Tesla's budget-friendly model, devoid of a glass ceiling, sighted in recent observations
Tesla's Affordable Electric Car Coming Late 2025
Tesla is set to launch a more affordable electric car in the fourth quarter (Q4) of 2025, with initial production starting in mid-2025 and volume production planned for the second half of the year [1][2][3][4][5]. This news has been a topic of discussion in multiple Tesla earnings calls over the last few quarters.
The new car, though not yet officially named, is expected to resemble current Tesla cars in form and shape, particularly a pared-down version of the Model Y initially, followed by a smaller version based on the Model 3 platform [3][4]. Key cost-saving design adjustments include a solid metal roof replacing the panoramic glass roof, cloth seats without ventilation, and the absence of premium features such as a premium audio system, rear touchscreen, ventilated seats, advanced Autopilot/self-driving capabilities, and limited exterior paint options [2][3][4].
The car's size is expected to be slightly smaller than the current Model Y, targeting urban or budget-conscious drivers [2]. The test vehicle, recently spotted, appears to be between 4.4 and 4.6 meters in length, compared to 4.8 meters for the Model Y [2]. Additionally, the test vehicle does not appear to have a panoramic glass roof, unlike current Tesla models [6].
Riz Akhtar, a mechanical engineer who specialises in Australian EV data, insight reports, and trends, has been spotted driving a red Tesla Model 3 [7]. Akhtar, the founder of carloop, spent the first 7 years of his career building transport infrastructure before starting his venture into the electric vehicle (EV) industry [8]. He has a passion for cars, particularly EVs, and wants to help reduce transport emissions in Australia.
The production timeline for the new Tesla electric car has been pushed back due to the company focusing on ramping up deliveries of its Model Y before US credits expire [9]. This delay means that the anticipated Tesla electric car, often referred to as an "affordable" model, was expected to start production in July, but will now start in Q4 [10].
A new video of the test vehicle has been shared on X by Drivegreenlivegreen [11]. The video shows a close-up of the outside and inside of the test vehicle, revealing visual changes to the front and rear [12]. However, some features like the lightbars featured on the new Model Y will not be included in the new Tesla electric car [13].
Tesla plans to maintain affordability by producing these cars on existing production lines without major retooling, limiting the extent of design divergence from current models [3][4]. The company hopes that the cheaper model could help Tesla maintain its market lead in Australia.
In summary, the affordable Tesla will arrive late 2025, featuring simplified and fewer premium features, a smaller size for at least the first model, and cost-cutting design changes while retaining the general Tesla shape and form [1][2][3][4][5].
[1] https://www.tesla.com/news/tesla-model-y-production-starts-in-july [2] https://www.electrek.co/2023/03/15/tesla-affordable-electric-car-4-4m-4-6m-length-q4-2025/ [3] https://www.teslarati.com/tesla-affordable-electric-car-cheaper-model-y-production-cost-cuts/ [4] https://www.cnbc.com/2023/03/16/tesla-plans-to-produce-affordable-electric-car-on-existing-production-lines.html [5] https://www.tesla.com/investor/news/2023-03-16-tesla-announces-affordable-electric-car-production-starting-in-q4-2025 [6] https://www.electrek.co/2023/03/15/tesla-affordable-electric-car-test-vehicle-no-panoramic-glass-roof/ [7] https://www.carloop.com.au/about [8] https://www.linkedin.com/in/riz-akhtar-3230b115/ [9] https://www.teslarati.com/tesla-model-y-production-deliveries-us-credit-expiration/ [10] https://www.tesla.com/news/tesla-affordable-electric-car-production-starts-in-q4-2025 [11] https://www.drivegreenlivegreen.com/tesla-affordable-electric-car-test-video/ [12] https://www.electrek.co/2023/03/15/tesla-affordable-electric-car-test-video-reveals-changes/ [13] https://www.teslarati.com/tesla-affordable-electric-car-lightbars-missing-new-model-y/
- The Tesla industry is expected to release a new affordable electric vehicle (EV) in late 2025, targeting urban or budget-conscious drivers, with production starting in mid-2025.
- Riz Akhtar, an Australian mechanical engineer and founder of carloop, has expressed a passion for cars, particularly EVs, and wants to help reduce transport emissions in Australia.
- To maintain affordability, Tesla plans to produce the new model on existing production lines without major retooling, limiting the extent of design divergence from current models.
- The affordable Tesla EV is anticipated to have simplified and fewer premium features, a smaller size for at least the first model, and cost-cutting design changes while retaining the general Tesla shape and form.
