Tesla Inc (NASDAQ:TSLA) is reportedly readying up to start production of a new electric vehicle model in 2025.
Citing sources close to the matter, Reuters reported Elon Musk’s electric vehicle (EV) firm had informed suppliers that it wanted to unveil the compact crossover car, codenamed “Redwood,” in 2025.
At US$25,000, the car would be designed as an affordable EV, coming in cheaper than Tesla’s lowest-priced Model 3 sedan, which starts at US$38,990.
The model would also be introduced in the wake of heated competition from Chinese EV manufacturers, with Tesla being overtaken by BYD as the world’s largest producer of such cars last year.
Suppliers were asked to send quotes on parts for the new model last year, according to sources, with the company forecasting weekly production at 10,000 vehicles.