During the first-quarter earnings call, Musk remained elusive about Tesla’s plans for an affordable EV model and the upcoming robotaxi, scheduled for revealing on August 8. However, insights from the shareholder deck hint at a potential launch of an affordable EV model using existing architecture and production lines.
Speculation suggests that Tesla might introduce a low-cost variant of the Model 3, possibly in a hatchback form. Tesla’s initial plans, outlined during last year’s Investor Day, hinted at launching an affordable EV model from its advanced manufacturing facility in Mexico.
This announcement generated excitement among Tesla enthusiasts and investors, as it aligned with Tesla’s ambitious goal of achieving 20 million EV yearly sales by 2030. The proposed affordable EV would leverage a revolutionary manufacturing process dubbed “unboxed vehicle,” promising significant cost reductions compared to the Model 3/Model Y lineup.
However, recent developments indicate a shift in Tesla’s strategy. Instead of commencing affordable EV production in Mexico, Tesla has redirected its focus to Giga Texas, where it plans to implement the unboxed-vehicle process. Despite this change, Tesla fans remained optimistic about the arrival of the $25,000 model, anticipating its swift entry into the market.
However, hopes were dampened when Reuters reported the cancellation of the affordable EV project, prompting Musk to denounce the claims without offering clarification. In a surprising turn, Musk announced plans to reveal a robotaxi on August 8, hinting at a potential launch in China rather than Austin, as previously speculated.
The fate of the affordable EV project remains uncertain, fueling speculation and debate within the Tesla community. While some believe the project has been shelved, others remain hopeful for its eventual realization. With Tesla executives evading questions during the earnings call and the shareholder deck providing limited clarity, uncertainty persists regarding Tesla’s future EV offerings.