Tesla said Wednesday that it remains on track to begin production of its Model 3 sedan in July, with road testing already underway.
Enthusiasm for the mass-market sedan has helped drive Tesla’s stock to all-time highs in recent weeks, and pushed its market cap above both General Motors and Ford, the two largest U.S. auto makers by sales.
“Model 3 vehicle development is nearly complete as we approach the start of production,” Tesla said in a letter to shareholders.
“Release Candidate vehicles, built using production-intent tooling and processes, are being tested to assess fit and finish, to support vehicle software development and to ensure a smooth and predictable homologation process. Road testing is also underway to refine driving dynamics and ensure vehicle durability,” the company said.
The homologation process is the steps needed to certify vehicles meet regulatory standards.