Tesla announced Tuesday that it is accelerating its timeline to launch new models, including a more affordable vehicle.
During a Q1 earnings call, CEO Elon Musk said the company will start production on new models early next year, rather than the second half of 2025 as previously stated. The new electric vehicles will use aspects of Tesla’s next-generation platform, as well as aspects from its current platform, he said.
“It's not contingent on any new factory or massive new production line — it'll be made on our current production lines much more efficiently,” Musk said.
Musk declined to share any further details with analysts.
In its Q1 financial report, Tesla cautioned the acceleration may result in less cost reduction than previously expected. However, the EV maker said the update would allow the company to grow its vehicle volume “in a more capex-efficient manner.”
The acceleration will also enable Tesla to reach its expected annual production capacity of nearly three million vehicles. The company aims to increase production by more than 50% before investing in new lines.
Tesla produced nearly 1.85 million vehicles and delivered about 1.81 million in 2023, according to its Q4 earnings report.
