"Global strategic models" are being phased out

SelfStaking · 2026-03-11T06:59:01+00:00

The "global strategic models" in the global supply chain are disappearing. Tesla has stopped developing low-cost models, reflecting an increasing trend of industry "fragmentation," and automakers are forced to reconstruct their business models. Tesla's "Model 2" project has been canceled, and the company will continue to optimize the "Model Y" in the future.

SelfStaking

2026-03-11 06:59:01

Abstract generation in progress

The global supply chain and the “global strategic models” that symbolize the benefits of free trade are disappearing. U.S. electric vehicle (EV) giant Tesla has stopped developing low-cost global strategic models. A “fragmented” world is gradually becoming the norm, where no single entity leads in innovation or rule-making. Automakers are being forced to rebuild their business models.

Tesla’s “Model 2” Fails to Launch

“We hope to extend the contract by about five years.”

By 2025, executives at U.S. component suppliers working with Tesla began receiving such requests. The globally strategic “Model Y,” launched in 2020, is facing a comprehensive redesign, but Tesla seems to have decided to continue sales in the short term.

Click here to read more on Nikkei Chinese Web

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