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Tesla Gigafactory 3 construction in China begins with rapid buildout of perimeter fence

(Photo: 烏瓦/YouTube)

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Tesla’s Gigafactory 3 in Shanghai is beginning to take shape, with construction work on the facility entering its first phases. Drone footage taken last Wednesday, for one, recently revealed that workers have seemingly finished laying a perimeter fence around Tesla’s 864,885-square meter plot of land in Shanghai’s Lingang Industrial Zone, paving the way for more work to be done.

The drone footage of Gigafactory 3’s perimeter fence comes just over a week after Shanghai Mayor Ying Yong and Vice Mayor Wu Qing met with Tesla’s leaders in China to check out the company’s new vehicles like the Model 3. During their visit, the officials urged Tesla and other parties involved in the facility’s construction to expedite the buildout of Gigafactory 3.

Tesla’s timeframe for Gigafactory 3 has always been ambitious. When the company initially announced that it plans to start vehicle production in the facility roughly two years after the site’s construction begins, many were dismissive. Tesla critics were quick to note that such a timeframe is too ambitious. Wall Street was equally skeptical, with Consumer Edge Research senior auto analyst James Albertine dubbing Gigafactory 3’s timeline as simply “not feasible.”

Tesla, for its part, eventually opted to change its initial timeline for the facility. Instead of taking a more conservative stance, though, Tesla did the opposite, stating in its Q3 2018 vehicle production and deliveries report that it would be accelerating the construction of Gigafactory 3 even more. Tesla further noted that it expects the project to be a “capital efficient and rapid buildout, using many lessons learned from the Model 3 ramp in North America.”

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While the timeframe for Gigafactory 3 is undoubtedly ambitious, the company does enjoy the favor of the Chinese government, allowing Tesla to tap into local resources and manpower. Seemingly as a response to questions about Tesla’s ability to gain funding for the project, for example, reports emerged that local Shanghai banks have given the electric car maker low-interest loans amounting to 30% of the factory’s estimated costs. Tesla’s bid for the 864,885-square meter plot of land also went unchallenged, enabling the company to quickly prepare for the facility’s construction. With this in mind, it appears that the rapid buildout of Gigafactory 3’s perimeter fence is simply yet another sign that the government fully supports the project.

Gigafactory 3 will play a considerable role in Tesla’s expansion into the Chinese market. By producing vehicles locally, Tesla would be able to avoid the import tariffs placed on its vehicles coming from the United States, while allowing Tesla to release competitively priced cars to go against lower-priced EVs being produced by local carmakers.  

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China stands as the world’s largest market for electric cars, being a country that is aggressively pushing for sustainable transportation. With this in mind, Tesla’s success in the country would likely be dependent on how it could target the greater Chinese auto industry with its lower-priced vehicles. While the Model S and Model X are mostly seen as status symbols for the successful and wealthy, the luxury sedan and SUV nonetheless cater to the country’s upper class, which represents a much smaller market. With vehicles such as the Model Y and the Model 3 saturating the country from Gigafactory 3, Tesla could tap into China’s ever-growing mainstream electric car market, which is on pace to hit a milestone of 1 million EVs sold in 2018.

Watch the progress of Gigafactory 3 in the video below.

https://youtu.be/rx3mXjQg46U

 

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla makes latest announcement on Model S and Model X

The announcement follows Tesla CEO Elon Musk’s statement on the Q4 2025 earnings call in late January. Musk described the decision as an “honorable discharge” for the two vehicles, noting that production would wind down in Q2 2026.

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Credit: Tesla

Tesla has officially begun winding down production of its flagship Model S and Model X in the United States, notifying owners via email that the long-running models will soon reach the end of the line.

The email, sent to U.S. customers on March 27, opens with gratitude. “Model S and Model X marked the beginning of the world’s transition to electric transportation,” it reads. “These vehicles also made it possible for Tesla to develop the technology that would move our world toward autonomy.”

Tesla officially begins sunset of Model S and Model X

It then delivers the news directly: “As we make way for this autonomous future, Model S and Model X production will be ending. If you’d like to bring home a new Model S or Model X, order yours soon from our limited inventory.”

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The message closes with a simple thank-you: “Thank you for being part of our journey.”

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The announcement follows Tesla CEO Elon Musk’s statement on the Q4 2025 earnings call in late January. Musk described the decision as an “honorable discharge” for the two vehicles, noting that production would wind down in Q2 2026.

The move frees factory floor space at Fremont, California, for next-generation manufacturing, including Optimus humanoid robots and the upcoming Robotaxi platform.

Introduced in 2012 and 2015, respectively, the Model S and Model X were Tesla’s original halo cars. They proved EVs could outperform gasoline luxury vehicles in acceleration, range, and tech features while pioneering over-the-air updates and early autonomy hardware.

Although they never matched the volume of the Model 3 and Model Y, their engineering breakthroughs laid the foundation for the company’s current lineup and full self-driving development.

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Early adopters highlighted how the cars convinced them to invest in Tesla stock and the EV movement. Some U.S. owners who had not yet received the note voiced mild frustration, and international customers confirmed the outreach remains U.S.-only for now.

Tesla has not detailed an exact final production date beyond the Q2 2026 target or confirmed immediate replacements. Speculation continues about a possible Cybertruck-derived SUV, but the company’s public focus has shifted squarely to autonomy and robotics.

For buyers still interested in the S or X, the window is closing. Inventory is described as limited, and Tesla’s Korean division has already set a March 31 cutoff for new orders in that market. The email serves as both a farewell and final sales push, an elegant close to a chapter that helped define modern electric driving.

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Tesla drives drunk owner while he naps, Police still arrest him on DUI

A Vacaville man let his Tesla drive while he napped, but police had other ideas.

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Tesla drives drunk owner, Police arrest on DUI [Credit: Vacaville Police via Facebook]

A Northern California man found a creative solution to drunk driving this week by letting his Tesla drive him around while he took a booze snooze. Police in Vacaville arrested a man on a DUI charge after he was found, what appears to be, completely passed out behind the wheel of a Tesla Model Y, which was safely self-navigating the owner through busy streets. The man’s passenger seat told the rest of the story, with a four-pack of Sutter Home wine bottles and a box of Round Table pizza clearly visible.

According to the Vacaville Police Department, as posted through their Facebook page, a concerned community member spotted the very relaxed driver, stayed on the line with dispatch, and guided officers to the intersection of Elmira Road and Shasta Drive where they stopped the vehicle. Alcohol and marijuana were confirmed. No medical emergency, and what appears to be just an extremely committed drunken nap.

The Vacaville Police noted that California permits drivers to use assistive driving features like Tesla’s FSD, but the law still requires them to be “conscious, alert, and not under the influence while operating them.” The post drew some humorous reactions in the comments section, with one commenter piping in, “That time when his vehicle had more situational awareness than he did.” Another commenter chimed in, “Sutter all the way home….”

Tesla Full Self-Driving v14.2.1 texting and driving: we tested it

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The incident lands in an interesting moment for Tesla. Elon Musk caused his own stir in December 2025 when he responded to a user question about whether FSD v14.2.1 allowed texting behind the wheel with a simple “Depending on context of surrounding traffic, yes.” He had earlier told investors that drivers turning off autopilot to check texts while steering with their knees was “significantly less safe” than simply letting FSD run, which he called “kind of the killer app.” Neither statement included anything about Sutter Home wine being part of the equation.

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Tesla Semi is already winning over truck drivers

The consensus among participants is clear: the Semi feels quieter, quicker, and far less physically demanding than diesel rigs while delivering three times the power and dramatically lower operating costs.

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Credit: Tesla

Tesla’s all-electric Semi is proving more than just a flashy concept as it is winning converts among the professionals who know trucks best.

As fleets roll out Pilot Programs for Tesla across North America, drivers are raving about the Class 8 electric truck’s unique features, including a centered driver’s seat, massive touchscreen visibility, instant torque, and absence of gear-shifting fatigue.

These features are transforming long days behind the wheel into noticeably easier, less stressful shifts.

Tesla Semi pricing revealed after company uncovers trim levels

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In a recent Wall Street Journal profile of early pilots, Dakota Shearer of IMC Logistics described backing out of a tight spot he had mistakenly entered:

“I backed right out of there, no problem. It’s like I’d never done it in the first place. That right there showed me that the technology the Tesla has makes a big difference.”

His colleague Angel Rodriguez of Hight Logistics, who switched from a 13-speed diesel, agreed:

“It’s just easier on your body. It’s less stressful because you’re not really having to engage the clutch and the stick shift.”

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Veteran drivers in other tests echo the same enthusiasm. Tom Sterba, a Senior Driver at Saia, spent days testing the Semi and came away impressed with the navigation and overall feel:

“The navigation systems in these trucks are just unbelievable. That’s what I love about it.”

Sterba summed up the experience with a line that has since gone viral among trucking circles:

“I hope I retire in this truck.”

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Pilot programs with ArcBest, thyssenkrupp Supply Chain Services, and Mone Transport delivered similar feedback. Drivers consistently praised the center-seat layout for eliminating blind spots, the smooth acceleration, and the overall comfort and safety.

Real-world data backed the hype, as ArcBest logged thousands of miles at efficient consumption rates, even over the challenging routes, like Donner Pass, while other fleets beat Tesla’s own efficiency targets.

The consensus among participants is clear: the Semi feels quieter, quicker, and far less physically demanding than diesel rigs while delivering three times the power and dramatically lower operating costs.

The latest chapter in the Semi’s story arrived just days ago on Jay Leno’s Garage, as Leno became the first outsider to drive the updated long-range production model, joined by Tesla Chief Designer Franz von Holzhausen, and Semi Program Director Dan Priestley.

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Tesla reveals various improvements to the Semi in new piece with Jay Leno

The episode revealed major upgrades heading to volume production this year: the truck sheds roughly 1,000 pounds, adopts a 48-volt architecture, switches to fully electric steering with Cybertruck-derived actuators, and uses 4680 battery cells engineered for an over-one-million-mile lifespan.

Aerodynamics improved, enabling a 500-mile range on the long-haul version, and about 325 miles on the shorter-wheelbase standard-range model. Megachargers can now deliver up to 1.2 megawatts, adding roughly 300 miles in about 30 minutes.

Leno hauled heavy loads and marveled at the turning radius and effortless power delivery. “I don’t feel like I’m pulling anything,” he said during the episode.

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With hundreds of Semis already accumulating over 13.5 million fleet miles and high uptime, the future of heavy-duty trucking looks electric. Drivers are giving raving reviews, and they’re ready to climb aboard the electric trucking industry for good.

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