Tesla R&D Center Where $25K Model Will Be Developed Is Done

It's been rumored that trial production phase could begin by the end of this year.

By: Andrei Nedelea

Oct 21, 2021 at 10:14am ET

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Tesla has several important projects that it’s currently working on, and they are all significant for different reasons. The biggest priority right now is to get the Model Y in production in Texas and Germany, then start making the Cybertruck and also continue development of the rocket-powered Roadster, but there’s one more major project that’s also in progress right now.

We are, of course, referring to the much discussed $25,000 model, the vehicle that promises to make Tesla an attainable brand for a much wider audience. One major point about this model is that it will be designed in China, where its main market will be, in a special research and development center whose construction was underway.

In fact, Tesla posted ads looking for engineers and designers to staff the new center back in August, so even then it was close to being completed. Now, the manufacturer confirmed in its recent earnings call that the R&D center in China is completed, although they didn’t share any additional information on it.

The $25,000 Tesla is expected to a hatchback that will probably be smaller than the Model 3, but it will still have a very impressive range, performance and tech features. What some are speculating will happen once this model hits the market is it could start taking sales from ICE models, thus helping accelerate the global shift to EVs.

Whatever the case may be, aside from completing the research facility where the $25k model is being developed and hiring the people to work on the project, Tesla has also reportedly worked on the supply chain for the vehicle. It was even reported at one point that Tesla may even begin testing the vehicle as early as the end of 2021, although no additional confirmation came after said rumor.