Tesla (TSLA) has delayed the rollout of a lower-cost version of its Model Y electric SUV in the United States, Reuters reported Friday, citing people familiar with the matter.
The more affordable variant, known internally as E41, was originally intended to enter production early in the year but is now expected to start several months later, potentially in Q3 or early 2026, the media outlet reported.
The vehicle is part of Tesla's broader push to introduce cost-effective models and help revive softening sales, Reuters added.
The news outlet quoted two sources as saying Tesla has a goal of producing around 250,000 units of this variant in the US during 2026, with additional manufacturing planned for China and Europe.
The reasoning behind the delay is reportedly still unknown, but Tesla also intends to launch a similar basic version of the Model 3 sedan, one source told Reuters.
Tesla did not immediately respond to MT Newswires' request for comment.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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