Tesla has reportedly delayed the launch of new low-cost model by months, pushing the vehicle's mass production to late 2025 at the earliest.

Tesla had planned to release a more affordable version of its popular Model Y electric crossover in the United States. However, the launch has been delayed, according to Reuters. Tesla had earlier promised to introduce budget-friendly vehicles in the first half of 2025.

While the price point for an "affordable" Tesla hasn't been revealed, Musk has long talked about an affordable EV for around $25,000, which would be roughly half the price of the current Tesla Model Y. The company may be hoping that a cheaper Tesla would help the company boost sales during a difficult time period.