AUTO

Everything We Know About Tesla Model Q and Its Launch Plans

December 10, 2024

Tesla’s Model Q may launch in 2025 priced under $30,000 with subsidies.
The EV is rumored to be smaller and lighter than the Model 3.
Production could use Tesla’s existing lines or a new platform.

Tesla’s rumored affordable electric vehicle, codenamed “Redwood,” has stirred excitement, with talk of a starting price under $30,000. Yet, conflicting reports and a lack of clear confirmation leave the details of the so-called “Tesla Model Q” uncertain.

According to GlobalChinaEV, Travis Axelrod, Tesla’s Head of Investor Relations, shared details about the vehicle with Deutsche Bank, indicating that Tesla plans to launch a new electric car in the first half of 2025.

The name “Model Q” appears to be an analyst-created placeholder, not an official title.

2024 Tesla Model Y Test Drive Demo at Electrify Expo Denver — _{Tesla Model Y test drive at Electrify Expo. Rumors suggest that the Model Q will be smaller than the Model Y.}

The new EV is expected to be approximately 15 percent smaller and 30 percent lighter than the Model 3, translating to significant savings in production costs, potentially reducing manufacturing expenses by half.

Battery configurations of 53kWh and 75kWh, along with single- and dual-motor variants, are rumored to be in the works. Becky Peterson of The Wall Street Journal, who reviewed the Deutsche Bank report, confirmed that Axelrod discussed the vehicle but noted that concrete specifications about its size and platform were absent from the document.

Becky Peterson of The Wall Street Journal discusses Tesla Model Q rumors, referencing Travis Axelrod and Deutsche Bank's insights on a potential $30,000 EV — _{Source: X}

While the notion of an EV priced below $30,000 excites consumers, the reality of achieving such a target is complex. Peterson notes that the vehicle’s potential base price could land closer to $37,499 without subsidies. This aligns with CEO Elon Musk’s earlier statement that a Tesla priced at $25,000 would not materialize anytime soon.

Additionally, speculation surrounds whether this vehicle will utilize existing production lines or a new platform. The name “Redwood” has been tied to Tesla’s paused mass-market platform initiative, but its relevance remains uncertain.

Musk’s own comments about a non-Robotaxi affordable EV provide no further clarity, leaving analysts and enthusiasts to speculate about the true direction Tesla is taking.

Becky Peterson of The Wall Street Journal discusses Tesla Model Q details shared by Travis Axelrod with Deutsche Bank, mentioning Robotaxi rumors. — _{Source: X}

Tesla’s push for affordability places it in direct competition with established and emerging players in the sub-$30,000 EV market. Brands like Chevrolet, with its Bolt EV, and new players from China’s growing electric vehicle market are gaining ground.

For Tesla, known for its premium pricing and innovative technology, delivering a cost-effective vehicle without sacrificing quality could be a delicate balancing act.

Despite the uncertainties, the prospect of a more affordable Tesla remains enticing for consumers. If executed well, the rumored vehicle could expand Tesla’s customer base dramatically, attracting those who previously considered the brand out of reach.

Electrify Expo Seattle 2024 Tesla Model 3 — _{Tesla Model 3 showcased at Electrify Expo for attendees. Rumored Tesla Model Q expected to be smaller with 53kWh and 75kWh battery options and single- or dual-motor variants.}

For now, the Tesla Model Q, or whatever it may ultimately be called, remains an idea shrouded in ambiguity. As Musk himself said, “A cheaper Tesla is coming in the first half of 2025,” but no further details have been officially announced. While the Deutsche Bank report adds some fuel to the discussion, it brings more questions than answers.

Tesla continues to captivate the public, even without solid details. Whether this affordable EV happens or remains a rumor, the anticipation highlights Tesla’s lasting impact on the industry.