EVwire brief: Tesla is reportedly back to developing a smaller, lower-cost SUV. Reuters’ sources claimed that the new model would be shorter, lighter, and significantly cheaper than existing vehicles, including the Model 3 RWD and Model Y RWD.
Tesla has reportedly approached suppliers in recent weeks to discuss specifications and manufacturing for an all-new compact SUV. The vehicle is expected to measure about 14 feet in length, making it smaller than the regular Model Y, which is 15.7 feet long.
While these rumors are emerging again, sketches of a smaller Tesla have been around for some time. This image was shared in promotional materials from Tesla China back in 2020:
This compact vehicle looked like it was based on the original Model 3 and Model Y
Cost reductions are expected to come from a smaller battery pack, a single-motor configuration, and a lighter overall design of roughly 1.5 tons, compared to about two tons for the Model Y.
Reuters’ sources claimed that the model would be priced below the Model 3. This would make it Tesla’s most affordable vehicle to date.
Three of the publication’s sources claimed that Tesla is targeting production at Gigafactory Shanghai, with potential expansion to the United States and Europe later on.
A video shown during the launch of Tesla’s Engineering HQ also featured sketches of a vehicle that has not been announced
Rumors of Tesla’s affordable car over the years
Rumors of an affordable Tesla have been around for a while. Back in 2020, Elon Musk stated that Tesla is aiming to achieve an annual sales output of 20 million vehicles. To achieve this, Tesla will be selling affordable cars that are produced at a very high volume.
The affordable cars will reportedly share a platform. One will be a small, autonomous Robotaxi, and the other will be a compact vehicle with manual controls.
The Cybercab is produced on a completely new platform
The autonomous affordable car ultimately became the Cybercab, which is being produced at Giga Texas today. In 2024, however, reports emerged claiming that Tesla had abandoned plans for the entry-level car.
Elon Musk later stated that Tesla is going all-in on autonomy, so it would not make much sense to focus on an affordable vehicle with manual controls.
Tesla did release more affordable vehicles last year, though they were essentially stripped-down versions of the Model 3 and Model Y. The new variants did bring down the entry point to the Tesla ecosystem, but they were not the compact, affordable cars that were long rumored.
Reuters’ recent reports should be considered as a rumor, as Tesla has been very tight-lipped about any projects pertaining to a smaller, affordable car. Of course, there are rumors about a vehicle built on the Cybercab platform with manual controls, but that’s a whole other can of worms.
Source: Reuters
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