Delayed Affordable Tesla Models — Make or Break for the Company? - CleanTechnica

The article discusses the critical importance of Tesla’s delayed affordable vehicle models, originally planned for production in the first half of 2025, for the company’s future growth and profitability. Despite Tesla’s announcements and ongoing developments like the Model Y refresh and robotaxi pilot program, overall sales have declined in early 2025 compared to previous years, contradicting earlier optimistic projections by Elon Musk. The company faces significant challenges including supply chain disruptions, possibly exacerbated by tariffs, rising costs, and shrinking gross margins, which have made profitability increasingly fragile and dependent on regulatory credits. Tesla’s leadership acknowledges that while production of these new, more affordable models remains on track, the ramp-up may be slower than anticipated due to industry turmoil and last-minute issues. The stakes are high: these models must expand Tesla’s customer base without cannibalizing sales of higher-margin vehicles like the Model 3 and Model Y. Failure to successfully launch and sell these vehicles could lead to continued sales stagnation or decline, threatening Tesla’s