's batteries can be perceived as a boring product and it’s definitely not as exciting as Tesla’s consumer products, but in terms of the cost, energy density and other differentiating features and factors are the basis for those consumer products. Therefore, the production of the most anticipated car Tesla Model 3, is highly critical to the company’s short-term success.

Although Tesla is not asking Panasonic, its battery partner, to move its battery cell production to the US, it is expected to be expanding its own production capacity in the US along with the Japanese company through the Gigafactory. Tesla CEO Elon Musk expects raw material for the 2170 cells to be sourced in the US to save some logistics costs in making the 2017 Tesla Model 3.

 

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