Elon Musk, Tesla’s CEO, announced plans to commence production of the next-generation electric vehicle at its Texas factory in the second half of 2025. Despite this projection, Tesla’s shares dipped 6% in after-hours trading due to concerns about the challenging ramp-up in production for the new vehicle. Musk highlighted the need for revolutionary manufacturing technology, indicating potential delays. The announcement follows an earlier Reuters report on Tesla instructing suppliers to prepare for a June 2025 startup of a smaller crossover vehicle. Tesla also warned of notably lower sales growth in 2024 and reported shrinking fourth-quarter gross margin. Musk anticipates facing a pricing war and increased competition from Chinese automakers globally.