Overview
- Reuters, citing company insiders, reports Tesla has begun early work on a compact budget SUV, with the program not yet approved and a start of production this year viewed as unlikely.
- Tesla has contacted suppliers in recent weeks to review manufacturing steps and component requirements for the new model.
- Sources say the vehicle is being designed to operate driverless or with a human at the wheel to address uncertain rules for full autonomy and keep factories better utilized.
- Initial production would take place in China with potential expansion to the United States and Europe, according to several of the sources.
- Reported targets include a length near 4.28 meters, a smaller battery with reduced range, a single electric motor, and weight around 1.5 tonnes to cut cost.