$25,000 EV in Three Years?
Aug. 24th, 2018 09:00 am![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png){kind=small}
paserbypTesla, Inc. CEO Elon Musk says that a $25,000 electric car similar to the Model 3 is a distinct possibility, given the proper technology and scale.
“If we work really hard, I think maybe we could do that in three years,” Musk told interviewer Marques Brownlee.
The reference to a $25,000 electric car in the context of the Model 3 discussion is controversial, given the company’s current struggles.
Tesla would now lose approximately $5,900 per vehicle on every Model 3 it sells for $35,000. The team called the base-level Model 3 “unprofitable.”
Tesla is currently not selling the Model 3 for $35,000, however. The Wall Street Journal reported last week that Tesla is only selling more upscale versions of the sedan for prices ranging from $49,000 to $80,000.
Experts say Tesla might be able to produce a $25,000 EV in that timeframe if the company is willing to back off on the Model 3’s capabilities. The only way they could do it is if they are willing to cut the range...
Other manufacturers are more likely to hit the $25,000 target in the next three years. Nissan, for example, already sells its Leaf EV, which has a 40-kWh battery, for $29,900. Nissan, Volkswagen, Hyundai, and Kia could hit the mid-$20K range before Tesla does.
