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Tesla Gigafactory 3 starts coming to life as construction begins in China [Updated]

(Credit: Vincent Yu/YouTube)

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It’s been barely a week since Tesla CEO Elon Musk attended Gigafactory 3’s groundbreaking ceremony, but the location for the upcoming battery and electric car factory is now ablaze with life. As could be seen in footage taken on Thursday local Shanghai time, work on Gigafactory 3 is already going full throttle, as evidenced by the sheer number of heavy equipment operating on the site.

The recent footage of the upcoming facility was shared with Teslarati by Tesla owner-enthusiast Vincent Yu, who is currently visiting Shanghai. Taken using a drone, the short footage shows heavy machinery busily working on a section of Tesla’s 864,885-square meter plot of land in Shanghai’s Lingang Industrial Zone. Vincent also shared some images taken around the land on Twitter, showing trucks seemingly moving dirt from the site.

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The recently shared footage from Gigafactory 3 is but a few seconds long, but it does prove one notable point — once the groundbreaking ceremony for the site was done, the construction of the facility would likely proceed at an extremely rapid pace. China’s construction workforce, after all, is known for its fast, almost surgically-precise buildouts. Just last year, for example, Elon Musk lauded the country’s workforce on Twitter, sharing a report about Chinese workers building a railway station in just nine hours. In his post, Musk noted that “China’s progress in advanced infrastructure is more than 100 times faster than the US.”

In a country such as China, though, these rapid buildouts are usually accomplished with support from the government. Fortunately for Tesla, this appears to be the case, as evidenced by the state’s warm reception to Elon Musk during his visits to the country, as well as the help the electric car maker has received in securing partial funding for Gigafactory 3 (to name a few).

Tesla, for one, was allowed to become the sole owner of Gigafactory 3 — something that was not granted to other automakers operating in the country. Reports have also emerged pointing to local banks competing to grant Tesla low-interest loans to fund part of Gigafactory 3’s construction. The government’s favor was evident when Tesla placed its bid on the 864,885-square meter plot of land in Shanghai’s Lingang Industrial Zone as well, as the company was able to secure the land without any rival bidders. Lastly, China Construction Third Engineering Bureau Co., Ltd, the company building the facility, is a subsidiary of China Construction, which is owned by the government.

This favor on Tesla was no more evident during Elon Musk’s recent visit to the country, though. After the groundbreaking ceremony for Gigafactory 3, Musk met with Chinese Premier Li Keqiang in Beijing, who is widely considered as the country’s #2 after President Xi Jinping. During their talk, which was held at the Tower of Violet Light in Beijing — a place reserved for distinguished guests — Li openly listened to Musk’s ideas for Gigafactory 3, even the more ambitious ones such as making a facility that behaves similar to a “living being.” Li even lightly suggested that China can just issue Musk a “Chinese Green Card,” so that he can pursue his ideas in the country.

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The timeframe for the construction of Gigafactory 3 is ambitious. Tesla aims to complete the initial construction of the facility by summer’s end. The company also intends to start the production of affordable Model 3 variants in the battery and electric car factory by the end of the year. Now that work has commenced on the factory’s site, though, Tesla’s aggressive timetable just became more feasible.

Watch the most recent footage of Gigafactory 3 in the video below.

Update: Vincent has provided a more extensive video from his recent drone flyover of Gigafactory 3.

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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 offers awesome Free Supercharging incentive on an unexpected vehicle

In the past, Tesla has used Free Supercharging to incentivize the purchase of its expensive vehicles, like the Model S and Model X. However, those vehicles are leaving the company lineup, and Tesla saw a benefit from applying the incentive to another car.

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Credit: Tesla Charging | X

Tesla is offering an awesome new Free Supercharging incentive on a vehicle that is sort of unexpected.

In the past, Tesla has used Free Supercharging to incentivize the purchase of its expensive vehicles, like the Model S and Model X. However, those vehicles are leaving the company lineup, and Tesla saw a benefit from applying the incentive to another car.

Tesla North America has introduced a compelling new incentive aimed at boosting Model 3 sales. Starting with orders placed on or after April 24, buyers of the Model 3 Premium (Long Range) and Performance variants in the United States will receive one full year of complimentary Supercharging.

The offer applies exclusively to new vehicle orders and does not extend to existing owners or other trims like the base Rear-Wheel Drive model.

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The announcement underscores Tesla’s continued dominance in EV charging infrastructure.

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While the incentive provides 12 months of zero-cost access to the Supercharger network, Tesla also reiterated its pricing structure: all Tesla vehicles receive the lowest Supercharging rates.

Non-Tesla EVs, by contrast, pay approximately 40 percent more per kWh or must purchase a subscription to access the network at standard rates. This tiered approach highlights the strategic value of owning a Tesla, where seamless integration with the world’s largest and most reliable fast-charging network remains a key differentiator.

For prospective buyers, the savings can be substantial. Depending on driving habits, a typical Model 3 owner might log 12,000–15,000 miles annually.

With average Supercharging costs around $0.40–$0.50 per kWh, one year of free sessions could translate to $800–$1,200 in avoided expenses.

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That effectively lowers the total cost of ownership and makes long-distance travel more affordable from day one. Early delivery customers have already noted similar past incentives, with one Cybertruck owner reporting over $2,400 saved in just six months under similar offers that Tesla has deployed in the past.

The timing of the offer appears strategic. Tesla faces growing competition from other automakers expanding their own charging networks and offering aggressive EV incentives.

By bundling free Supercharging rather than discounting the vehicle’s MSRP, Tesla preserves perceived value while directly addressing one of the biggest barriers for new EV adopters: charging costs and convenience.

The move also encourages higher-mileage use of the network, generating valuable real-world data for Tesla’s autonomous driving development.

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Why Tesla would apply this incentive to the Model 3 is pretty interesting. It usually is a pretty good incentive to move units out the door, so there’s some speculation whether Tesla is planning to launch new upgrades to the mass-market sedan in the coming months, and the company wants to move what will be outdated units from its inventory.

However, there is also just the idea that Tesla could be attempting to stimulate some early quarter demand for the Model 3, especially as the Model Y continues to sell very well. Tesla’s loss of the $7,500 EV tax credit last year had an impact on sales, and Tesla might be testing some formidable options to see if it can add some demand once again.

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Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story

Tesla confirmed HW3 vehicles cannot run unsupervised FSD, replacing its free upgrade promise with a discounted trade-in.

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Tesla has officially confirmed that early vehicles with its Autopilot Hardware 3 (HW3) will not be capable of unsupervised Full Self-Driving, while extending a path forward for legacy owners through a discounted trade-in program. The announcement came by way of Elon Musk in today’s Tesla Q1 2026 earnings call.

The history here matters. HW3 launched in April 2019, and Tesla sold Full Self-Driving packages to owners on the understanding that the hardware was sufficient for full autonomy. Some owners paid between $8,000 and $15,000 for FSD during that period. For years, as FSD’s AI models grew more demanding, HW3 vehicles fell progressively further behind, eventually landing on FSD v12.6 in January 2025 while AI4 vehicles moved to v13 and then v14. When Musk acknowledged in January 2025 that HW3 simply could not reach unsupervised operation, and alluded to a difficult hardware retrofit.

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The near-term offering is more concrete. Tesla’s head of Autopilot Ashok Elluswamy confirmed on today’s call that a V14-lite will be coming to HW3 vehicles in late June, bringing all the V14 features currently running on AI4 hardware. That is a meaningful software update for owners who have been frozen at v12.6 for over a year, and it represents genuine effort to keep older hardware relevant. Unsupervised FSD for vehicles is now targeted for Q4 2026 at the earliest, with Musk describing it as a gradual, geography-limited rollout.

For HW3 owners, the over-the-air V14-lite update is welcomed, and the discounted trade-in path at least acknowledges an old obligation. What happens next with the trade-in pricing will define how this chapter ultimately gets written. If Tesla prices the hardware path fairly, acknowledges what early adopters are owed, and delivers V14-lite on the June timeline it committed to today, it has a real opportunity to convert one of the longest-running sore subjects among early adopters into a loyalty story.

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Tesla is making two big upgrades to the Model 3, coding shows

According to coding found in the European and Chinese configurators, Tesla is planning to make two big upgrades: Black Headliner offerings and a new 16-inch QHD display, similar to that on the Model Y Performance.

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Credit: Tesla

Tesla is making two big upgrades to the Model 3, one of which is widely requested by owners and fans, and another that it has already started to make on some trim levels of other models within the lineup.

The changes appear to be taking effect in the European and Chinese markets, but these are expected to come to the United States based on what Tesla has done with the Model Y.

According to coding found in the European and Chinese configurators, Tesla is planning to make two big upgrades: Black Headliner offerings and a new 16-inch QHD display, similar to that on the Model Y Performance.

These changes in the coding were spotted by X user BERKANT, who shared the findings on the social media platform this morning:

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It appears these new upgrades will roll out with the Model 3 Performance and Tesla’s Premium trim levels of the all-electric sedan.

The changes are welcome. Tesla fans have been requesting that its Model 3 and Model Y offerings receive a black headliner, as even with the black interior options, the headliner is grey.

Tesla recently upgraded Model Y vehicles to this black headliner option, even in the United States, so it seems as if the Model 3 will get the same treatment as it appears to be getting in the Eastern hemisphere.

Tesla Model 3 wins Edmunds’ Best EV of 2026 award

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Tesla has been basically accentuating the Model 3 and Model Y with small upgrades that owners have been wanting, and it has been a focal point of the company’s future plans as it phases out other vehicles like the Model S and Model X.

Additionally, Tesla offered an excellent 0.99% APR last week on the Model 3, hoping to push more units out the door to support a strong Q1 delivery figure at the beginning of April.

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