Part 7/10:
Musk discusses in detail Tesla’s strategy in China, where demand remains robust for high-end models but could distort if the economy worsens. He envisions the necessity of launching a cheaper model—akin to a “Tesla Highland”—to sustain growth amidst external economic pressures.
Tesla has been working on various cost-reduction initiatives, including new manufacturing techniques like rear-piece castings for the Model Y, which could significantly lower production costs. Musk advocates for introducing more affordable vehicles, especially with the anticipated release of a $25,000 to $30,000 Tesla aimed at capturing the economy segment in China.