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Tesla Giga Texas is a clean slate for launching its next-gen manufacturing processes
Tesla’s new Giga Texas facility will the second United States-based location for the all-electric automaker to manufacture its vehicles. With its first being located in Fremont, California, which has been in operation for Tesla since 2010, it may be planning to use its new Texas plant as a “clean slate” for manufacturing testing. With a widespread focus of the company being primarily set on making its vehicles faster, in larger amounts, and with better quality than ever before, a fresh spread of production lines in a new plant that is close to home is ideal for CEO Elon Musk, who announced the Texas plant during the Q2 2020 Earnings Call.
But apart from the new plant, the Q2 2020 Earnings Call included another big piece of information that was repeatedly discussed: manufacturing efficiency. With engineers who can help Tesla solve the manufacturing puzzle in high demand, the automaker can begin to set its sights on reaching a more sizable annual production and delivery rate.
However, it starts with the right personnel, and Tesla is surely searching for some highly-capable individuals who can help introduce new techniques and processes to the supply chain.
Tesla has been seeking individuals to help revolutionize its manufacturing processes. It starts with Giga Texas.
Manufacturing is where Tesla begins its process of delivering a car to a customer. After rounding up all of the material and necessary parts and people, a car can be built on production lines. However, there is always room for improvement, and as demand continues to grow in the face of an ever-changing automotive industry, Tesla needs to adapt. Without a doubt, the company recognizes that the key to keeping up with demand is building vehicles faster than ever before.
Musk, for one, is all-too-familiar with the struggles of building cars. When the Model 3’s introduction of “production hell” brought Tesla to a crossroads in 2017, it was evident that things needed to be solved. More lines and more personnel were brought in, but there is a better strategy than just adding more volume. There is a chance to revolutionize the way cars are built, making the entire process easier, more refined, and better for the company as a whole.
Sheer magnitude of the entire production system is hard to appreciate. Almost every element of production is >75% automated. Only wire harnesses & general assembly, which are <10% of production costs, are primarily manual.
— Elon Musk (@elonmusk) October 12, 2020
For Tesla, manufacturing half-a-million units of the same two cars every year is far from monotonous and repetitive. It is an opportunity to learn.
“…They sort of put manufacturing is like, oh, this is for some boring, just making copies, whatever. But actually, there’s far more opportunity for innovation in manufacturing than in the products itself, order magnitude,” Musk said during the company’s second-quarter Earnings Call. “If you work on manufacturing engineering, but you don’t just get force-fed a sandwich. You get to change the product design. So it’s super exciting.”
A focus on manufacturing has put Tesla at the forefront of automotive technology and design. Musk has even said himself that the company’s long-term sustainable advantage would be manufacturing. Eventually, other automakers will create and build a line of sustainable, functional, and operational EVs. However, Tesla will be able to put themselves ahead of the pack simply because the company’s manufacturing efficiency will be “head and shoulders” above everyone else.
Tesla will be absolutely head and shoulders above anyone else in manufacturing. That is our goal.” -Elon Musk
“Eventually, every car company will have long-range electric cars. Eventually, every company will have autonomy. But not every company will be great at manufacturing. Tesla will be absolutely head and shoulders above anyone else in manufacturing. That is our goal,” Musk said.
The problem is that testing these new techniques and ideas becomes difficult when you have two functional production plants and two others that are being constructed. Without a doubt, trying new things in terms of manufacturing could be detrimental to current lines and could interrupt the much-needed production efforts that are going on currently. So the only way to really test it is to build a new facility and try things on lines that have yet to be used.
This is where Tesla’s advantage lies with Giga Texas. It becomes the perfect place to test new techniques as lines have yet to be built, and none of the company’s current infrastructure is dependent on Giga Texas’ output. Not only is it a fresh start, but it is also close to home, and Musk will have the opportunity to oversee new production and manufacturing methods by simply hopping on his private jet and darting off to the Lone Star State.
Elon Musk giving YouTube tech reviewer Marques Brownlee a tour of the Fremont factory. (Credit: MKBHD/YouTube)
Tesla is currently looking for proven manufacturing leaders to take charge of the Giga Texas plant as well. This job won’t be business as usual or the same monotonous challenges day in and day out. Tesla is looking for a change, and it is dead set on coming up with new ways to make cars efficiently. As the company nears a 1 million vehicle a year production rate, Giga Texas may be the way Tesla sets itself apart from all other car companies by showing new and innovative techniques that could drive the company’s manufacturing practices to become more efficient and groundbreaking for the future.
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Tesla dispels reports of ‘sales suspension’ in California
“This was a “consumer protection” order about the use of the term “Autopilot” in a case where not one single customer came forward to say there’s a problem.
Sales in California will continue uninterrupted.”
Tesla has dispelled reports that it is facing a thirty-day sales suspension in California after the state’s Department of Motor Vehicles (DMV) issued a penalty to the company after a judge ruled it “misled consumers about its driver-assistance technology.”
On Tuesday, Bloomberg reported that the California DMV was planning to adopt the penalty but decided to put it on ice for ninety days, giving Tesla an opportunity to “come into compliance.”
Tesla enters interesting situation with Full Self-Driving in California
Tesla responded to the report on Tuesday evening, after it came out, stating that this was a “consumer protection” order that was brought up over its use of the term “Autopilot.”
The company said “not one single customer came forward to say there’s a problem,” yet a judge and the DMV determined it was, so they want to apply the penalty if Tesla doesn’t oblige.
However, Tesla said that its sales operations in California “will continue uninterrupted.”
It confirmed this in an X post on Tuesday night:
This was a “consumer protection” order about the use of the term “Autopilot” in a case where not one single customer came forward to say there’s a problem.
Sales in California will continue uninterrupted.
— Tesla North America (@tesla_na) December 17, 2025
The report and the decision by the DMV and Judge involved sparked outrage from the Tesla community, who stated that it should do its best to get out of California.
One X post said California “didn’t deserve” what Tesla had done for it in terms of employment, engineering, and innovation.
Tesla has used Autopilot and Full Self-Driving for years, but it did add the term “(Supervised)” to the end of the FSD suite earlier this year, potentially aiming to protect itself from instances like this one.
This is the first primary dispute over the terminology of Full Self-Driving, but it has undergone some scrutiny at the federal level, as some government officials have claimed the suite has “deceptive” naming. Previous Transportation Secretary Pete Buttigieg was vocally critical of the use of the name “Full Self-Driving,” as well as “Autopilot.”
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New EV tax credit rule could impact many EV buyers
We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date. However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.
Tesla owners could be impacted by a new EV tax credit rule, which seems to be a new hoop to jump through for those who benefited from the “extension,” which allowed orderers to take delivery after the loss of the $7,500 discount.
After the Trump Administration initiated the phase-out of the $7,500 EV tax credit, many were happy to see the rules had been changed slightly, as deliveries could occur after the September 30 cutoff as long as orders were placed before the end of that month.
However, there appears to be a new threshold that EV buyers will have to go through, and it will impact their ability to get the credit, at least at the Point of Sale, for now.
Delivery must be completed by the end of the year, and buyers must take possession of the car by December 31, 2025, or they will lose the tax credit. The U.S. government will be closing the tax credit portal, which allows people to claim the credit at the Point of Sale.
🚨UPDATE: $7,500 Tax Credit Portal “Closes By End of Year”.
This is bad news for pending Tesla buyers (MYP) looking to lock in the $7,500 Tax Credit.
“it looks like the portal closes by end of the year so there be no way for us to guarantee the funds however, we will try our… pic.twitter.com/LnWiaXL30k
— DennisCW | wen my L (@DennisCW_) December 15, 2025
We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date.
However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.
If not, the order can still go through, but the buyer will not be able to claim the tax credit, meaning they will pay full price for the vehicle.
This puts some buyers in a strange limbo, especially if they placed an order for the Model Y Performance. Some deliveries have already taken place, and some are scheduled before the end of the month, but many others are not expecting deliveries until January.
Elon Musk
Elon Musk takes latest barb at Bill Gates over Tesla short position
Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now
Elon Musk took his latest barb at former Microsoft CEO Bill Gates over his short position against the company, which the two have had some tensions over for a number of years.
Gates admitted to Musk several years ago through a text message that he still held a short position against his sustainable car and energy company. Ironically, Gates had contacted Musk to explore philanthropic opportunities.
Elon Musk explains Bill Gates beef: He ‘placed a massive bet on Tesla dying’
Musk said he could not take the request seriously, especially as Gates was hoping to make money on the downfall of the one company taking EVs seriously.
The Tesla frontman has continued to take shots at Gates over the years from time to time, but the latest comment came as Musk’s net worth swelled to over $600 billion. He became the first person ever to reach that threshold earlier this week, when Tesla shares increased due to Robotaxi testing without any occupants.
Musk refreshed everyone’s memory with the recent post, stating that if Gates still has his short position against Tesla, he would have lost over $10 billion by now:
Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now
— Elon Musk (@elonmusk) December 17, 2025
Just a month ago, in mid-November, Musk issued his final warning to Gates over the short position, speculating whether the former Microsoft frontman had still held the bet against Tesla.
“If Gates hasn’t fully closed out the crazy short position he has held against Tesla for ~8 years, he had better do so soon,” Musk said. This came in response to The Gates Foundation dumping 65 percent of its Microsoft position.
Tesla CEO Elon Musk sends final warning to Bill Gates over short position
Musk’s involvement in the U.S. government also drew criticism from Gates, as he said that the reductions proposed by DOGE against U.S.A.I.D. were “stunning” and could cause “millions of additional deaths of kids.”
“Gates is a huge liar,” Musk responded.
It is not known whether Gates still holds his Tesla short position.
Tesla dispels reports of ‘sales suspension’ in California
New EV tax credit rule could impact many EV buyers
