Reuters' report that Tesla scrapped its low-cost car plans is false.

The claim is that Reuters' 5 April 2024 report (that Tesla had scrapped or cancelled its planned low-cost car, the so-called Model 2 or roughly $25,000 vehicle on a new dedicated platform) is false. True: evidence shows Tesla had not abandoned that dedicated low-cost vehicle at the time, for example if it continued development and later launched or kept actively pursuing that car on the next-generation platform. Mostly true: the report was materially inaccurate in its central point, though some detail (such as deprioritization or a shift in timeline) was real. Mixed: the report was partly accurate, for example the dedicated next-generation platform car was shelved but Tesla pursued cheaper models on existing platforms, which both sides can claim. Mostly false: the core of Reuters' report is substantially borne out, with only minor inaccuracies. False: later Tesla statements, filings or reliable reporting confirm that the dedicated low-cost car as Reuters described it was cancelled at that time. Whether Reuters acted with intent ('lying') is not separately tested; judge on whether the report was false.

Set before the research began.

1. E1 Tesla Says New Vehicles, Including 'Affordable' Models, Are Coming. Musk Has Few Details (Updated) InsideEVs · 23 April 2024

   “"We have updated our future vehicle line-up to accelerate the launch of new models ahead of our previously communicated start of production in the second half of 2025," the report said.”

2. E2 Tesla Says New Vehicles, Including 'Affordable' Models, Are Coming. Musk Has Few Details (Updated) InsideEVs · 23 April 2024

   “These new vehicles, including more affordable models, will utilize aspects of the next-generation platform as well as aspects of our current platforms, and will be able to be produced on the same manufacturing lines as our current vehicle line-up.”

3. E3 Tesla Says New Vehicles, Including 'Affordable' Models, Are Coming. Musk Has Few Details (Updated) InsideEVs · 23 April 2024

   “Both Musk and today's report stop far short of what many investors and Tesla-watchers probably wanted: confirmation of that $25,000 EV, and maybe announcements of new crossovers and sedans to replace the aging Model S, X, Y and 3.”

4. E4 Tesla Says New Vehicles, Including 'Affordable' Models, Are Coming. Musk Has Few Details (Updated) InsideEVs · 23 April 2024

   “Its current status is unclear, but industry observers believe that more affordable EVs will be key to wider adoption, and that Tesla is positioned to deliver on them first”

The evidence shows Tesla announced plans in April 2024 for more affordable models using aspects of both next-generation and current platforms [E1][E2], but it describes the dedicated low-cost car's status as unclear and gives no confirmation either way [E3][E4]. It does not show whether that car was cancelled at the time, so it does not settle whether Reuters' report was false.