Currently reading: Tesla Model Y deliveries begin ahead of 2022 UK debut

Production of affordable seven-seat EV goes ahead amid near-global automotive shutdown

Tesla has announced that deliveries of its Model Y electric compact SUV have begun, and that the Fremont factory where it is produced will continue to operate despite a global automotive shutdown.

Early buyers of the all-electric crossover have started receiving their cars, and an official video posted to Tesla's Twitter feed (below) shows the Model Y in operation. It comes as car manufacturers worldwide enter a state of shutdown in response to the coronavirus pandemic; it had initially been reported that Tesla's Fremont plant would close - as a result of the 'shelter in place' policy being implemented in California - but it has been deemed an 'essential business', and will remain open for the foreseeable future. 

 

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The Model Y will likely prove pivotal to Tesla, because the worldwide demand for SUVs is significantly higher than it is for saloons. Musk predicted that Tesla would go on to sell more Model Ys than its other three models combined. The company opened pre-orders after revealing the car, with customers being asked for a $2500 deposit. Seven-seat versions won't be available until 2021.

The company also faces new challenges from European car makers including Audi, BMW and Mercedes-Benz, which are gearing up to launch their own premium SUVs. Similarly priced rivals, though, such as the Kia e-Niro and Hyundai Kona Electric, can't match the Model Y's range. Tesla recently announced a move to online-only sales and plans to close all its physical stores, but changed its decision following a customer and employee backlash.

The announcement of the Model Y came soon after the entry-level Model 3 went on sale in the US at $35,000 (£26,000) and the first left-hand-drive versions of the more expensive Model 3 Performance arrived in Europe.

Tesla will be hoping to avoid the manufacturing issues that plagued the Model 3, which suffered production bottlenecks for months following the car’s North American launch. Tesla has since recovered from these early setbacks and is on course to achieve its factory target of 10,000 cars per week. It's now the world’s top-selling electric car, having sold more than 120,000 examples in the last year. Tesla aims to produce 2000 Model Ys per week by September 2020.

With the Model Y now revealed, Tesla’s remaining projects include the Semi lorry, the Cybertruck and the new Roadster, which is due to arrive on roads in 2020.

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