People who have been holding out hope for a cheaper Tesla shouldn’t abandon that dream just yet. A new report from Deutsche Bank shows that a new sub-$30,000 Tesla is on the way, and it has been nicknamed the Model Q. It should be noted that the price takes into account the $7,500 tax credit from the Inflation Reduction Act, and who knows how long that’ll be around?
Longtime readers might remember the long-held promise by CEO Elon Musk and Tesla that a cheaper model would eventually be coming, but those dreams seemed to be dashed with the introduction of its robotaxi earlier this year. Now though, Travis Axelrod, the head of Tesla’s investor relations, told Deutsche Bank that a new entry-level model would be arriving sometime in the first half of 2025. Here’s more, from Yahoo! Finance:
“The new Tesla model (we refer to as ‘Model Q’) should launch in 1H25 and will be priced
There have also been rumors of a Tesla van for passengers and cargo, and while the cheaper EV was expected, the revelation of the Model Q name and a new Model Y variant coming to China was notable.
Car and Driver points out that this is probably not a completely new model, and I have to agree with them. We haven’t seen any new models testing, so it’s super unlikely that a whole new car would be out in less than a year. If I were a betting man, I’d say the Model Q will probably just be a de-contented Model 3 with cheaper interior materials, less powerful motors and a smaller battery.
This new model, whatever it is, will be built on Tesla’s existing manufacturing lines, according to InsideEVs. That makes me even more sure that it’s just going to be a shittier Model 3. The outlet, which has seen the Deutsche Bank report, says the new model would increase volume by 20 to 30 percent over the next year. However, profits would probably take a dip as Tesla puts money into getting other new models out the door like a long-wheelbase three-row Model Y for China.
Odds are this so-called Model Q won’t be a groundbreaking new vehicle from Tesla, but the automaker is feeling the pressure from other OEMs that are selling EVs at lower prices than it is. Right now, the cheapest Tesla you can buy is the Model 3 at $44,130 including destination. That price doesn’t take into account the EV tax credit, but it’s still a ways away from that $30,000 goal.