Bankrupt marine park company reeling after five dolphins die within 8 months Reuters reported last month that the China launch of the E41 will occur in 2026. The E41 will be smaller and cost 20% less to produce than the refreshed Model Y, the sources familiar with China plans told Reuters. The timing of the rollout in Europe is not clear. Tesla is also planning to launch a bare-bones version of its Model 3 compact sedan, three people said. Tesla did not immediately respond to a request for comment on the delay of production of the cheaper Model Y, production targets and other details reported here. Analysts expect Tesla sales to fall again this year for several reasons, including damage to the brand reputation by Chief Executive Elon Musk’s close work with President Trump. REUTERS The EV maker on Jan. 2 reported its first decline in annual deliveries last year, and analysts expect sales to fall again this year for several reasons, including damage to the brand reputation by Chief Executive Elon Musk’s close work with President Trump and support of far-right European politicians. Another challenge for Tesla is that its vehicles are aging and there is no relatively cheap model. Musk earlier promised a new, cheaper EV platform with cars expected to be priced as low as $25,000, but dropped that to prioritize robotaxi development.