News
SpaceX’s upgraded Starship factory begins to take shape in South Texas
After a few months of foundation work, SpaceX has begun assembling the first section of a vast new Starship manufacturing building that will eventually replace a series of tents also known as ‘sprung structures’.
SpaceX and its contractors began erecting those tents in late 2019 after a mostly successful series of tests involving Starhopper – a steel rocket built on an unprotected concrete lot – and shortly before a less successful attempt at testing the first truly Starship-esque prototype. Inside and around those new tents, SpaceX took steps to significantly upgrade its Starship production methods and assembly facilities, ultimately settling on a process that is still very familiar more than two years later.
Nonetheless, in typical SpaceX fashion, the company appears to have outgrown those tents and set its sights on constructing a brand new Starship manufacturing facility – traditional roof and all – that will likely replace most or all temporary Starbase structures in the near future.
As previously discussed on Teslarati, documents submitted to a Florida water management agency have already revealed plans for a similar East Coast Starship factory and shed light on what the first unofficially named ‘Starfactory’ might look like in Texas.
“According to RGV Aerial Photography, SpaceX…aims to replace all of Starbase’s tents with a single 300,000 square-foot (~28,000 square-meter) building that will be about 18 meters (60 ft) tall and likely measure around 800 feet (250m) long and 400 feet (120m) wide. Starbase’s tents are roughly the same height, but their tented roofs mean that only a fraction of that height can be used for ring work and only a fraction of the floor space for taller nose work.
In comparison, a 300,000 square-foot building would have almost two and half times as much covered floor space as Starbase’s three tents – all of which can theoretically be used for ring and nose section assembly. In fact, with a mostly flat 18-meter roof, SpaceX could feasibly expand most ‘stacks’ by a ring or two, which would reduce the number of sections (and thus stacking operations) needed to assemble a ship or booster.”
Teslarati.com – March 4th, 2022
A month and a half later, SpaceX (or its contractors) began raising the first steel beams of the new building and made significant progress in just a handful of days. The first vertical beam was erected on April 19th. Around 48 hours later, several roof beams measuring a good 200+ feet (60+ meters) wide were assembled out of smaller pieces and installed on top of the structure’s vertical beams. As-is, the structure likely represents a good view of the front profile of the first of three new Starship production buildings that will eventually be joined to form one giant, monolithic rocket factory.

Notably, the skeleton of the building appears to be closer to 40-50 feet tall instead of the 60 feet predicted – short enough that it likely won’t allow SpaceX to increase the height of the different sections of stacked steel rings that make up most of Starship and Super Heavy. It’s possible that another level will be added for utilities and bridge cranes but the framework currently being installed will likely cap the height of Starship sections at five standard rings (9m/30ft tall). It’s not impossible that yet-to-be-constructed sections of the new factory will be taller, but that would run counter to SpaceX’s established method of production, in which Starship sections move through multiple tents throughout assembly and outfitting.
Construction of the new factory began adjacent to Starbase’s existing tents. As work progresses and the framework turns into a real building, it remains to be seen if SpaceX will use the first building to trial a number of production upgrades, fill it with new Starship production equipment under the same paradigm as existing methods, or physically relocate an existing assembly line inside it.
News
Tesla tops American-Made Index for sixth-consecutive year
Tesla is atop the American-Made Index from Cars.com for the sixth-straight year, as the Model 3 and Model Y took the top two spots, respectively.
Last year, the Model 3, Model Y, Model S, and Model X took the top four spots, respectively. The company has routinely performed well in the Index. However, Tesla discontinued its flagship Model S and Model X earlier this year, which took the two cars out of the ranking.
Cybertruck is not considered due to its curb weight being above the 8,500-pound threshold, which eliminates it from being required to have more detailed assembly information.
Cars.com uses five main categories to develop its rankings:
- Location(s) of final assembly
- Percentage of U.S. and Canadian parts
- Countries of origin for all available engines
- Countries of origin for all available transmissions
- U.S. manufacturing workforce
These five major factors are then put into a 100-point scale. The vehicles with the highest scores sit atop the list. The Model 3 edged out the Model Y.
🇺🇸 The Tesla Model 3 and Tesla Model Y have been put atop the American-Made Index from https://t.co/PXZ0g1pPb6, meaning they are the most American vehicles you can possibly buy.
This is the SIXTH-STRAIGHT year a Tesla has been listed as the most American-made vehicle: pic.twitter.com/HyraOmaxSL
— TESLARATI (@Teslarati) June 23, 2026
Tesla uses a strong domestic strategy to build its cars and parts domestically. It relies on intense vertical integration that reduces its dependence on global suppliers, keeping more value and jobs in the United States.
This strategy has helped Tesla gain a strong reputation for domestically produced vehicles and parts. However, it helps it with more than just awards like this one. Keeping a supply chain local has also helped insulate Tesla more than others from tariffs and supply chain disruptions.
This year’s American-Made Index from Cars.com studied nearly 400 vehicles from the 2026 model year. Tesla was the only manufacturer to have an EV inside the Top 10. The Kia EV9 was the next EV to make the list, scoring the 17th position.
The Hyundai IONIQ 5 was 21st, and the final EV to make the list was the Cadillac LYRIQ in 77th.
Elon Musk
Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration
Tesla has finally clarified the situation regarding the viral crash in Texas where a Model 3 slammed into a home.
CEO Elon Musk replied to reports on Monday that stated the crash was due to the company’s Full Self-Driving or Autopilot suite, which seemed unlikely to those who are familiar with it. Video showed the car slamming into a house at an excessive rate of speed, making it highly unlikely the crash was due to the suite’s operation, as it does not travel at those speeds in residential areas.
Musk said:
“This makes no sense. FSD drives slowly through neighborhood streets, and this was a high-speed crash!”
Tesla’s Head of AI, Ashok Elluswamy, added context, revealing that the company’s data shows the driver “manually overrode self-driving by pressing the accelerator all the way to 100%.”
He revealed the speed reached by the car was 73 MPH, and the accelerator was still pressed “even after the crash.”
Yup. In this case, the driver manually overrode self-driving by pressing the accelerator all the way to 100% of the accel pedal in this residential area. They reached a speed of 73 mph during the crash, and had the accelerator pressed even after the crash.
— Ashok Elluswamy (@aelluswamy) June 22, 2026
Authorities are reportedly investigating “whether Tesla’s Autopilot system played a role after a Model 3 left the roadway…slammed through a brick house at high speed and fatally struck Matha Avila as she sat inside,” the New York Post reported.
The National Highway Traffic Safety Administration (NHTSA) is now investigating the crash. Tesla will work with the agency to provide them with whatever information they need in order to clarify the cause of the crash.
Similarly, Tesla had claims of a fatal accident in Harris County, Texas, a few years ago. Early reports indicated that Full Self-Driving was the cause of the crash. After the National Transportation Safety Board (NTSB) worked with Tesla, the agency proved there was “no use of the Autopilot system at any time during this ownership period of the vehicle, including the time frame up to the last transmitted timestamp on April 17, 2021.”
Tesla alleged “driverless” crash in Texas: What is known so far
“Application of the accelerator pedal was found to be as high as 98.8 percent,” the NTSB said in their findings. The highest recorded speed in the five seconds leading up to the impact was 67 miles per hour. The area where the crash occurred is residential, and Texas State laws have default speed limits of 30 MPH in residential streets.
This appears to be a similar situation. However, an investigation will prove what happened for sure.
Investor's Corner
SpaceX makes $20 billion move to optimize its balance sheet
SpaceX announced today that it commenced its first-ever public bond offering, marking a significant step in the newly public company’s capital markets strategy.
The company announced an offering of senior unsecured notes expected to raise at least $20 billion.
The move comes just a short time after SpaceX completed one of the largest initial public offerings in history. In mid-June, the company priced shares at $135 and raised more than $85 billion, propelling founder Elon Musk’s net worth past the trillion-dollar mark and giving the firm substantial liquidity.
🚨 SpaceX has announced its inaugural offering of senior unsecured notes.
The net proceeds will be used to repay outstanding loans under its bridge loan facility in full.
This inaugural debt offering represents a financing milestone for SpaceX, which previously depended… pic.twitter.com/pcOZuVbTRv
— TESLARATI (@Teslarati) June 22, 2026
According to the company’s SEC filing, the net proceeds from the notes will be used primarily to repay in full the outstanding borrowings under its existing bridge loan facility, cover related fees and expenses, and fund general corporate purposes. The offering is being conducted under Rule 144A, as well as Regulation S, targeting qualified institutional buyers and non-U.S. investors. Notes will be unsecured obligations ranking equally with other unsubordinated debt.
The $20 billion bridge loan was used to refinance approximately $17.5 billion in higher-cost “junk” debt tied to X and xAI. SpaceX had merged with xAI in February 2026 in an all-stock deal. The bridge facility, which matures in September 2027, had represented the bulk of SpaceX’s long-term debt.
SpaceX officially acquires xAI, merging rockets with AI expertise
In connection with the bond launch, SpaceX disclosed it held approximately $100.8 billion in cash and cash equivalents as of June 19. Investor calls began on the announcement date, with pricing and launch expected shortly thereafter. Rating agencies have assigned investment-grade ratings to the proposed bonds, reflecting confidence in SpaceX’s dominant position in commercial launches and the growth trajectory of its Starlink internet offering.
The debt raise also allows SpaceX to optimize its balance sheet by replacing short-term, higher-cost bridge financing with longer-date, lower-cost fixed-income securities. This provides greater financial flexibility to support capital-intensive initiatives, including the development of Starship, the expansion of the Starlink constellation, and the integration of AI capabilities following the xAI combination.
SpaceX shares (NASDAQ: SPCX) fell sharply on the news, dropping over 16 percent overall on the market on Monday. The stock had surged initially after debuting but pulled back amid profit-taking and broader market dynamics.
Overall, the bond offering underscores SpaceX’s transition to a mature public company with access to diverse funding sources. It positions the firm to pursue its long-term vision of multiplanetary expansion and AI infrastructure, while maintaining a disciplined approach to its capital structure in a high-growth but capital-heavy industry.