How Tesla is planning to revamp the Model 3

Tesla Inc.The EV maker is developing a refreshed version of the Model 3 that aims to cut production costs and make the five-year-old electric sedan more attractive, according to four people familiar with the effort. That’s it.

One focus of the redesign, codenamed “Highland,” will be to reduce the number and complexity of the Model 3’s internal components and improve Tesla’s display, including the display, according to the people, who spoke on condition of anonymity. Focus on features that buyers care about. No modifications have been announced.

The previously unreported redesign comes as electric sedans face increasing competition from models from most major automakers.

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Modifications to the battery-powered sedan, which may also change the Model 3’s exterior and powertrain performance, will be produced at Tesla’s factory in Shanghai and the company’s flagship factory in Fremont, Calif. Yes, two officials said. Tesla’s Shanghai Gigafactory plans to put the redesigned Model 3 into production in the third quarter of 2023.

It wasn’t clear when the Fremont factory would start production, or how much cost-savings Tesla could achieve through the redesign, working with suppliers.

The effort shines a spotlight on approaches to vehicle development pioneered by Tesla and now being copied by other automakers, including: Toyota Motor Corporationwhich reduces complexity and cost in production.

It’s also an example of one of Tesla’s key projects moving forward as CEO. Elon Musk focused on him Acquisition of troubled Twitter It’s been an area of ​​concern for Tesla investors in recent months.

Tesla did not respond to a written request for comment from Reuters.

visible change

The Model 3 redesign builds on last year’s refresh of Tesla’s premium EV sedan, the Model S. Its redesign adds an airplane-style yoke in place of a traditional steering wheel, removes buttons and traditional air vents, and is part of a minimalist interior centered around a 17-inch electronic display.

The Model 3 was Tesla’s cheapest EV, starting at just under $47,000 in the US, and was the automaker’s best-seller before being overtaken by the Model Y crossover. With only four models being produced, any styling change in any part of Tesla’s lineup would be very significant compared to the established automaker.

Ed Kim, president of Auto Pacific Group, which tracks market trends and production, said the current Model 3 has already been updated from the version first launched in 2017. This is due to the way Tesla updates battery performance, information and entertainment options through software. even if it looks the same.

“That said, consumers still tend to equate visual change with newness,” he said. “Tesla knows it needs a visually tangible change.”

“The upcoming changes that potential customers can see and feel will ensure that EV customers still have Tesla in mind as truly superior Tesla alternatives begin to flood the market. very important above.”

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