Tesla takes another step towards cheaper EV, may bring it to Indian market2 min read . Updated: 10 Feb 2021, 01:14 PM IST
A more affordable Tesla may take three years to hit markets but may also propel the company and Elon Musk to further highs.
- Model 3 is currently the most affordable Tesla in markets around the world.
Tesla and CEO Elon Musk have already indicated that a cheaper electric vehicle from the American car company could help it tighten its hold in the world of personal electric mobility. While Tesla already has a massive share - and lead - in the global EV space, its planned $25,000 EV could well propel the company to newer heights.
A recent report now states that Tesla's new R&D facility which would be tasked to design the new product could be completed this year itself.
According to a report in Electrek, Tesla's R&D facility in Shanghai is scheduled to be completed in 2021 and that this will be epicenter for the design element of its most-affordable EV yet. Currently, the Model 3 is the cheapest Tesla one can buy and is also slated to be the first product in India once the company comes calling.
A cheaper Tesla could make the product more viable in emerging markets like India where the EV sector is witnessing a gradual growth. Until and unless local production takes place, EVs aren't likely to be for the masses but nonetheless, a more affordable Tesla could well take the brand to more customers.
Musk had confirmed plans of a Tesla under $25,000 during Battery Day in 2020. "Tesla will make a compelling $25,000 electric vehicle that is also fully autonomous," he had said, adding then that it would take around three years for the product to hit markets. It has also been hinted that the car could have a range of over 320 kilometres. (Full report here)
Reports suggest that the more affordable Tesla could be exclusively made in China, a country from where Tesla is already exporting Model 3 and Model Y units to European markets.
And if Model 3's example, and success is anything to go buy, Tesla may be on the right track to have an EV which is even more affordable. Model 3 is a popular offering from the company which has helped it emerge from being a pricey brand to a company that makes cars for the masses. According to a report in EV Sales BlogSpot, 365,240 units of Model 3 were sold in 2020 and the car has a 12% market share in the global EV segment. The car, in fact, sold more than the combined sales figures of the next two on the list for 2020 - Wuling HongGuang Mini and Renault Zoe. (Read full report here)
How much can and will the EV lanscape change once an even more affordable Tesla comes around? Time will tell.