Tesla’s Semi Gears Up: Automaker Gets Ready To Ramp Up Production

Tesla (TSLA) is reportedly shifting its focus to its commercial truck segment as it gears up to begin “volume production” on the Tesla Semi.

In an email to employees obtained by Reuters, CEO Elon Musk revealed plans to ramp up production of the Tesla Semi without giving an exact timeframe for when it would occur. Previously, Musk has said the Class 8 Semi would begin production in 2019, later saying 2021, the news outlet said.

The email from Musk comes just after rival Nikola’s stock popped amid an announcement about the launch of the Badger pickup truck. Nikola, also a Class 8 tractor-trailer producer in the electric and fuel cell segment, has the backing of CNH Industrial’s Iveco commercial truck business unit through a joint venture.

Musk seems to have confirmed the news about beginning production of the Tesla Semi as he replied in a tweet to a user’s question about the validity of the ramp-up by saying, “Yes.”

In the email to employees, Musk said the Tesla Semi’s battery and powertrain production would take place at “Giga Nevada,” with other development occurring in other states. It was unclear exactly what states would be involved in the production of the Semi, according to Musk’s email.

Tesla saw its share price surge on Wednesday with the news of the Semi production, bringing just behind Toyota as the second-most valuable automaker in the world, Reuters reported.

Shares of Tesla stock were up 8.10% as of 3:23 p.m. EDT on Wednesday.