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SpaceX to end Crew Dragon capsule production as Starship’s shadow grows

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Reuters reports that SpaceX has begun to shut down Crew Dragon capsule production after assembling a fleet of four reusable spacecraft, highlighting the company’s ever-growing desire to pivot to Starship.

According to SpaceX president and chief operating officer (COO) Gwynne Shotwell, who spoke with Reuters reporter Joey Roulette, the company has already ended production of new Crew Dragon capsules after recently completing a fourth operational spacecraft. Nicknamed “Freedom” by its crew, Dragon capsule C212 (Dragon 2 capsule #12) is scheduled to debut as early as April 19th and will ultimately ferry SpaceX’s fourth crew of government astronauts to and from the International Space Station.

However, while ending production of Crew Dragon might sound like a dramatic and unexpected move after less than two years of operational astronaut launches and undeniably hints at the company’s desire for Starship to take over, it’s not quite as jarring as it seems.

Above all else, Shotwell did not explicitly mention Cargo Dragon 2 production. It’s possible that there was a miscommunication during the brief Q&A and that a generic statement about ending production of all Dragon capsules was projected onto just SpaceX’s Crew Dragon variants, but the Reuters article strongly implies that only Crew Dragon production has been ended.

As of today, SpaceX only has two operational Cargo Dragon 2 capsules in its uncrewed fleet – both of which have already flown twice. Following a recent contract extension, SpaceX is scheduled to complete at least 11 more ISS cargo deliveries and recoveries by 2027 and while it’s possible that the company is confident enough to gamble that two Dragon 2 capsules can complete all 15 CRS2 resupply missions, a SpaceX engineer confirmed that at least one more Cargo Dragon is scheduled to debut in 2022. With three Dragons, that would at least give SpaceX the ability to confidently fulfill its CRS2 obligations even if one capsule is damaged or lost.

Meanwhile, Shotwell indicated that SpaceX would preserve the ability to restart Dragon production if the need arose – far easier said than done. At the same time, the company will still need to churn out at least half a dozen or so expendable Dragon ‘trunks’ per year and continue building a wide range of replacement parts. A substantial team will also be needed to refurbish and operate Crew and Cargo Dragons for as long as launches continue.

SpaceX’s Dragon capsules. (SpaceX/NASA)
In theory, Starship could one day fill the roles of Crew Dragon, Cargo Dragon, Falcon 9, and Falcon Heavy. (SpaceX)

But by and large, the move to end Crew Dragon capsule production says one thing above all else: that SpaceX is chomping at the bit to redirect large portions of its Falcon and Dragon workforce to Starship development. If SpaceX can make it work, Starship – a fully-reusable two-stage rocket – could end up costing roughly as much as Dragon and Falcon per launch but its launch costs could also plummet to a magnitude less – all while offering a magnitude more space, performance, and capabilities.

Crew Dragon is currently used to launch four astronauts at a time. A single crewed Starship could have a habitable volume greater than the entire International Space Station and carry 40 astronauts into orbit inside it in a single launch. Cargo Dragon typically delivers about three tons (~6600 lb) of cargo to the ISS. A Cargo Starship could deliver dozens of tons in one go – more cargo space than NASA would know what to do with after decades sent under the tyranny of razor-thin mass margins.

NASA is likely the single largest individual investor in Starship after contracting with SpaceX to build a version of Starship capable of returning astronauts to the Moon for about $3 billion, meaning that the space agency will be intimately aware of and involved in the vehicle’s development over the next 5-10 years. It would only be logical to extract as much value as possible out of that investment and simultaneously revolutionize the transportation of cargo and, one day, astronauts to Earth orbit and beyond.

Unfortunately, there’s no real guarantee that NASA will actually do that, but SpaceX’s choice to end Dragon capsule production so early on makes it clear that the company is more than willing to prepare the groundwork for such a transition itself.

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Eric Ralph is Teslarati's senior spaceflight reporter and has been covering the industry in some capacity for almost half a decade, largely spurred in 2016 by a trip to Mexico to watch Elon Musk reveal SpaceX's plans for Mars in person. Aside from spreading interest and excitement about spaceflight far and wide, his primary goal is to cover humanity's ongoing efforts to expand beyond Earth to the Moon, Mars, and elsewhere.

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Tesla Europe builds momentum with expanding FSD demos and regional launches

Needless to say, it appears that Tesla is putting in some serious effort into boosting sales in Europe this year. 

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Credit: Tesla Europe & Middle East/X

Tesla has been notably active across Europe in recent weeks, expanding its Full Self-Driving (Supervised) ride-along program, entering a new market, and showcasing its newest vehicles across multiple regions. 

Needless to say, it appears that Tesla is putting in some serious effort into boosting sales in Europe this year. 

Tesla Europe recently announced the expansion of its FSD (Supervised) ride-along experiences, inviting the public to experience the system on local roads. Initially available in Italy, France, and Germany when it launched, the program has now expanded to Hungary, Finland, and Spain.

The ride-along program allows participants to ride in the passenger seat and observe how FSD Supervised handles real-world traffic scenarios, including dense urban driving and other challenging conditions. Tesla has positioned the initiative as a way to familiarize European drivers and regulators with the system’s capabilities in everyday use. The program has received positive reviews so far, with many being impressed by FSD’s real-world capabilities. 

Tesla also recently launched operations in Slovakia with a pop-up store and multi-day public event in Bratislava, as noted in an EV Wire report. The launch, held from January 16 to 18 at the Eurovea Mall Promenade, featured test drives, vehicle displays, including the Cybertruck, as well as family-focused attractions such as a mini-Tesla racetrack. 

Local observers noted that Tesla Optimus was also shown at the event, while the Tesla Owners Slovakia club welcomed the brand with a coordinated light show near the Slovak National Theater. Tesla Europe later shared its appreciation for Slovakia in a post on its official social media account on X, stating, “Thanks, Slovakia, for the amazing last 3 days & for giving us such a warm welcome!”

Tesla’s Slovakia entry follows a familiar pattern used by the company in other European markets. Tesla opened a pop-up store in Bratislava as an initial step, with plans for a permanent showroom and a potential service center at a renovated site previously occupied by a Jeep and Dodge dealership. Tesla has used a similar approach in markets such as Czechia and Lithuania, where permanent facilities followed within a few months of pop-up launches.

Slovakia already has six Supercharging sites totaling 46 Superchargers, including two locations in Bratislava, providing early infrastructure support for Tesla owners. Tesla staff program manager Supratik Saha described the Slovakia launch as a strategic expansion in the heart of the EU, citing the country’s strong automotive manufacturing base and appetite for advanced technology.

Beyond the EU, the company also marked another milestone with the first Cybertruck deliveries in the United Arab Emirates, signaling continued geographic expansion for Tesla’s newest vehicle. Just like Tesla Slovakia, the Cybertruck also received a warm welcome from the UAE’s EV community. 

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Tesla Sweden maintains Trelleborg port deal despite union blockade

As noted in a report from Dagens Arbete (DA), Tesla was able to maintain its storage agreement with the Port of Trelleborg.

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Andrzej Otrębski, CC BY-SA 4.0 , via Wikimedia Commons

Tesla Sweden is still storing vehicles at the Port of Trelleborg despite the ongoing blockades against the company from the country’s labor unions. 

Tesla still at Port of Trelleborg

As noted in a report from Dagens Arbete (DA), Tesla was able to maintain its storage agreement with the Port of Trelleborg. This allows the company to keep vehicles at the port while imports into Sweden continue. This was despite the Transport Workers’ Union’s blockade, which was aimed at halting the loading and unloading of Tesla vehicles in the area.

Local union leader Jörgen Wärja, chairman of Transport and an employee representative on the port company’s board, confirmed that the agreement was still active. “The agreement has not been terminated. You want to have the money instead of having empty warehouses. I understand the reason, but I do not support it,” Wärja said

The local union leader also noted that he visited Tesla’s storage area earlier this week. “There were a lot of cars. I was surprised that there were so many, actually,” he said.

Tesla had been able to bring vehicles into Sweden via passenger ferries at Trelleborg, a method that unions said allowed the company to bypass the blockade, DA noted. According to estimates from IF Metall, the workaround enabled Tesla to deliver thousands of cars to Sweden each year.

Port defends decision

The Port of Trelleborg did not issue a comment on its current agreement with Tesla, but said it had complied with union sympathy measures. Documents reviewed by Swedish media showed that the contract with Tesla was being extended in six-month intervals.

Port CEO Malin Collin noted that the port would not discuss individual customer arrangements. “We do not go into details regarding any customer agreements. We have continuous dialogue with potential tenants, and this is not unique to any location,” Collin wrote in an email.

The CEO added that the port was following legal requirements related to the labor dispute. “We have taken note of the Transport Workers’ Union’s decision on sympathy measures and are of course following applicable legislation and the requirements placed on us as employers,” Collin said.

Jörgen Wärja, for his part, stated that the issue was not whether Tesla’s imports into Sweden could be fully stopped, but whether the port should provide logistical support to the electric vehicle maker during an active conflict. “The port shouldn’t have anything to do with Tesla at all, we believe,” he said. “It’s purely moral. Whether you honor a conflict or not. If you say you support Transport’s sympathetic actions against Tesla, it becomes a double standard.”

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Elon Musk shares insights on SpaceX and Tesla’s potential scale

In a pair of recent posts on X, Musk argued that both companies operate in domains where growth is not linear, but exponential.

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Credit: xAI

Elon Musk outlined why he believes Tesla and SpaceX ultimately dwarf their competitors, pointing to autonomy, robotics, and space-based energy as forces that fundamentally reshape economic scale. 

In a pair of recent posts on X, Musk argued that both companies operate in domains where growth is not linear, but exponential.

Space-based energy

In a response to a user on X who observed that SpaceX has a larger valuation than all six US defense companies combined, Musk explained that space-based industries will eventually surpass the total economic value of Earth. He noted that space allows humanity to harness roughly 100,000 times more energy than Earth currently uses, while still consuming less than a millionth of the Sun’s total energy output.

That level of available energy should enable the emergence and development of industries that are simply not possible within Earth’s physical and environmental constraints. Continuous solar exposure in space, as per Musk’s comment, removes limitations imposed by atmosphere, weather, and land availability.

Autonomy and robots

In a follow-up post, Elon Musk explaned that “due to autonomy, Tesla is worth more than the rest of the auto industry.” Musk added that this assessment does not yet account for Optimus, Tesla’s humanoid robot. As per the CEO, once Optimus reaches scaled production, it could increase Earth’s gross domestic product by an order of magnitude, ultimately paving the way for sustainable abundance.

Even before the advent of Optimus, however, Tesla’s autonomous driving system already gives vehicles the option to become revenue-generating assets through services like the Tesla Robotaxi network. Tesla’s autonomous efforts seem to be on the verge of paying off, as services like the Robotaxi network have already been launched in its initial stages in Austin and the Bay Area. 

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