Tesla CEO Elon Musk has revealed plans to launch a new, more affordable electric vehicle (EV) that is expected to cost about half as much to manufacture as the current most affordable Tesla model, the Model 3.
While details on the release date were not provided, Musk did mention that the car will operate mostly in autonomous mode. The move towards affordability is crucial for Tesla’s goal of producing 20 million EVs annually by 2030 and expanding its reach into new markets.
The company is reportedly exploring potential locations for new production facilities and is in talks with Mexican officials for the construction of the world’s largest EV factory.
Musk believes that having a Tesla EV priced around $25,000 (approximately ₹20.52 lakh) is important, especially for tapping into developing countries where affordability is key.
Tesla has already announced price cuts in various markets to attract more buyers, and the upcoming smaller EV could play a critical role in expanding the company’s reign in the EV market.