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by thow-58d4e8b 1707 days ago
For a typical car, only about 10-15% of the manufacturing cost is labor. And that's talking about Toyota Corollas and euro econobox hatchbacks. For a premium electric car, it's probably a single digit

Also, the whole claim would really need a citation, and careful parsing of the methodology. 3x difference in a mature industry like car assembly is very unlikely, and requires a very strong proof to back that statement up.

2 comments

Tesla gives tours, and frequently discusses optimizations in reduced part counts, design tweaks for manufacturing, etc. I'd think someone with some expertise could tell if Tesla's claims are true.

Some highlights: front 3rd of chassis is one piece, rear 3rd of chassis is one piece, the glass roof is a huge piece and before that's installed things can be installed by robot (steering wheel, dash, seats, etc). Many things are radically simpler, like the interior, dash is basically a aluminum bar the width of the car with an arm for a 15" monitor. Even the ventilation system is simple, few parts, and easy to install. Most cars spend quite a bit of complexity for gauges, displays, buttons, vent controls, temp control, fan control, fans, emergency brake, air valves, etc.

Monroe on youtube (engineer with significant experience, used to work at Ford) took apart an early model 3 and wasn't impressed, didn't recommend it, and called out many details that were expensive, labor intensive, etc. He did a new model 3 and model Y and left quite impressed. Many innovative changes to make things easier to produce, cheap to reduce, reduced parts counts, etc. Monroe claims tesla is iterating their production faster than anyone else he's looked at, and he's looked at a very wide variety of cars (and other products for that matter).

Monroe also reviewed the VW ID.4 and left quite under impressed. Ironically he didn't expect much from the Ford Mach E, but was very pleasantly surprised to see innovative engineering, impressive design, and overall was quite impressed. Although he was horrified by the complexity of the cooling system and has serious doubts about it's long term reliability.

The proof? VW CEO statement.

The 10% difference pays the next factory.