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Tesla is looking at Boring Co. tunnels to transport materials for Model 3 production
Elon Musk’s The Boring Company could be brought in to help the Tesla Factory at Fremont in the manufacturing of the Model 3. In a statement during Wednesday’s Q4 earnings call, the Must noted that the company is looking to build a tunnel between its 901 Page Ave. seat factory in Fremont to the main Tesla Factory roughly 3 miles away at 45500 Fremont Blvd.
While discussing an inquiry from Bank of America’s John Murphy, who asked about the company’s production plans for the Model 3 and a possible manufacturing limit on the Tesla Factory, CTO JB Straubel stated that issues do emerge in the transportation of materials from one facility to the next.
According to the Tesla executive, the company is developing high-density and high-velocity lines, but limits emerge when it comes to how quickly materials can get transported from one line to another. Thus, when the Model 3 production hits its full pace, the limit to production would lie in how many trucks can dock after going to and from each factory.
During these discussions, Tesla CEO Elon Musk unveiled a novel idea, stating that the California-based electric car maker and energy company would be using The Boring Company tunnels as a way to expedite the transportation of materials from one facility to the next.
“We are looking at building tunnels, using The Boring Company’s thing, because we have, for example, our seats production is at a separate building on Page. And we have a bunch of trucks moving seats back and forth between both the primary Fremont production and the seat factory.
-->“And we actually get constrained on how many trucks can we dock and undock at the seat factory, which is only, I don’t know, half a mile or a mile away from the vehicle plant. So it’ll be pretty easy to just have a tunnel, do an automated conveyance from seats to the factory,” Musk said.
Overall, Musk is optimistic about the potential of using The Boring Co.’s machines and tunnels as a way to help increase the pace of Tesla’s manufacturing. The Tesla CEO even noted that if the company manages to accomplish this, the optimal pace of the main Fremont facility could improve to 700,000 vehicles per year, comprised of 600,000 Model 3 and 100,000 Model S and X.
“And there are things we can do, where we can build sub-systems and then transport sub-systems to Fremont. These things get increasingly difficult, but they’re all doable. But I can see a path where we get to say 600,000 Model 3 production and 100,000 S and X, so maybe 700,000, which should be like almost 50% more than GM or Toyota got out of the plant. I mean that seems achievable,” Musk said.
Tesla’s Fremont Blvd. and Page Ave. facility are roughly three miles apart by car, which, under normal conditions, would take about 10-14 minutes of travel, according to Google Map estimates. With a tunnel system in place, the time it would take to transport materials between the two factories would be significantly reduced, along with the infrastructure needed to support a high volume of commercial trucks.
Elon Musk did not specify any other details about the idea, though the online community has posted a rough idea of where the tunnel between the main Fremont facility and the Page Ave. factory might run. A link to the possible tunnel between the two plants could be viewed below.
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As we covered in a previous report, The Boring Co. is currently attempting to secure all the permits and documentation needed to dig a proof-of-concept tunnel from northeast Westchester to Brentwood, CA. The proposed 6.5-mile tunnel system is planned to run under Sepulveda Boulevard, right across Culver City, and is aimed to showcase the benefits of Elon Musk’s tunnel system to the city’s traveling public.
News
Tesla is improving Giga Berlin’s free “Giga Train” service for employees
With this initiative, Tesla aims to boost the number of Gigafactory Berlin employees commuting by rail while keeping the shuttle free for all riders.
Tesla will expand its factory shuttle service in Germany beginning January 4, adding direct rail trips from Berlin Ostbahnhof to Giga Berlin-Brandenburg in Grünheide.
With this initiative, Tesla aims to boost the number of Gigafactory Berlin employees commuting by rail while keeping the shuttle free for all riders.
New shuttle route
As noted in a report from rbb24, the updated service, which will start January 4, will run between the Berlin Ostbahnhof East Station and the Erkner Station at the Gigafactory Berlin complex. Tesla stated that the timetable mirrors shift changes for the facility’s employees, and similar to before, the service will be completely free. The train will offer six direct trips per day as well.
“The service includes six daily trips, which also cover our shift times. The trains will run between Berlin Ostbahnhof (with a stop at Ostkreuz) and Erkner station to the Gigafactory,” Tesla Germany stated.
Even with construction continuing at Fangschleuse and Köpenick stations, the company said the route has been optimized to maintain a predictable 35-minute travel time. The update follows earlier phases of Tesla’s “Giga Train” program, which initially connected Erkner to the factory grounds before expanding to Berlin-Lichtenberg.
-->Tesla pushes for majority rail commuting
Tesla began production at Grünheide in March 2022, and the factory’s workforce has since grown to around 11,500 employees, with an estimated 60% commuting from Berlin. The facility produces the Model Y, Tesla’s best-selling vehicle, for both Germany and other territories.
The company has repeatedly emphasized its goal of having more than half its staff use public transportation rather than cars, positioning the shuttle as a key part of that initiative. In keeping with the factory’s sustainability focus, Tesla continues to allow even non-employees to ride the shuttle free of charge, making it a broader mobility option for the area.
News
Tesla Model 3 and Model Y dominate China’s real-world efficiency tests
The Tesla Model 3 posted 20.8 kWh/100 km while the Model Y followed closely at 21.8 kWh/100 km.
Tesla’s Model 3 and Model Y once again led the field in a new real-world energy-consumption test conducted by China’s Autohome, outperforming numerous rival electric vehicles in controlled conditions.
The results, which placed both Teslas in the top two spots, prompted Xiaomi CEO Lei Jun to acknowledge Tesla’s efficiency advantage while noting that his company’s vehicles will continue refining its own models to close the gap.
Tesla secures top efficiency results
Autohome’s evaluation placed all vehicles under identical conditions, such as a full 375-kg load, cabin temperature fixed at 24°C on automatic climate control, and a steady cruising speed of 120 km/h. In this environment, the Tesla Model 3 posted 20.8 kWh/100 km while the Model Y followed closely at 21.8 kWh/100 km, as noted in a Sina News report.
These figures positioned Tesla’s vehicles firmly at the top of the ranking and highlighted their continued leadership in long-range efficiency. The test also highlighted how drivetrain optimization, software management, and aerodynamic profiles remain key differentiators in high-speed, cold-weather scenarios where many electric cars struggle to maintain low consumption.
Xiaomi’s Lei Jun pledges to continue learning from Tesla
Following the results, Xiaomi CEO Lei Jun noted that the Xiaomi SU7 actually performed well overall but naturally consumed more energy due to its larger C-segment footprint and higher specification. He reiterated that factors such as size and weight contributed to the difference in real-world consumption compared to Tesla. Still, the executive noted that Xiaomi will continue to learn from the veteran EV maker.
“The Xiaomi SU7’s energy consumption performance is also very good; you can take a closer look. The fact that its test results are weaker than Tesla’s is partly due to objective reasons: the Xiaomi SU7 is a C-segment car, larger and with higher specifications, making it heavier and naturally increasing energy consumption. Of course, we will continue to learn from Tesla and further optimize its energy consumption performance!” Lei Jun wrote in a post on Weibo.
-->Lei Jun has repeatedly described Tesla as the global benchmark for EV efficiency, previously stating that Xiaomi may require three to five years to match its leadership. He has also been very supportive of FSD, even testing the system in the United States.
Elon Musk
Elon Musk reveals what will make Optimus’ ridiculous production targets feasible
Musk recent post suggests that Tesla has a plan to attain Optimus’ production goals.
Elon Musk subtly teased Tesla’s strategy to achieve Optimus’ insane production volume targets. The CEO has shared his predictions about Optimus’ volume, and they are so ambitious that one would mistake them for science fiction.
Musk’s recent post on X, however, suggests that Tesla has a plan to attain Optimus’ production goals.
The highest volume product
Elon Musk has been pretty clear about the idea of Optimus being Tesla’s highest-volume product. During the Tesla 2025 Annual Shareholder Meeting, Musk stated that the humanoid robot will see “the fastest production ramp of any product of any large complex manufactured product ever,” starting with a one-million-per-year line at the Fremont Factory.
Following this, Musk stated that Giga Texas will receive a 10 million-per-year unit Optimus line. But even at this level, the Optimus ramp is just beginning, as the production of the humanoid robot will only accelerate from there. At some point, the CEO stated that a Mars location could even have a 100 million-unit-per-year production line, resulting in up to a billion Optimus robots being produced per year.
Self-replication is key
During the weekend, Musk posted a short message that hinted at Tesla’s Optimus strategy. “Optimus will be the Von Neumann probe,” the CEO wrote in his post. This short comment suggests that Tesla will not be relying on traditional production systems to make Optimus. The company probably won’t even hire humans to produce the humanoid robot at one point. Instead, Optimus robots could simply produce other Optimus robots, allowing them to self-replicate.
-->The Von Neumann is a hypothetical self-replicating spacecraft proposed by the mathematician and physicist John von Neumann in the 1940s–1950s. The hypothetical machine in the concept would be able to travel to a new star system or location, land, mine, and extract raw materials from planets, asteroids, and moons as needed, use those materials to manufacture copies of itself, and launch the new copies toward other star systems.
If Optimus could pull off this ambitious target, the humanoid robot would indeed be the highest volume product ever created. It could, as Musk predicted, really change the world.
Tesla is improving Giga Berlin’s free “Giga Train” service for employees
Tesla Model 3 and Model Y dominate China’s real-world efficiency tests
