Tesla’s efforts to make electric cars more affordable are making progress.
After announcing plans to speed up production and start manufacturing low-cost EVs sooner than expected, Tesla’s stock price surged by 12% on Tuesday.
Investors are eager to see what Tesla has in store and how quickly these new vehicles will be available.
What is Tesla planning?
Tesla is reworking its production timeline to launch new models faster.
The company updated its vehicle lineup to accelerate the introduction of more affordable models before the previously projected start date of late 2025.
Elon Musk, President of Tesla, mentioned that production could begin as early as this year or by early 2025.
While details about the design and specifications of the new car remain scarce, it’s known that Tesla had previously discussed creating a cheaper vehicle, referred to as the Model 2, priced below $25,000.
How can I achieve this?
To ramp up production of affordable cars, Tesla may need to modify its Model 2 program.
The company aimed to implement a new manufacturing process that would reduce production costs by half, but this will require substantial investment.
Recent announcements indicate that Tesla plans to build the new vehicle on its current production line, steering away from innovative manufacturing technologies.
Some experts believe this shift signals the abandonment of the Model 2 plans in favor of continuing to produce existing models.
How much does a more affordable car cost?
The exact price of the upcoming “more affordable” model remains unknown, but Tesla initially aimed for a $25,000 price tag to compete with Chinese electric vehicle manufacturers.
However, revised plans suggest that cost savings may not meet previous expectations.
Source: www.theguardian.com
