Elon Musk, CEO of Tesla, Recently said during an earnings call with investors that the current models in Tesla’s arsenal are all expensive, and the brand needed to launch a new, cheaper compact car sooner. “It is important to make the car affordable. The kind of thing that bothers me the most about where we are right now is that our cars are not so cheap. We need to fix it, ” Musk said.
Currently, the Tesla Model 3 is the cheapest car in the company’s lineup, priced at $ 37,990 (equivalent to about Rs 28.5 lakh) starting from the base variant in its domestic market. Although it is relatively inexpensive compared to other models of Tesla, it is not an absolute cheap car.
In addition, there are a lot of markets like India and other South Asian countries, where a price tag of $ 35,000 + would be considered suitable only for a luxury car and not an affordable family car. Just a few days ago, Elon Musk tweeted that he hopes to enter the brand in the Indian market soon, But at the moment, the EV brand does not have the necessary equipment to win buyers.
Some reports have also suggested that Tesla will manufacture this new car entirely in China, although it will be designed and developed in Germany. The company is building a Gigafactory in Germany, which could potentially rival the production capacity of its Shanghai facility.
Musk has not commented on how long it will take for the new model to see the light of day, nor has any official statement been made by the company. There are a lot of media reports claiming that the new car will be called ‘Model 2’. We are yet to see any design sketches, although given how great all the other models look, we are sure that Tesla will make something good.
For Tesla’s entry into India, the lack of EV infrastructure will be the biggest hurdle for the company’s operations in our country. In fact, vehicle manufacturers currently operating in India are facing the same problem. With the lack of electric charging stations, electric cars are not practical for themselves and at the moment regularly use them as fossil fuel cars.