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Tesla China VP talks Shanghai factory, Model Y and adapting to a COVID-19 world

The Tesla Gigafactory Shanghai complex has of April 2020. (Credit: Wuwa Vision/YouTube)

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Tesla China’s Vice President of Foreign Affairs Grace Tao gave an extensive update to Giga Shanghai’s production rate, Phase 2 progress, and how the company has evolved in a pandemic-affected work environment.

In an interview with Chinese media outlet Xinhuanet, Tao described Giga Shanghai’s projected production rate for June, along with the introduction of the Model Y in China.

Tao stated Giga Shanghai operation is going smoothly and may reach a 4,000 vehicle per week production rate as early as June. The figure of 4,000 Model 3s being rolled off production lines in Shanghai will help the company reach its anticipated annual production rate of 200,000 electric cars a year, exceeding its prior expectations of 150,000 units annually or around 3,000 Model 3s a week. In contrast, only the first phase of the Chinese production facility is built.

Giga Shanghai’s Phase 2 is also coming along nicely, Tao said. The company fully anticipates the completion of Phase 2 by the end of the year, which means the Model Y could begin mass production as early as Q1 2021.

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The sheer size of Phase 2 and Tesla’s construction speed is impressive. The company completed the first phase of Giga Shanghai in one year, as the company announced public Model 3 deliveries and the Model Y manufacturing project on January 7, 2020. This date in 2019 is the exact day construction started in Shanghai.

The company has also been forced to adapt to a new world that is dealing with the massive COVID-19 pandemic. Considering the virus has origins in the Asian country, Giga Shanghai would have been a prime candidate for an extended shutdown. However, the facility was only closed for around a week and reopened on February 10. An extended playbook that described safety and health procedures for employees at Giga Shanghai has been increasingly effective in keeping workers safe and production rates steady.

The “Chinese Operation Manual” details how people can remain safe amidst the pandemic, and was the basis for Tesla’s “Return to Work Playbook” that was written to describe safe procedures for the Fremont factory’s reopening.

Outside of the factory, Tesla stores have adapted to the new process of showing the company’s products to prospective owners. Tao stated that Tesla’s internet site had become a mainstay in keeping the company’s sales healthy. At the same time, in-store experiences are crucial for introducing new product experiences and showing new features with the company’s cars.

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For example, Tesla just released its White Model 3 interior in China. While virtually anyone with an internet connection can see what it looks like, the stores allow interested buyers in seeing the interior color in person, determining whether the option is right for them.

Tao stated that Tesla plans to expand its stores, which she refers to as “experience centers,” into new territories “based on the expansion of customer bases in different cities.”

Despite the overwhelming infection of COVID-19 in China, Tesla has adapted and established itself as an outlier in a failing automotive sector. The company just reduced the price of its base Model 3 to qualify for government incentives, making the vehicle even more affordable in an already strong market.

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Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla is ramping up its advertising strategy on social media

Tesla has long stood out in the automotive world for its unconventional approach to advertising—or, more accurately, its near-total avoidance of it. For over a decade, the company spent virtually nothing on traditional marketing.

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tesla cybertruck
Tesla CEO Elon Musk unveils futuristic Cybertruck in Los Angeles, Nov. 21, 2019 (Photo: Teslarati)

Tesla seems to be ramping up its advertising strategy on social media once again. Marketing and advertising have not been a major focus of Tesla’s, something that has brought some criticism to the company from its fans.

However, the company looks to be making adjustments to that narrative, as it has at times in the past, as ads were spotted on several different platforms over the past few days.

On Facebook and YouTube, ads were spotted that were evidently placed by Tesla. On Facebook, Tesla was advertising Full Self-Driving, and on YouTube, an ad for its Energy Division was spotted:

Tesla has long stood out in the automotive world for its unconventional approach to advertising—or, more accurately, its near-total avoidance of it. For over a decade, the company spent virtually nothing on traditional marketing.

In 2022, Tesla’s U.S. ad spend was roughly $152,000, a rounding error compared to General Motors’ $3.6 billion the following year.

Traditional automakers averaged about $495 per vehicle on ads; Tesla spent $0. CEOElon Musk’s stance was explicit: “Tesla does not advertise or pay for endorsements,” he posted on X in 2019. “Instead, we use that money to make the product great.”

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The strategy relied on word-of-mouth from delighted owners, Elon’s massive X following, viral product launches, media frenzy, and customer referrals. A great product, Musk argued, sells itself. It does not need Super Bowl spots or billboards. Resources poured into R&D instead, with Tesla investing nearly $3,000 per car, far more than rivals.

Tesla counters jab at lack of advertising with perfect response

This reluctance wasn’t arrogance; it was philosophy, and Musk made it clear that the money was better spent on the product. Heavy spending on ads was seen as wasteful when innovation and authenticity drove organic demand. Shareholder calls for marketing budgets were ignored.

The current shift, paid Facebook ads promoting Full Self-Driving (Supervised) and YouTube Shorts offering up to $1,000 back on Powerwall batteries, marks a pragmatic evolution.

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These targeted campaigns coincide with the end of one-time FSD purchases and a March 31 deadline for FSD transfer eligibility on new vehicles.

This move likely signals Tesla adapting to scale, as well as a more concerted effort to stop misinformation regarding its platform. As EV competition intensifies and the company bets big on robotaxis and energy storage, pure organic buzz may not suffice to hit adoption targets. Selective digital ads allow precise, cost-effective reach without abandoning core principles.

If successful, it could foreshadow measured expansion into marketing, boosting high-margin software and home energy revenue while preserving Tesla’s innovative edge. But, it’s nice to see the strategy return, especially as Tesla has been reluctant to change its mind in the past.

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Tesla Model Y outsells everything in three states, but Ford dominates

The Model Y’s success here highlights accelerating mainstream adoption of electric SUVs, which offer spacious interiors, impressive range, rapid acceleration, and low operating costs.

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Credit: Tesla

The Tesla Model Y was the best-selling vehicle in three different states in the U.S. last year, according to new data that shows the all-electric crossover outsold every other car in a few places. However, Ford widely dominated the sales figures with its popular F-Series of pickups.

According to new vehicle registration data compiled by Edmunds and visualized by Visual Capitalist, the Ford F-Series, encompassing models like the F-150, F-250, F-350, and F-450, claimed the title of best-selling vehicle in 29 states.

This dominance underscores the pickup truck’s unbreakable appeal across much of the country, particularly in rural, Midwestern, Southern, and Western states, where towing capacity, durability, and utility for work or recreation remain top priorities.

The F-Series has held the crown as America’s overall best-selling vehicle for decades, a streak that continued strong into 2025 despite broader market shifts.

Yet, amid this truck-heavy reality, Tesla made a notable breakthrough. The Model Y emerged as the top-selling vehicle, not just the leading EV, but the outright best-seller in three key states: California, Nevada, and Washington.

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These West Coast strongholds reflect regions with robust EV infrastructure, high environmental awareness, generous incentives, and tech-savvy populations. In California alone, nearly 50 percent of new vehicle registrations were electrified, far outpacing the national average of around 25 percent.

The Model Y’s success here highlights accelerating mainstream adoption of electric SUVs, which offer spacious interiors, impressive range, rapid acceleration, and low operating costs.

Elon Musk: Tesla Model Y is world’s best-selling car for 3rd year in a row

Elsewhere, Japanese crossovers filled many gaps: Toyota’s RAV4 and Honda’s CR-V topped charts in several urban and densely populated Northeastern and Midwestern states, where fuel efficiency, reliability, and family-friendly features win out over larger trucks.

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While Ford’s broad reach shows traditional preferences persist, at least for now, Tesla’s Model Y victories in high-population, influential states signal a gradual but undeniable transition toward electrification. As charging networks expand and battery technology improves, more states could follow the West Coast’s lead in the coming years.

This 2025 map captures a pivotal moment: pickup trucks still rule the majority, but EVs are carving out meaningful territory where consumer priorities align with sustainability and innovation. The road ahead promises continued competition between legacy giants and electric disruptors.

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Elon Musk shares updated Starship V3 maiden launch target date

The comment was posted on Musk’s official account on social media platform X.

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Credit: SpaceX/X

SpaceX CEO Elon Musk shared a brief Starship V3 update in a post on social media platform X, stating the next launch attempt of the spacecraft could take place in about four weeks.

The comment was posted on Musk’s official account on social media platform X.

Musk’s update suggests that Starship Flight 12 could target a launch around early April, though the schedule will depend on several remaining milestones at SpaceX’s Starbase launch facility in Texas.

Among the key steps is testing and certification of the site’s new launch tower, launch mount, and tank farm systems. These upgrades will support the next generation of Starship vehicles.

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Booster 19 is expected to roll to the launch site and be placed on the launch mount before returning to the production facility to receive its 33 Raptor engines. The booster would then return for a static fire test, which could mark the first time a Super Heavy booster equipped with Raptor V3 engines is fired on the pad.

Ship 39 is expected to undergo a similar preparation process. The vehicle will likely return to the production site to receive its six engines before heading to Massey’s test site for static fire testing.

Once both stages are prepared, the booster and ship will roll out to the launch site for the first full stack of a V3 Super Heavy and V3 Starship. A full wet dress rehearsal is expected to follow before any launch attempt.

Elon Musk has previously shared how SpaceX plans to eventually recover Starship’s upper stage using the launch tower’s robotic arms. Musk noted that the company will only attempt to catch the Starship spacecraft after two successful soft landings in the ocean. The approach is intended to reduce risk before attempting a recovery over land.

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“Should note that SpaceX will only try to catch the ship with the tower after two perfect soft landings in the ocean. The risk of the ship breaking up over land needs to be very low,” Musk wrote in a post on X.

Such a milestone would represent a major step toward the full reuse of the Starship system, which remains a central goal for SpaceX’s long-term launch strategy.

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