New Delhi:Tesla is developing an all-new, smaller, cheaper electric SUV, as told to Reuters by people familiar with the matter. The automaker has contacted
suppliers over the past few weeks to discuss details of the plan for the compact, which would be a new vehicle and not another trim of Tesla’s present line of Model 3 or Y.
The conversations included the manufacturing process and specifications for different components. Three of the people
Reuters spoke to said that the compact SUV would be made in China, and one noted that Tesla is also targeting to expand production to the United States and Europe.The car would be 4.28 meters in length, as per the sources, which is much shorter than the Model Y SUV, which stands at 4.78 meters.
Tesla’s journey with a low-cost EV project
The efforts come after a decision from CEO Elon Musk to scrap the highly anticipated low-cost EV project in 2024, and the brand moved towards the robotaxis and humanoid robots. A big question remains if this new effort to make a smaller SUV signals a shift back to mass-market human-drive EVs or if the new model would align more with Tesla’s fully autonomous vehicles’ vision.
Such types of models could likely serve purposes, as per one of the people familiar with the new-vehicle project and a Tesla employee with knowledge of the brand’s present product philosophy. While there are no other details known, in general, the brand aims to make models that would be driverless but come with a human-driven option.
Of course, while looking for full autonomy across its lineup, Tesla knows quite a few global markets won’t see meaningful adoption, or regulatory acceptance, either for driverless cars, for quite some time. Having the option to make a particular model with or without driving controls might enable more sales and help Tesla ensure that it can keep its car factories running near capacity, as per Reuters. Tesla hasn’t confirmed any comments on the said subject, so all of this remains quite speculative still.
