The clock is ticking on Tesla's mysterious new cheaper models

Core Insights - Tesla is preparing to launch its robotaxi service while also facing a critical deadline for the production of low-cost electric cars, expected to start in the first half of 2025 [1][2] - The company has experienced a significant decline in global sales this year, attributed to consumer backlash against CEO Musk's political views and production issues with the Model Y [3][8] - Competitors, particularly from China, have introduced numerous new electric models, intensifying competition in the EV market [4][5] Production and Sales Challenges - Tesla's product lineup has stagnated since the launch of the Cybertruck in 2023, leading to underwhelming sales [3][4] - Analysts have raised concerns about Tesla's business fundamentals, noting that deliveries did not recover in the second quarter [8] - The recent Senate ruling to end California's zero-emission rules could significantly impact Tesla's earnings, potentially reducing earnings before tax and interest by up to 16% [9] Future Product Developments - Details about the new affordable models remain unclear, but they are expected to be produced on the same manufacturing lines as current vehicles [10] - The new models may include a stripped-down version of the Model Y, although production has faced delays [10] - Currently, the focus appears to be on the limited launch of robotaxis in Austin, leaving uncertainty regarding the broader product roadmap [11]