

Tesla Model 3
Tesla Gigafactory 3 starts coming to life as construction begins in China [Updated]
It’s been barely a week since Tesla CEO Elon Musk attended Gigafactory 3’s groundbreaking ceremony, but the location for the upcoming battery and electric car factory is now ablaze with life. As could be seen in footage taken on Thursday local Shanghai time, work on Gigafactory 3 is already going full throttle, as evidenced by the sheer number of heavy equipment operating on the site.
The recent footage of the upcoming facility was shared with Teslarati by Tesla owner-enthusiast Vincent Yu, who is currently visiting Shanghai. Taken using a drone, the short footage shows heavy machinery busily working on a section of Tesla’s 864,885-square meter plot of land in Shanghai’s Lingang Industrial Zone. Vincent also shared some images taken around the land on Twitter, showing trucks seemingly moving dirt from the site.
(Pictures) Tesla Shanghai Lingang Gigafactory 3- Jan 17th 2019 $TSLA #Tesla #China #TeslaChina #GF3 pic.twitter.com/Yp7mhfLGLM
— vincent (@vincent13031925) January 17, 2019
The recently shared footage from Gigafactory 3 is but a few seconds long, but it does prove one notable point — once the groundbreaking ceremony for the site was done, the construction of the facility would likely proceed at an extremely rapid pace. China’s construction workforce, after all, is known for its fast, almost surgically-precise buildouts. Just last year, for example, Elon Musk lauded the country’s workforce on Twitter, sharing a report about Chinese workers building a railway station in just nine hours. In his post, Musk noted that “China’s progress in advanced infrastructure is more than 100 times faster than the US.”
In a country such as China, though, these rapid buildouts are usually accomplished with support from the government. Fortunately for Tesla, this appears to be the case, as evidenced by the state’s warm reception to Elon Musk during his visits to the country, as well as the help the electric car maker has received in securing partial funding for Gigafactory 3 (to name a few).
Tesla, for one, was allowed to become the sole owner of Gigafactory 3 — something that was not granted to other automakers operating in the country. Reports have also emerged pointing to local banks competing to grant Tesla low-interest loans to fund part of Gigafactory 3’s construction. The government’s favor was evident when Tesla placed its bid on the 864,885-square meter plot of land in Shanghai’s Lingang Industrial Zone as well, as the company was able to secure the land without any rival bidders. Lastly, China Construction Third Engineering Bureau Co., Ltd, the company building the facility, is a subsidiary of China Construction, which is owned by the government.
This favor on Tesla was no more evident during Elon Musk’s recent visit to the country, though. After the groundbreaking ceremony for Gigafactory 3, Musk met with Chinese Premier Li Keqiang in Beijing, who is widely considered as the country’s #2 after President Xi Jinping. During their talk, which was held at the Tower of Violet Light in Beijing — a place reserved for distinguished guests — Li openly listened to Musk’s ideas for Gigafactory 3, even the more ambitious ones such as making a facility that behaves similar to a “living being.” Li even lightly suggested that China can just issue Musk a “Chinese Green Card,” so that he can pursue his ideas in the country.
The timeframe for the construction of Gigafactory 3 is ambitious. Tesla aims to complete the initial construction of the facility by summer’s end. The company also intends to start the production of affordable Model 3 variants in the battery and electric car factory by the end of the year. Now that work has commenced on the factory’s site, though, Tesla’s aggressive timetable just became more feasible.
Watch the most recent footage of Gigafactory 3 in the video below.
Update: Vincent has provided a more extensive video from his recent drone flyover of Gigafactory 3.
News
Tesla trails Volkswagen in Q1 EV sales, Model Y still on top

Volkswagen surpassed Tesla in Q1 2025 electric vehicle (EV) sales in Europe.
The German automaker sold 65,679 battery EVs compared to Tesla’s 53,237 in the first three months of the year, per JATO Dynamics data. Volkswagen’s registrations soared 157% year-over-year (yoy), while Tesla saw a 38% decline in the same period, the steepest among the top 30 brands. The German automaker’s strong performance highlights a growing competitive landscape in the EV market.
Despite losing the overall lead, Tesla’s Model Y and Model 3 remain the top two in Europe’s battery EV registrations. Volkswagen’s ID.4 ranked third in EU registrations, trailing the Model 3 by 2,000 units.
Model Y registrations dropped 43% in March, but the Model 3 increased 1% in the first quarter. The decline in Model Y registrations could be linked to Tesla’s upgraded Model Y, which debuted at the beginning of the year. In the first quarter, Tesla retooled and upgraded its factories worldwide to produce the new Model Y.
“As the brand continues to deal with a host of PR issues in addition to the changeover of the Model Y, Tesla is now relying on the Model 3 to offset its losses. Despite the controversy surrounding the brand’s CEO and the limited availability of the new Model Y, Tesla continues to perform well,” said Felipe Munoz, a global analyst at JATO Dynamics.
Tesla addressed its Q1 challenges during its recent earnings calls, with CEO Elon Musk attributing the dip to seasonal and strategic factors.
“Now, Q1, [the] first quarters of a year, are usually pretty tricky. Because it’s usually the worst quarter of the year because people don’t want to go buy a car in the middle of winter during the blizzard. So we picked Q1 as a good quarter to do a cutover to the new version of the Model Y and we changed the production of the world’s best-selling cars with — remember, the Model Y is the best-selling car of any kind on earth with a 1.1 billion unit per year output of a single model,” Musk stated.
Volkswagen’s surge reflects its continued focus on and dedication to EVs. While Tesla’s Model Y remains the global best-seller, Volkswagen’s momentum signals intensifying competition. As both companies navigate market dynamics, Tesla’s focus on its Robotaxi network and upcoming launches will be critical to regaining its edge.
Elon Musk
Tesla Model 3 wins ‘most economical EV to own’ title in new study
The Tesla Model 3 has captured another crown in a recent study showing the most cost-effective EVs

The Tesla Model 3 recently captured the title of “most economical electric vehicle to own” in a new study performed by research firm Zutobi.
Perhaps one of the biggest and most popular reasons people are switching to EVs is the cost savings. Combining home charging, lower maintenance costs, and tax credits has all enabled consumers to consider EVs as a way to save money on their daily drivers. However, there are some EVs that are more efficient and cost-effective than others.
Tesla police fleet saves nearly half a million in upkeep and repair costs
Zutobi‘s new study shows that EV cost-effectiveness comes at different levels. For example, some cars are simply better than others on a cost-per-mile basis. The study used a simple process to determine which EVs are more cost-effective than others by showing how much it would cost to drive 100 miles.
National averages for energy rates have been used to calculate the cost as they widely vary from state to state.
The Rear-Wheel Drive Tesla Model 3 was listed as the most economical vehicle in the study:
“The standard Tesla Model 3 is the most economical electric vehicle to drive in 2025. With a usable battery capacity of 57.5 kWh and a real-world range of 260 miles, it costs just $3.60 to drive 100 miles. That translates to an impressive 2,781 miles per $100 of electricity—making it the most efficient choice for EV owners nationwide.”
It had an estimated cost of just $3.60 to drive 100 miles.
The Tesla Model 3 Long Range All-Wheel Drive was second, the study showed:
“Next is the Long Range version of the Model 3, which offers extended range and dual-motor all-wheel drive. With a larger 75 kWh battery and 325 miles of range, the cost to drive 100 miles is slightly higher at $3.75, still equating to a strong 2,665 miles per $100.”
This version of the Model 3 had a price of just $3.75 to drive 100 miles.
In third, the BMW i4 eDrive35 surprised us with a cost of just $4.12 to drive 100 miles:
“Rounding out the top three is the BMW i4 eDrive35, with a 67.1 kWh battery and a real-world range of 265 miles. Drivers can expect to pay $4.12 per 100 miles, which still allows for 2,429 miles per $100—a solid choice for those seeking luxury and efficiency.”
Several other Teslas made the list as well. The Model 3 Performance ($4.34 per 100 miles) was sixth and tied with the Volkswagen ID.3 Pure, the Tesla Model S Long Range ($4.35 per 100 miles) was 8th, and the Tesla Model Y Long Range was ninth ($4.36 per 100 miles).
News
Tesla ships software fix for Model 3 and Model Y power steering issue

Tesla is shipping a software fix for 2023 Model 3 and Model Y vehicles that could potentially have a power steering issue.
The National Highway Traffic Safety Administration (NHTSA) uses the term “recall” for the issue because, by definition, it is an “unreasonable safety risk or fails to meet minimum safety standards.”
It is worth noting that the NHTSA does recognize that it is a software update on its official website with a new badge that it recently started placing on these types of fixes.
However, the power steering issue is being resolved through an Over-the-Air software update, which will not require physical service from Tesla, and will be fixed through an internet connection.
The issue is impacting an estimated 376,241 Tesla Model 3 and Model Y vehicles operating software prior to 2023.38.4. The NHTSA writes on its website that:
“The printed circuit board for the electronic power steering assist may experience an overstress condition, causing a loss of power steering assist when the vehicle reaches a stop and then accelerates again.”
The agencies 573 report continues:
“By design, if the overstress condition occurs while the vehicle is traveling above 0 MPH, steering efforts will not be affected, and a visual alert will illuminate. Once the vehicle speed reaches 0 MPH, a loss of EPAS may occur, and loss of EPAS will persist when the vehicle is driven above 0 MPH. Manual steering without EPAS remains available to the driver.”
As of January 10, Tesla says it has received 3,012 warranty claims and 570 field reports relating to the issue, but it is not aware of any accidents or deaths due to the problem.
Need accessories for your Tesla? Check out the Teslarati Marketplace:
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