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Tesla China still on hiring spree despite Elon Musk’s planned workforce cut

Credit: Tesla Greater China/Twitter

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The recent news cycle may be dominated by Elon Musk’s recent emails about a planned global workforce cut at Tesla, but the company’s China division seems quite immune to the upcoming changes. According to an insider from the company, Tesla China just had a hiring spree not long ago, and it is still very short of talent. 

Elon Musk’s planned layoffs at Tesla would reduce the company’s salaried workforce by about 10%. The CEO noted that this was due to Tesla being overstaffed in many areas. Despite these staffing changes, Musk stated that the number of hourly employees in the company would actually be increasing. 

In response to the news of the company’s layoffs, a person familiar with Tesla China’s operations told Jiemian News that there had been no news of job cuts in the electric vehicle maker’s Chinese operations. Just last month, the Tesla Shanghai R&D Innovation Center posted over 100 job listings covering fields from vehicle software to regulatory certification. 

“Tesla China has very strict recruitment, and there is still a shortage of talents,” the insider reportedly said. 

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The Tesla insider further explained that the company’s hiring efforts in China have become more aggressive as of late. In the past, Tesla was reportedly focused on high-level recruits, but recently, the company has been focusing on growing its pool of engineers. “In the past, there were relatively more middle and high-level recruitment, but this time the positions are mainly engineers,” the insider said. 

In a way, the statements from the Tesla China insider actually make a lot of sense. Elon Musk clarified as much in later posts explaining the company’s planned layoffs on Twitter. According to Musk, the layoffs would not be affecting anyone involved in building cars, battery packs, or installing solar products. Tesla China’s recent hires seem optimized for such projects. 

Tesla China is becoming a larger portion of the company’s overall operations. This could be seen in Tesla China’s first-quarter revenues, which stood at $4.65 billion. That’s about 24.8% of Tesla’s total Q1 revenue of $18.76 billion. These figures, which were outlined in a 10-Q filing with the SEC in late April, represented a 52.8% increase in revenue year-over-year. 

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla readies its autonomous Cybercab and Robotaxi cleaning service

A Texas permit just confirmed Tesla’s cleaning robot is coming to service its Cybercab and Robotaxi fleet.

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A routine Texas building permit may have quietly confirmed that Tesla’s robot vacuum and autonomous cleaning bot for the Robotaxi and Cybercab is coming. A state filing with the Texas Department of Licensing and Regulation, as first discovered by Tesla enthusiast Spencer and posted to X, that project number TABS2025022006, lists the scope of work at Tesla’s Austin Robotaxi hub at 5900 E Ben White Blvd to include a “Cleaning Robot” alongside Supercharger cabinets and an Equipment Inspection System.

Tesla first showed the cleaning robot publicly on January 31, 2025, posting a short video on X with the caption “This robot sucks,” showing a large robotic arm inside a Cybercab cabin switching between attachments to vacuum debris, pick up trash, and wipe down surfaces.

The operational case for this hardware comes down to mathematics. A robotaxi running rides across Austin needs to cycle passengers continuously to generate revenue. Every minute a vehicle sits waiting for a human cleaning crew is a minute it is not earning. A robotic arm that can fully clean a Cybercab cabin between rides in under two minutes removes one of the key bottlenecks in fleet utilization that no autonomous vehicle company has yet solved at scale.

The 5900 E Ben White Blvd address sits roughly 12 miles southwest of Gigafactory Texas, where Tesla has been mass producing its Cybercab. The Ben White facility is expected to functions as Tesla’s Austin Robotaxi Hub, the physical base of operations where fleet vehicles return between rides to charge, get cleaned, and undergo inspection before being dispatched again – and all autonomously. One can imagine a Cybercab dropping off a passenger, routes itself back to Ben White, pulls into the cleaning station, charges on one of the Supercharger cabinets listed in the same permit, passes the equipment inspection system, and returns to service, all without a human making a single decision.

The sighting activity around both locations has accelerated in parallel with production. By mid-March 2026, Cybercabs were spotted regularly on public roads across Austin and Silicon Valley. Tesla’s Robotaxi operations in Texas has expanded to cover the entire Austin metro area and has spread to Dallas, while autonomous Cybercab employee shuttle runs at Gigafactory Texas are also set to begin soon. What it represents is the physical infrastructure behind a fleet that Tesla intends to run without anyone cleaning, driving, or dispatching it by hand.

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SpaceX reveals Starship Flight 13 launch date

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SpaceX Starship V3 flight 12
SpaceX Starship V3 flight 12 (Credit: SpaceX)

SpaceX is preparing for the 13th integrated flight test of its Starship system, with a targeted launch as early as Thursday, July 16. The 90-minute launch window opens at 5:45 p.m. CT from Starbase in South Texas.

This comes roughly seven weeks after Flight 12 on May 22, underscoring the company’s accelerating pace in its rapid development campaign. The mission will use the latest Starship and Super Heavy V3 vehicles equipped with Raptor 3 engines. Booster 20 will attempt a controlled boostback burn, followed by a splashdown in the Gulf of Mexico, while Ship 40 will follow a suborbital trajectory.

Key objectives for Flight 13 will include demonstrating reliable stage separation, engine performance under various conditions, and controlled reentry.

A major milestone for Flight 13 is the first deployment of 20 next-generation Starlink V3 satellites. These satellites feature advanced laser links for inter-satellite communication, deployable solar arrays, and onboard cameras, six of which will capture imagery of Starship’s heat shield during flight.

Several heat shield tiles on Ship 40 will be painted white to serve as imaging targets, while additional experiments test upgraded tiles on aft flaps, modified attachments on the aft skirt, and load-sensing tiles to measure stresses. The upper stage will also attempt a single Raptor engine relight in space before a targeted splashdown in the Indian Ocean.

These tests build directly on lessons from Flight 12, which introduced the V3 configuration but encountered issues including a booster flip anomaly during boostback and an engine-out event on the ship. Hardware and software modifications on Booster 20 and Ship 40 aim to improve engine relight reliability, startup sequencing, and overall robustness.

The short interval between Flights 12 and 13 highlights SpaceX’s iterative approach. Elon Musk has repeatedly emphasized that Starship launches will become “incredibly common” in the coming years.

The company envisions scaling to rates as high as one launch per hour within 4-5 years, potentially enabling thousands of flights annually. Such cadence is essential for Starship’s goals: establishing orbital refueling for lunar and Mars missions, deploying massive satellite constellations, and making life multiplanetary.

With each flight, Starship edges closer to full reusability and operational maturity. Success on July 16 would mark another step toward routine access to space and the ambitious vision of humanity becoming a spacefaring civilization.

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Tesla shows rapid teardown of Model S and X lines, paving the way for Optimus at Fremont

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Credit: Tesla

Tesla shared a striking video showcasing the decommissioning of the original Model S and Model X assembly line at its Fremont Factory in Northern California. Completed in just 46 days, the teardown involved heavy machinery dismantling concrete pits, removing robotic arms and conveyors, and clearing the space for new production.

The post, captioned “End of an era,” captured both the end of a historic chapter and Tesla’s aggressive pivot toward its next major initiative, Optimus.

The decision to retire the Model S and Model X originated during Tesla’s Q4 2025 Earnings Call in late January 2026. CEO Elon Musk announced that production of the company’s flagship sedan and SUV would wind down by the end of Q2 2026, describing it as bringing the programs to an “honorable discharge.”

Custom orders ceased around early April 2026, with the final vehicles rolling off the line in early May. A special signature delivery ceremony on May 20 marked the emotional close for these vehicles, which had defined Tesla’s early success and luxury EV segment since the Model S launch in 2012.

The primary reason for tearing down the lines was to repurpose the valuable factory floor space for high-volume production of Tesla’s Optimus humanoid robot. Musk had indicated on Earnings Calls that the Fremont S/X line would be replaced by a dedicated Optimus manufacturing line targeting a capacity of one million units per year.

Elon Musk outlines Tesla Optimus production expectations

This move aligns with Tesla’s broader strategic shift from traditional vehicle manufacturing toward robotics and artificial intelligence, leveraging the company’s expertise in autonomy, AI training, and high-volume production.

Optimus, Tesla’s general-purpose humanoid robot, is designed to perform repetitive or dangerous tasks in factories, warehouses, and eventually homes. Powered by Tesla’s AI and Neural Networks, it aims to be a versatile, affordable platform. Production of Optimus Gen 3 is already underway in limited form at Fremont, with full-scale output on the converted line expected to begin in late July or August.

Tesla is targeting rapid scaling, with internal ambitions pointing toward tens or even hundreds of thousands of units annually by the end of 2026.

Longer-term, Tesla is constructing a much larger second-generation Optimus facility at Giga Texas, with potential capacity reaching millions of units per year. The company views Optimus as a transformative product that could eventually surpass its automotive business in scale and value, enabling widespread deployment of useful robots across industries. CEO Elon Musk has even predicted it would be the most popular product of all-time.

As one era closes at Fremont, another is rapidly taking shape.

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