Tesla Reveals Plans to Release New EVs Earlier Than Scheduled, to Introduce Cheaper Models

Tesla held a conference call with its investors on Tuesday, April 23, and Elon Musk revealed during the meeting that they plan to release new electric vehicle models earlier than previously scheduled. He said production of these new EVs will begin in early 2025.

According to Business Today, Tesla launched new models to recover its top position in the EV market. The unveiling of the company's ambitious plans caused a share surge, which increased by almost 11% during after-hours trading.

Aim to Reclaim its Top Position in the EV Sector

Tesla has been leading the EV market for a long time, but many new electric car manufacturers have emerged in recent years, and the market has become very competitive. Some Chinese EV makers managed to displace Tesla as the leading EV company, which is why it will launch new cars to reclaim its original position in the industry.

Likewise, Tesla faces challenging competition, so it will boost sales by offering something new to customers and developing and selling cheaper models to attract more buyers.

Affordable EVs: The Next Generation of Tesla Models

The EV maker will use its existing production lines to make models that would be light on the pocket. Tesla believes that this strategy of producing more affordable vehicles will not only help attract more buyers but will also lower production costs, which is beneficial for the company.

Tesla explained that this strategy of launching new models will also allow the company to better control capital expenditures amid changing market conditions. The company confirmed its shift to producing cheaper EVs as it released its Q1 2024 financial results.

Finally, Electrek reported that Tesla may release a smaller version of its Model 3 to lower the price. The brand's "next-generation" of EVs will include Robotaxis.

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