Tesla Semi
Tesla Semi Faces Surging Demand Ahead of Mass Production
Tesla’s Class 8 all-electric truck, the Tesla Semi, is experiencing unprecedented demand according to CEO Elon Musk during the company’s Q3 2024 earnings call. The primary driver? Exceptionally low operating costs that make it an undeniable choice for businesses.
“Fundamentally, if you’ve got a (Tesla) Semi, the fully considered cost per mile per ton of transport is better than a diesel truck. Any company that doesn’t adopt an electric Semi will lose. It’s not a subjective thing,” Musk emphasized during the earnings discussion.
Beyond the compelling economics, the Semi presents a significant environmental opportunity. During the vehicle’s first delivery event, Musk highlighted a striking statistic: while semi trucks represent only 1% of vehicles on the road, they account for 20% of emissions. This positions the Tesla Semi as potentially the company’s most impactful vehicle for environmental improvement.
The environmental benefits were recently underscored by Tesla’s Vice President of Vehicle Engineering, Lars Moravy, responding to Tesla’s official social media post about EVs creating quieter cities and highways. Moravy drew a parallel to the lockdown period, noting how it demonstrated the achievability of clean air in urban areas.
In his social media response, Moravy also provided an exciting production update: “Tesla Semi is coming in mass shortly and we made it so compelling, anyone who does not use it will be left behind! Tesla’s goal – make products people love – or in this case, heavy goods transportation companies.”
While initial production numbers remain modest, the Semi has already secured notable customers, including PepsiCo. According to Tesla’s Q3 2024 Update Letter, production is set to accelerate significantly, with the company confirming that “preparation of the Semi factory continues and remains on track with builds scheduled to start by the end of 2025.”
The combination of operational cost savings, environmental benefits, and upcoming production scaling suggests the Tesla Semi could be poised for significant market impact in the commercial transportation sector.