The entry-level electric vehicle, referred to as the Model 2 or the "small EV," has been the subject of rumors for some time. Tesla's CEO, Elon Musk, has previously mentioned that the vehicle would cost around $25,000 and have production costs roughly half that of the Model 3. With the Model 3 already being one of the most popular electric vehicles in the world, an even more affordable Tesla could significantly increase its market share.
While the reported by Chinese outlet 36 Krypton production capacity of 4 million units per year is a huge number for the automaker, it aims to produce 20 million cars annually by 2030. Currently, Tesla's capacity is around 2 million vehicles per year, but new factories like the one in Mexico will help boost this figure. If the Cybertruck also goes into mass production, as Musk has claimed, this will further contribute to meeting the company's ambitious production goals.
However, it's important to note that insider reports about Tesla should be taken with a grain of salt since the company doesn't have a PR team. As such, it remains to be seen whether this report will prove to be true. Nonetheless, if the automaker does achieve its production goals, it would be a significant achievement given that it is double what Toyota, the current production leader, managed in 2022.
Source: 36 Krypton
