Tesla drops delivery goal of 20 million vehicles

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STORY: Tesla left out a major goal of delivering 20 million vehicles a year by 2030 from its latest impact report Thursday (May 23).

It's a sign the company is moving away from electric cars and shifting focus to robotaxis.

CEO Elon Musk said four years ago Tesla aspired to sell 20 million vehicles by the end of the current decade.

This was reiterated in impact reports released in both 2021 and 2022, but the company changed direction recently.

It dropped plans to produce an all-new model expected to cost $25,000.

And it has promoted autonomous driving tech as its main source growth.

Tesla plans to host a launch event for its robotaxi in August.

Musk said Thursday robotaxis and the company's humanoid robot Optimus will be "incredibly profound" for Tesla.

He declined to answer a question on the timeline for Tesla's low-cost cars at the event.

In further news Friday, data has shown the automaker cut output of its best-selling Model Y electric car by a double-digit percentage number at its Shanghai plant since March.

The move aims to address weakening demand for the model in China, where EV makers are engaged in a brutal price war.

The Shanghai plant is Tesla's biggest manufacturing hub globally.

A source said it planned to cut Model Y output by at least 20% during the March to June period.

It was not immediately clear if the output cut would be extended to the second half of this year.

Tesla did not respond to requests for comment.