The report says a Tesla Model Y update is coming in the next few months

A report claims that a Tesla Model Y update could be coming in the next few months as the automaker plans to close a factory at Gigafactory Shanghai.

Last summer, Tesla launched the updated version of the Model 3 in Asia-Pacific and Europe.

The new version of the popular electric sedan has not yet arrived in North America, however, Tesla has already been rumored to be preparing an update for the Model Y, which is closely related to the Model 3.

The updated version of the electric SUV is expected to come with some of the same changes introduced in the new Model 3, along with some additional unique features.

Now a new report from Bloomberg It claims that Tesla is preparing to put the new version of the Model Y into production in the coming months.

Reports indicate production volume in “mid-2024” at Gigafactory Shanghai:

The American electric car maker is currently conducting preparatory work in China for its updated Model Y SUV, and mass production could begin in mid-2024, said the people, who asked to remain anonymous because the information is not public.

But it also says the first batch could come after the factory is closed and upgraded over the New Year holiday:

The first batch of the latest Model Ys will be manufactured from the second phase of Tesla's facility in Shanghai, which will suspend production for about a week over the New Year holiday for a partial upgrade, one of the people said. They added that more modifications will have to be made before mass production.

It is unclear whether this is the upcoming New Year holiday next week or the Chinese Lunar New Year in February.

The report also notes that the update will include “more noticeable exterior and interior changes” than the Model Y update in China in October, which included new ambient lighting and some performance upgrades.

This new upgrade will be even more significant and will likely be the project codenamed Juniper that we've been hearing about since earlier this year.

Take Electric

There are not many details in this report, but it seems that Tesla is preparing to launch the new version of the Model Y.

It will be interesting to see how Tesla handles the transition since the Model Y is currently Tesla's cash cow.

Any slowdown in production volume amid the shift to a new version will have a significant impact on the automaker's business. A smooth transition versus a difficult transition to production could make a big difference in Tesla's performance in the first quarter of 2024.