Posted 4/5/2024, 7:08:34 PM
Tesla Drops $25,000 Budget EV Plan, Will Focus on Robotaxis Instead
- Tesla has reportedly scrapped plans for $25,000 budget EV model that was expected in 2025, will focus on robotaxis instead
- Budget EV project, codenamed "Redwood", was planned for 10,000 units per week production volume
- Scrapping affordable model breaks Musk's longstanding promise to use luxury vehicles profits to fund cheaper mass market cars
- Decision leaves Model 3 sedan, starting around $39,000, as Tesla's cheapest vehicle
- Move comes as EV demand is slowing in U.S. while competition is fierce in China from automakers like BYD