Tesla has announced that it has started production on its long-anticipated affordable electric vehicle, a variation of the Model Y, as it seeks to address mounting sales challenges. Elon Musk acknowledged that the new model is essentially a stripped-down version of the Model Y, aiming to attract a wider customer base amid a significant drop in demand for electric vehicles. The company reported its steepest sales decline in over a decade, with net income falling 16% to $1.2 billion. Despite the optimistic push for cheaper cars, production of the new model may be slower than initially expected, raising questions about its potential impact on revenue. As the automaker grapples with declining figures, industry analysts remain skeptical about whether the new affordable model will effectively expand market share or serve merely as a temporary solution to current issues.