What's the story Tesla is said to be working on a new compact EV, internally dubbed "Model Q," priced under $30,000 after subsidies. The news came from Travis Axelrod, Tesla's head of investor relations, who spoke at an investor conference hosted by Deutsche Bank earlier this month. The project, dubbed Project Redwood, would make the Model Q much smaller and lighter than the existing Model 3. Here's what to expect from the upcoming EV. Design details Model Q's production and potential impact on Tesla's sales Production for the Model Q is expected to start around June 2025, with Tesla targeting an output of around 10,000 units per week globally. This would be about 500,000 vehicles a year. The new model will be built on existing assembly lines with minimal changes to ensure a smooth production ramp-up. Axelrod said the new model could increase sales by 20% to 30%, although profits might dip due to investment in the new lineup. Release doubts