Tesla CEO denies report on cancelling low-cost model

Tesla CEO, Elon Musk has denied a report by Reuters that claimed that the electric vehicle (EV) company has canceled its plans to launch a low-cost model.

The report mentioned that Musk has changed the course of its business strategy and he’s now focusing on robotaxi market.

During the 2023 earnings call in January, Musk mentioned that the company could start the production of its next-generation EV model by the second half of 2025

He said the company is spending a huge amount of advanced manufacturing technology to build this model. Tesla’s chief has also confirmed that volume production may take some time probably in 2026 or 27.

Based on the previous reports, the company will initiate the model’s production at the Texas factory, then take it to Mexico and other plants that may be built shortly.

Musk also warned the company may face slower growth through 2024 based on the current market stream. However, he also shows optimism that the conditions might change with the release of this new model.

“I’m often optimistic regarding time. But our current schedule shows that we will start production toward the end of 2025, sometime in the second half” Musk told analysts.

There are no design details or schematics currently available about this low-cost model at the moment.

(source)