Tesla teases new EV sketch, likely to be its most affordable Model 2

Elon Musk is expected to unveil the new entry-level Model 2 electric car during the Investor Day event on March 1. Ahead of that, the sketch of the electric car has appeared on an advertisement shared by the carmaker, inviting workforce in China. Tesla had earlier said that the new entry-level electric car will be designed, developed, and produced in China for global markets. More recently, the EV maker shared a glimpse of the sketch in a video on Tesla's new engineering headquarter in California. The video also has glimpse of other sketches of upcoming models, possibly facelift versions of its existing line-up.

According to reports, the upcoming cheap electric car will be 15 per cent shorter, 30 per cent lighter compared to Model 3, Tesla's smallest offering till date. The upcoming EV is also likely to be equipped with a battery pack that is 25 per cent smaller. The reports claim the new EV will cost overall 37 per cent less with all the changes in design, architecture, and manufacturing of the electric model. Elon Musk had earlier said that the new platform is capable of producing electric cars at half the cost of the Model Y and Model 3.

If all of this ends up being true, it would mean a gross margin of over 20% on the Tesla Model 2. The smaller EV could help Tesla ramp up its sales in China as well as provide a way for Tesla to slowly ramp up interest in a similar model for the US market.

Check out Upcoming EV Cars in India, Upcoming EV Bikes in India.