Tesla's 2025 outlook: From the new Model Y to Elon Musk 'ministering'

With the CEO in politics at Trump's side, it will be a year unlike any other for the White House. Here's what to expect.

By: Riccardo Ciriaco

Dec 28, 2024 at 5:31am ET

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2025 for the electric car will inevitably be a year unlike any other following the drop in sales in the West, the slowdown of manufacturers on electrification plans, proposals in Europe to revise the sales ban of petrol and diesel cars from 2035, and the expansion of Chinese manufacturers.

But the real question is, how will Tesla behave in this new landscape? This is a legitimate question considering factors such as the growth of BYD (poised to steal the title of the world's number 1 electric car manufacturer) and the political commitment of Elon Musk in light of Trump's re-election as US president.

Less electric cars, more autonomous driving

Let's start right here. 20 January will be the day of Trump's official inauguration into the White House. From that moment, the CEO will head the newly created DOGE, the Department of Government Efficiency, established with the aim of recommending cuts and reforms to federal laws.

One of the first cuts - indicated by a transition team - could concern incentives of up to $7,500 for the purchase of electric cars, a key initiative of outgoing President Joe Biden. It sounds like a paradox, but it is not, because - according to experts - Tesla is so strong in the sector that it no longer needs bonuses for motorists.

This would put it ahead of the competition. The move not only suits the company, but also demonstrates the shift in thought of the CEO, who is increasingly focusing on technologies parallel to vehicles with four wheels.

Take autonomous driving, for example. It is an area where the manufacturer has been lagging for some time, but which could grow thanks to the supermanager's presence in Washington DC as it seems that the upcoming second Trump administration is ready to pass a law that would widen the scope of autonomous vehicles on the road.

The Tesla Cybercab seen live

Photos by: Motor1.com

The interior of the robotaxi

It is an assistive effort that would pave the way for the robotaxi Cybercab expected in 2026-27. In these two years, the manufacturer would have time to solve the last remaining problems with the Full Self-Driving, fresh from the release of the V13 version.

Here is the new Tesla Model Y

What is certain, however, is that 2025 will be the year of both the new Tesla Model Y and (it seems) two affordable (or at least accessible) electric cars. As for the restyled SUV, there is no official information or images, but foreign press reports and spy photos suggest that production will start as early as January and that the unveiling could be scheduled for March or so.

The result of the 'Juniper' project, the 2023 (but not 2024) sales champion will come in 5- and 6-seat versions (the latter possibly reserved for China) and with a new front end, red LED light bar, redesigned side-view mirrors, new alloy wheels, new body colours and a series of interior and powertrain improvements.

Tesla Model Y Juniper: render by SugarDesign

Photo by: Car News China

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After unveiling the redesigned Tesla Model Y and shelving the Tesla Model 2, Elon Musk and co. could focus on two affordable electric cars. The cars, which have yet to be priced, were announced at the shareholder meeting in December and, according to leaks, will take advantage of the knowledge gained from the Model 3 and the Cybercab.

It also has to be said that since then there has been no talk of the budget vehicles. So it cannot be ruled out that the plans have changed again. After all, Elon Musk has got us used to delays and course corrections. Despite the strategies put down on paper, Tesla's 2025 remains a bit of an unknown.