Business Desk 
Oct 07, 2025
In a move which seems to be an attempt to revive its declining sales, electric vehicle (EV) giant Tesla is set to launch a more affordable version of its globally popular Model Y SUV.
The primary reason behind introducing a cheaper version of Model Y SUV is to boost sales and regain market share in the face of growing competition.
Although he scrapped plans for a new $25,000 EV last year, Tesla CEO Elon Musk promised vehicles for the mass market long ago.
The new Tesla Model Y will be based on existing manufacturing and design platforms, Reuters reported .
The EV titan teased two videos on X (previously Twitter), stirring euphoria among fans. One of the two teasers features headlights emerging from darkness, while the other shows a spinning wheel, ending with "10/7," indicating the launch date.
Since there’s no announcement of an in-person event, further insights into the new Tesla car's price, driving range, and cost-cutting measures are eagerly awaited by analysts and investors.
Prior to this, Musk mentioned that the new Model Y SUV variant would be priced below $30,000, even after including US EV tax credits.
In a separate development, Tesla car prices in the US rose by $7,500 when the credit ended, which led to better quarterly sales, but a slowdown seems on the horizon unless the new affordable model arrives.
Musk had claimed in July that consumer interest was high, but many potential buyers lack the funds.
It's worth noting that Tesla has been witnessing low sales particularly in China and Europe, mainly because of increasing competition.
