According to Reuters on Friday, there has been a delay in the manufacturing debut of Tesla Inc.’s more reasonably priced vehicles, such as the Model Y’s stripped-down variant.
In the first part of the year, the electric vehicle manufacturer intended to introduce its less expensive Model Y, which it internally refers to as the E41. According to those with knowledge of the situation, manufacturing will now be delayed by at least three months, Reuters reported. The news source did not provide an explanation for the hold-up.
The setback was announced before of Tuesday’s highly anticipated earnings call, when investors will be examining the company’s plans for its newest cars.
After the automaker’s lowest quarterly vehicle sales since 2022, the firm is concentrating heavily on the less expensive mass-market EVs. Its market share dropped from more than 75% in 2022 to less than 50% in 2024, and its deliveries hit a three-year low in the first quarter.
Elon Musk, the CEO of Tesla, may also be under pressure from the company’s profits to respond to claims that his political activities, particularly his controversial destruction of federal agencies, would continue to negatively impact his company.