black and gray tesla logo

Photo by Austin Ramsey on Unsplash

Tesla Readies for Next Big Launch: Updated Model Y

December 27, 2023

Tesla Inc., the industry-leading electric vehicle (EV) manufacturer, is reportedly getting set to launch an upgraded version of its highly successful Model Y from its Shanghai production facility, according to unnamed sources.

As competition intensifies in the domestic market with rivals rolling out new products, Tesla is reportedly focusing on preparation work for its updated Model Y SUV in China. The fresh iteration of the Model Y could potentially go into mass production as early as mid-2024, stated the sources, who requested anonymity due to the sensitivity of the information.

The Model Y 2024 version is set to feature more significant exterior and interior modifications compared to the latest update in October, which introduced a new wheel design and ambient lighting enhancements. Details about the specific changes remain undisclosed.

The first run of the latest Model Ys will reportedly originate from the second phase of Tesla’s Shanghai production facility. The facility is expected to pause production for approximately one week around New Year’s for a partial upgrade, as informed by one of the sources. Before mass production begins, further modifications will need to be implemented.

Since its establishment in 2019, Tesla’s Shanghai factory is responsible for over half of the company’s worldwide deliveries. The Model Y, first introduced in 2020, has gained remarkable popularity, earning a top spot among global best-selling EV models. In China, Model Y deliveries accounted for nearly 75% of Tesla’s total sales, according to data gathered by Bloomberg Intelligence.

Tesla’s rivals, both legacy automakers such as BYD Co. and newcomers like Xpeng Inc., are upping the stakes by unveiling a barrage of new vehicles aiming to gain market share across different categories. BYD, based in Shenzhen, is on the verge of outpacing Tesla in worldwide fully electric car sales, likely within this quarter.

Earlier this year, Tesla refreshed its six-year-old Model 3 sedan with a sleeker look and extended range to attract more customers.

In terms of new-energy vehicle sales, which include plug-in hybrids and pure-electric cars in China, there was a 40% increase in November compared to the same period last year, and an 8.9% increase from October, to reach 841,000 units. This data was released by the China Passenger Car Association earlier this month.

Recent News