EV giant Tesla Inc. is set to launch the Performance variant of its refreshed Model Y later in the year. This news was confirmed by company executive Lars Moravy in a recent interview.
What Happened
Tesla launched the refreshed version of its best-selling Model Y SUV in January. The launch series, which includes a long-range all-wheel drive variant of the refreshed vehicle, is currently listed on Tesla’s U.S. website alongside the older variants of the vehicle. However, other variants of the refreshed vehicle, including the premium Performance variant, will be launched later this year.
Launch Plans
According to Moravy, Vice President of Vehicle Engineering, “Actually we’re starting with the launch edition and then all of the other variants - the dual motor, base edition rear-wheel drive, performance, and seven-seater options - those will come later in the year.” Tesla commenced production of the refreshed vehicle less than two weeks ago across its four vehicle factories around the world in California, Texas, Shanghai, and Berlin. Deliveries of the vehicle are slated to start in March.
Why It Matters
Elon Musk, Tesla CEO, warned that the company will lose production in the days of retooling factories to prepare for production of the refreshed vehicle. The CEO also warned that margins will be impacted due to idle capacity and other ramp-related costs. However, these challenges will be overcome once production is ramped, he said. The Model Y is Tesla’s best-selling vehicle, and the refreshed vehicle’s launch follows the company reporting a fall in vehicle deliveries for the first time in over a decade.
Key Facts
- Tesla reported global deliveries of 1.79 million vehicles in 2024, down from full-year deliveries of 1.81 million in 2023.
- The Model Y is Tesla’s best-selling vehicle.
- Tesla commenced production of the refreshed Model Y less than two weeks ago across its four vehicle factories around the world.
Conclusion
The launch of the high-performance Model Y later this year is a significant development for Tesla, as it looks to boost sales and production. With the company’s best-selling vehicle getting a refresh, Tesla is poised to overcome the challenges it faced in 2024 and move forward with its plans for electric vehicle dominance.