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Tesla Giga Canada makes sense: Canadian Minister emphasizes auto industry’s new “supplier of choice” [Opinion]
Tesla Giga Canada is starting to make more sense. At the 2022 Shareholders Round-Up, Elon Musk announced that Tesla might share the location of its next gigafactory by the end of the year. Musk teased that Canada could be a potential location.
Just last week, Canada’s Minister of Innovation, Science, and Industry François-Philippe Champagne visited Tesla’s Markham facility to talk to Tesla. Champagne’s visit suggested that Tesla Giga Canada has some potential to reach fruition.
There are two main reasons Canada would be a good location for Tesla’s next gigafactory. CDN seems to be hyper-focused on developing its green supply chain and catering to the auto industry. Also, the recently signed Inflation Reduction Act encourages automakers—legacy and startup alike—to secure supply chains in North America.
Canada becoming EV “supplier of choice”
Recently, Volkswagen and Mercedes Benz signed separate agreements with Canada for battery EV materials.
Volkswagen’s deal with Canada involves sustainable battery manufacturing, cathode active material production, critical mineral supply, and others. It also includes a Canadian office for VW’s PowerCo, its battery company. Through PowerCo, Volkswagen plans to develop and research EV batteries and ramp in-house cell production and recycling.
Canada’s agreement with Mercedes Benz seems more open-ended. However, it will focus on enhancing collaborations between the legacy OEM and Canadians companies along EV and battery supply chains.
Minister Champagne explained that talks between Canada and the two legacy automakers started in May when he visited Germany.
“Canada is quickly becoming the green supplier of choice for major auto companies, including leading European manufacturers, as we transition to a cleaner, greener future. By partnering with Volkswagen and Mercedes, Canada is strengthening its leadership role as a world-class automotive innovation ecosystem for clean transportation solutions. Canada is committed to building a strong and reliable automotive and battery supply chain here in North America to help the world meet global climate goals,” said Champagne.
The 2022 Inflation Reduction Act
VW and Mercedes Benz signed deals with Canada a week after President Joe Biden signed the Inflation Reduction Act, and it doesn’t seem to be a coincidence.
The Inflation Reduction Act takes effect in December 2022, but EV automakers and suppliers have already started preparing for it. For instance, South Korean battery suppliers have also started preparing to move production to the United States. The law introduces a new system of EV tax credits with a specific set of requirements. It includes a battery requirement that would affect automakers and suppliers directly.
Under the Inflation Reduction Act, 40% of materials used in batteries should be sourced from North America or a U.S. trading partner by 2024. By 2029, 100% of materials used in batteries should come from North America or U.S. trading partners; otherwise, the vehicles will not qualify for EV tax credits.
The law would affect automakers like Volkswagen. VW, for instance, aims to break into the U.S. pickup truck market with an all-electric Scout vehicle. EV tax credits would help VW’s EV Scout sales in the future.
What about Tesla?
The U.S. Department of Energy’s Alternative Fuels Data (DOE) published a list of electric vehicles eligible for the new EV tax credit of $7,500. According to DOE’s list, Tesla’s entire S3XY line will qualify for the tax credits starting January 1, 2023.
Tesla hasn’t qualified for EV tax credits for quite some time since it already hit the 200,000 cap in the old system. The strong demand for Tesla cars suggests that the lack of subsidies isn’t really hurting the company. But, EV tax credits would help the company’s primary goal: accelerating the advent of sustainability.
Tesla has become a leader in the global EV space and market. It has shown legacy automakers that electric vehicles are the future. To keep traditional OEMs motivated, Tesla needs to keep pushing forward. Complying with the Inflation Reduction Act would be a good way of keeping legacy OEMs on their toes.
Tesla’s aims to produce 20 million vehicles annually by 2030. Elon Musk explained that Tesla would need about a dozen gigafactories to make 2 million vehicles per year and achieve its 20M goal.
Currently, Tesla has Giga Texas, Giga Berlin, Giga Shanghai, and the Fremont Factory producing cars. It would make sense for Tesla to choose Canada as the next location of its newest gigafactory given the Inflation Reduction Act’s requirements. By choosing Canada, Tesla could produce more cars and qualify for the EV tax credits in the United States–hitting two birds with one stone.
The Teslarati team would appreciate hearing from you. If you have any tips, contact me at maria@teslarati.com or via Twitter @Writer_01001101.
Elon Musk
Tesla Full Self-Driving v14 gets new release date, Elon Musk details
“Last minute bug cropped up with V14. Released is pushed to Monday, but that gives us time to add a few more features.”

Tesla’s Full Self-Driving version 14 has gotten a new release date after new details from CEO Elon Musk opened up some new perspectives on the suite.
Originally slated for an “early wide release” of v14 this past week, then a launch of v14.1 and v14.2 this week and next week, respectively, delays arose after Tesla’s Autopilot team found some issues within the software.
Tesla FSD V14 set for early wide release next week: Elon Musk
Musk detailed on X this morning that a “last minute bug” appeared before release, which has now pushed FSD v14’s release back to this Monday:
Last minute bug cropped up with V14. Released is pushed to Monday, but that gives us time to add a few more features.
— Elon Musk (@elonmusk) October 4, 2025
Musk also said the delay would give Tesla the ability to “add a few more features,” which seems like an added advantage, although he did not provide any additional details on what these features could be.
In classic Musk fashion, he has teased the capabilities of this version of the FSD suite since it became public knowledge that Tesla was working on it. He said that it is the second most important update for the AI/Autopilot team since FSD v12.
V14 will have a parameter count that is ten times what previous iterations were, which should provide more accuracy and a more human-like operation.
🚨 Tesla is making “significant improvements” in FSD software and plans to increase parameter count by roughly 10x from what people are currently experiencing pic.twitter.com/r974W6ToGi
— TESLARATI (@Teslarati) July 23, 2025
Musk has said v14 “feels alive” and has used the word “sentient” to describe its performance. The goal with the new FSD rollouts is to eliminate as many interventions as possible, making it as close to human driving as possible.
Investor's Corner
Tesla just got a weird price target boost from a notable bear

Tesla stock (NASDAQ: TSLA) just got a weird price target boost from a notable bear just a day after it announced its strongest quarter in terms of vehicle deliveries and energy deployments.
JPMorgan raised its price target on Tesla shares from $115 to $150. It maintained its ‘Underweight’ rating on the stock.
Despite Tesla reporting 497,099 deliveries, about 12 percent above the 443,000 anticipated from the consensus, JPMorgan is still skeptical that the company can keep up its momentum, stating most of its Q3 strength came from leaning on the removal of the $7,500 EV tax credit, which expired on September 30.
Tesla hits record vehicle deliveries and energy deployments in Q3 2025
The firm said Tesla benefited from a “temporary stronger-than-expected industry-wide pull-forward” as the tax credit expired. It is no secret that consumers flocked to the company this past quarter to take advantage of the credit.
The bump will need to be solidified as the start of a continuing trend of strong vehicle deliveries, the firm said in a note to investors. Analysts said that one quarter of strength was “too soon to declare Tesla as having sustainably returned to growth in its core business.”
JPMorgan does not anticipate Tesla having strong showings with vehicle deliveries after Q4.
There are two distinct things that stick out with this note: the first is the lack of recognition of other parts of Tesla’s business, and the confusion that surrounds future quarters.
JPMorgan did not identify Tesla’s strength in autonomy, energy storage, or robotics, with autonomy and robotics being the main focuses of the company’s future. Tesla’s Full Self-Driving and Robotaxi efforts are incredibly relevant and drive more impact moving forward than vehicle deliveries.
Additionally, the confusion surrounding future delivery numbers in quarters past Q3 is evident.
Will Tesla thrive without the EV tax credit? Five reasons why they might
Tesla will receive some assistance from deliveries of vehicles that will reach customers in Q4, but will still qualify for the credit under the IRS’s revised rules. It will also likely introduce an affordable model this quarter, which should have a drastic impact on deliveries depending on pricing.
Tesla shares are trading at $422.40 at 2:35 p.m. on the East Coast.
News
Tesla coding shows affordable model details, including potential price

Coding within Tesla’s website appears to have potentially revealed some details of the affordable model it plans to launch, including its possible price.
Although these details are unconfirmed by the company, recent sightings of the vehicle have sparked significant speculation as to what it will offer.
Tesla said a few months back that it had already successfully built the first few test units of the affordable model. CEO Elon Musk revealed later that it would essentially be a stripped-down version of the Model Y with a handful of changes.
We had our first look at what those changes appear to be, as what is likely the new affordable model was spotted on roads near Gigafactory Texas yesterday. It is a Model Y body with some Model 3 features.
It lacks the light bar that the new Model Y has and instead equips headlights similar to those of the Model 3 “Highland.”
Affordable Tesla Model Y spotted without camouflage near Giga Texas
Other design changes appear to include no glass roof and new wheels. Some rumors have also indicated that Tesla plans to use a cheaper, textile interior, devoid of the flashy features that its other cars are equipped with, including no rear screen, no HEPA system, and manually adjustable second-row air vents.
However, coding within the Tesla website seemed to reveal some pretty significant details about the new affordable model, including its name, which differs from the E41 codename it was given, its price, and a complete list of features.
This was found by Tesla Newswire on X. Here’s what the coding showed for the car. Note that this was found in coding, and is not necessarily confirmation from Tesla regarding what it plans to offer:
- Name – Model Y Standard
- Price $39,990
- Redesigned front fascia
- Single-part headlights
- Front bumper camera
- No glass roof, noted as a “closed glass roof”
- 18″ Aperture wheels
- Manually adjustable steering wheel
- Textile décor
- 15.4″ front touchscreen
- No second-row touchscreen
- Manually adjustable air vents in the second row
- No HEPA system
- 75 cu. fu. cargo space
Here’s what the coding looked like:
Extract 2:
“interior_features”:{“basic”:[{“type”:”title”,”content”:”Interior”},{“type”:”basic[0]”,”content”:”Closed glass roof”},{“type”:”basic[2]”,”content”:”Second-row manual-adjust air vents”},{“type”:”basic[3]”,”content”:”Manual-adjust steering…
— The Tesla Newswire (@TeslaNewswire) October 1, 2025
Many believe these could be the specs and details of the new affordable model, but others think Tesla might be baiting the community. Tesla knows its fans well, and many of them are sharp enough to examine some of the core portions of its website, looking for clues.
The company is well aware that these breadcrumbs will be discovered, and could be putting anything to drive up interest and chatter about what it could release. It certainly seems as if the price tag is a tad high, which tends to push some skepticism about the coding.
However, we’ll take anything we can get at this point. It is important to note that this coding is not a confirmation of details from Tesla.
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