A cheaper model of Tesla electric vehicle is coming late next year, CEO Elon Musk told investors today. If it launches on Musk’s ambitious timeline, it might arrive in time to help Tesla parry the growing might of Chinese EV makers.
The “next generation” compact vehicle Musk mentioned could represent the $25,000 entry-level EV teased in a recent biography of Musk by author Walter Isaacson. Musk didn’t mention a price point for the future vehicle on today’s call. But if Tesla hits that 2025 production target, the vehicle could become the cheapest EV on the US market and competitive with budget EVs offered by rival automakers in other countries. Tesla currently sells a base Model 3 for $35,100. Musk did not specify when customers might start receiving the new model.
The cost of EVs is a significant barrier to their further adoption. A recent global survey by the consultancy…
