Overview

• Elon Musk confirmed during Tesla’s Q2 earnings call that the long-promised $25K entry model will instead be a heavily decontented version of the Model Y.
• Videos and images posted on Chinese social media in July show early production units cloaked in camouflage but missing key exterior features.
• The budget trim replaces the panoramic glass roof with a solid panel, removes full-width LED light bars and deletes the rear passenger infotainment screen.
• Inside, Tesla has swapped vegan leather for textile seat covers, reduced speaker count, split the center console and eliminated rear coat hooks and climate-controlled seats.
• Tesla plans to launch the simplified Model Y in China later this year with pricing positioned between its base Model Y and top-tier Model 3.