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Tesla Giga Shanghai raises parts production capacity amid China-made Model 3 ramp
Recent reports have indicated that Tesla is looking to increase Giga Shanghai’s car parts production capabilities as part of the company’s efforts to localize its supply chain further. The news was recently broken by Reuters, which referenced a government document indicating the electric car maker’s plans.
According to documents submitted to the Shanghai government by Tesla, the company is currently planning on adding more lines to Giga Shanghai. This should allow the electric car maker to produce more battery packs, electric motors, and motor controllers, among other parts. By doing so, Giga Shanghai would gain the capability to produce more vehicles for the Chinese market.
So far, vehicles produced in Giga Shanghai still use parts that are sourced from abroad. By the end of December, for example, reports indicated that about 70% of the Made-in-China Model 3’s parts were imported to China. This is something that Tesla intends to change, with reports stating that the company will eventually be sourcing 100% of its car parts from local Chinese suppliers.
The documents submitted by the company to the Shanghai government also point to Tesla aiming to double its annual building capacity for several key vehicle parts. Among these are cooling pipes, which are used for the heat management system of electric vehicles. Giga Shanghai reportedly has the capacity to produce 150,000 cooling pipes per year, but Tesla will be raising this output to about 260,000 annually.
This increase is particularly interesting considering Tesla’s Model Y program in Giga Shanghai. Since the Model 3 and Model Y share 75% of their parts, some of the additional cooling pipes that Tesla is looking to produce may very well be allotted for the all-electric crossover. That being said, it should be noted that Tesla has not provided capacity details for other vehicle parts in the documents it submitted to the Shanghai government.
Perhaps the most telling among the documents accessed by Reuters is one which revealed that Tesla is building an additional stamping line for Giga Shanghai. The purpose behind the construction of this additional stamping line has not been disclosed by Tesla in its filings to the Shanghai government, but it would not be surprising if the additional machinery would be used for the production of the Model Y. A dedicated Model Y stamping line in Giga Shanghai makes sense, after all, considering that the all-electric crossover is expected to feature larger casts than its Model 3 sibling.
A filing in 2018 pointed to Tesla producing 150,000 vehicles per year in Giga Shanghai, with the company later boosting its capacity to 250,000 annually. With Gigafactory Shanghai now in operation, the facility is expected to help Tesla reach its goal of producing 500,000 cars in 2020.
News
Tesla Model 3 becomes Netherlands’ best-selling used EV in 2025
More than one in ten second-hand electric cars sold in the country last year was a Tesla Model 3.
The Tesla Model 3 became the most popular used electric car in the Netherlands in 2025, cementing its dominance well beyond the country’s new-car market.
After years at the top of Dutch EV sales charts, the Model 3 now leads the country’s second-hand EV market by a wide margin, as record used-car purchases pushed electric vehicles further into the mainstream.
Model 3 takes a commanding lead
The Netherlands recorded more than 2.1 million used car sales last year, the highest level on record. Of those, roughly 4.8%, or about 102,000 vehicles, were electric. Within that growing segment, the Tesla Model 3 stood far ahead of its competitors.
In 2025 alone, 11,338 used Model 3s changed hands, giving the car an 11.1% share of the country’s entire used EV market. That means more than one in ten second-hand electric cars sold in the country last year was a Tesla Model 3, Auto Week Netherlands reported. The scale of its lead is striking: the gap between the Model 3 and the second-place finisher, the Volkswagen ID3, is more than 6,700 vehicles.
Rivals trail as residual values shape rankings
The Volkswagen ID.3 ranked a distant second, with 4,595 used units sold and a 4.5% market share. Close behind was the Audi e-tron, which placed third with 4,236 registrations. As noted by Auto Week Netherlands, relatively low residual values likely boosted the e-tron’s appeal in the used market, despite its higher original price.
Other strong performers included the Kia Niro, the Tesla Model Y, and the Hyundai Kona, highlighting continued demand for compact and midsize electric vehicles with proven range and reliability. No other model, however, came close to matching the Model 3’s scale or market presence.
News
Tesla Model Y Standard Long Range RWD launches in Europe
The update was announced by Tesla Europe & Middle East in a post on its official social media account on X.
Tesla has expanded the Model Y lineup in Europe with the introduction of the Standard Long Range RWD variant, which offers an impressive 657 km of WLTP range.
The update was announced by Tesla Europe & Middle East in a post on its official social media account on X.
Model Y Standard Long Range RWD Details
Tesla Europe & Middle East highlighted some of the Model Y Standard Long Range RWD’s most notable specs, from its 657 km of WLTP range to its 2,118 liters of cargo volume. More importantly, Tesla also noted that the newly released variant only consumes 12.7 kWh per 100 km, making it the most efficient Model Y to date.
The Model Y Standard provides a lower entry point for consumers who wish to enter the Tesla ecosystem at the lowest possible price. While the Model 3 Standard is still more affordable, some consumers might prefer the Model Y Standard due to its larger size and crossover form factor. The fact that the Model Y Standard is equipped with Tesla’s AI4 computer also makes it ready for FSD’s eventual rollout to the region.
Top Gear’s Model Y Standard review
Top Gear‘s recent review of the Tesla Model Y Standard highlighted some of the vehicle’s most notable features, such as its impressive real-world range, stellar infotainment system, and spacious interior. As per the publication, the Model Y Standard still retains a lot of what makes Tesla’s vehicles well-rounded, even if it’s been equipped with a simplified interior.
Top Gear compared the Model Y Standard to its rivals in the same segment. “The introduction of the Standard trim brings the Model Y in line with the entry price of most of its closest competition. In fact, it’s actually cheaper than a Peugeot e-3008 and costs £5k less than an entry-level Audi Q4 e-tron. It also makes the Ford Mustang Mach-E look a little short with its higher entry price and worse range,” the publication wrote.
Elon Musk
Elon Musk’s xAI bets $20B on Mississippi with 2GW AI data center project
The project is expected to create hundreds of permanent jobs, dramatically expand xAI’s computing capacity, and further cement the Mid-South as a growing hub for AI infrastructure.
Elon Musk’s xAI plans to pour more than $20 billion into a massive new data center campus in Southaven, Mississippi, marking the largest single economic development project in the state’s history.
The project is expected to create hundreds of permanent jobs, dramatically expand xAI’s computing capacity, and further cement the Mid-South as a growing hub for AI infrastructure.
xAI goes MACROHARDRR in Mississippi
xAI has acquired and is retrofitting an existing facility in Southaven to serve as a new data center, which will be known as “MACROHARDRR.” The site sits near a recently acquired power plant and close to one of xAI’s existing data centers in Tennessee, creating a regional cluster designed to support large-scale AI training and inference.
Once completed, the Southaven facility is expected to push the company’s total computing capacity to nearly 2 GW, placing it among the most powerful AI compute installations globally. The data center is scheduled to begin operations in February 2026.
Gov. Tate Reeves shared his optimism about the project in a press release. “This record-shattering $20 billion investment is an amazing start to what is sure to be another incredible year for economic development in Mississippi. Today, Elon Musk is bringing xAI to DeSoto County, a project that will transform the region and bring amazing opportunities to its residents for generations. This is the largest economic development project in Mississippi’s history,” he said.
xAI’s broader AI ambitions
To secure the investment, the Mississippi Development Authority approved xAI for its Data Center Incentive program, which provides sales and use tax exemptions on eligible computing hardware and software. The City of Southaven and DeSoto County are also supporting the project through fee-in-lieu agreements aimed at accelerating development timelines and reducing upfront costs.
Founded in 2023 by Elon Musk, xAI develops advanced artificial intelligence systems focused on large-scale reasoning and generative applications. Its flagship product, Grok, is integrated with the social media platform X, alongside a growing suite of APIs for image generation, voice, and autonomous agents, including offerings tailored for government use.
Elon Musk highlighted xAi’s growth and momentum in a comment about the matter. “xAI is scaling at an immeasurable pace — we are building our third massive data center in the greater Memphis area. MACROHARDRR pushes our Colossus training compute to ~2GW – by far the most powerful AI system on Earth. This is insane execution speed by xAI and the state of Mississippi. We are grateful to Governor Reeves for his support of building xAI at warp speed,” Musk said.
Tesla Model 3 becomes Netherlands’ best-selling used EV in 2025
Tesla Model Y Standard Long Range RWD launches in Europe
