Tesla has a new electric vehicle in the works, though truth be told, we know very little aboutthe Model Y crossoverat this stage.
But ina letterto investors published on Wednesday, January 30, Elon Musk, the man who runs the Tesla show, confirmed that the company will start tooling for the Model Y this year with a view to achieving volume production “by the end of 2020.”
Musk also revealed that the Model Y is “most likely” to be manufactured not atits Fremont factory, which is already running at capacity producing other Tesla cars, but at its enormousGigafactory 1 facilityin Nevada.
He added that the new SUV will share “about 75 percent” of its components with the Model 3, and as a result the cost of the Model Y production line “should be substantially lower than the Model 3 line in Fremont.” The production ramp is also expected to be faster.
Speaking later in an earnings call, Musk said that the buoyant midsize SUV market means the Model Y volume could be 50 percent higher than the Model 3. Tesla delivered around 140,000 Model 3 vehicles in 2018, with the other 110,000 sales split between the more expensive Model S and Model X autos.
Musk has said previously that Tesla would take the wraps off the much-anticipated Model Y on June 19, 2025, though it’s not clear if that date still stands. For now, all we have are a couple of stylized teaser images revealing, well, not much at all … except that the vehicle may ditch sideview mirrors for cameras. If that’s the case, it’ll have to convince regulators that such a design poses no safety risk. Pricing for the Model Y isn’t known at this stage, though it has been suggested the base model could cost around $40,000.
Musk’s comments regarding the Model Y came as Tesla reported profits for two consecutive quarters for the first time in its 16-year history. The latest profit registered at $139 million for the closing three months of 2018, with revenue of $7.2 billion — a new record for the company.
In his letter to investors, Musk confirmed that looking ahead, Tesla will “continue to develop our main projects, such asGigafactory Shanghai, Model Y andTesla Semi,” while also working to expand itsSuperchargernetwork.
