While Tesla has leaned on offers such as low-cost financing to boost demand, it has yet to roll out long-promised cheaper models in a market where snazzy and feature-packed EVs from its Chinese rivals have been winning over buyers. Tesla had said it would start producing a cheaper vehicle — expected to be a pared-down Model Y — by the end of June, but Reuters reported in April it was delayed by at least a few months. An escalating feud between Musk and U.S. President Donald Trump over the tax bill has also worried investors as it could potentially alienate more buyers after Musk's embrace of right-wing politics eroded demand in Europe and the U.S. and increase regulatory scrutiny of the robotaxis that are central to its nearly trillion-dollar valuation. MODEL Y OPTIMISM In the second quarter to June 30, Tesla handed over 384,122 vehicles, down from 443,956 units a year ago. Still, the number marked an increase of 14% from the January-March period.