Tesla will delay production of its more affordable electric vehicle (EV) models, including the budget variant of its best-selling Model Y, Reuters Sign up for CBT News’ daily newsletter and get the latest industry stories delivered straight to your inbox. Tesla is under increased pressure following disappointing first-quarter financial results. Q1 2025 was the automaker’s weakest quarter since 2022, and its market share has shrunk significantly from over 75% in 2022 to just under 50% in 2024. The EV market is heating up with legacy automakers such as General Motors, Ford, and Volkswagen closing in, and newer rivals like Rivian and Lucid, although significantly smaller than Tesla, are offering fresher models. In addition, CEO Elon Musk is also facing growing criticism for his involvement with the Trump administration and for spearheading the controversial U.S. Department of Government Efficiency (DOGE). His dismantling of federal agency operations has drawn scrutiny, with concerns that it may hurt Tesla’s reputation and performance. In addition, a “Tesla Takedown” movement has gained traction globally, with thousands of individuals publicly protesting Musk. Several incidents have occurred in which Tesla vehicles and dealerships have been set on fire