Reportedly priced at €25,000 , the new Tesla model intensifies industry competition amid eroding profits from price wars.
Chief executive officer Elon Musk announced the plan last week when he visited the Tesla factory in Gruenheide, without saying when production would start, according to the report. The Tesla news also comes after the European Union launched an anti-subsidies probe into EVs manufactured in China, a move that may see measures such as countervailing duties imposed.
A cheaper model by Tesla, produced in Germany, may improve the US firm’s competitive edge over Chinese brands as carmakers race to bring down costs and make appealing, affordable EVs.
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