Tesla Stock Drops As Musk Denies Report of Abandoned $25,000 Model Plans

• Reuters reported Tesla is abandoning plans for $25,000 "Model 2" starter car, citing internal documents • Musk accused Reuters of "lying again" in response to the report • Report caused Tesla stock to drop nearly 5% • Musk has long touted plans for a lower-cost Tesla model to attract budget-conscious buyers • Price-cutting wars are intense in Chinese EV market, with models selling for as low as $10,000