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Tesla denies report on local battery partner for Gigafactory 3

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The construction of Tesla’s Gigafactory 3 in China is moving in a rapid pace. Not long after the facility’s groundbreaking ceremony, the company’s 864,885-square meter plot of land in Shanghai’s Lingang Industrial Zone has become abuzz with activity. If recent reports are any indication, though, it appears that work is also underway to ensure that the company has all the partners it needs to produce batteries on the upcoming facility.

Citing individuals reportedly familiar with the proceedings, Reuters recently published a report suggesting that Tesla has reached a preliminary agreement with China-based battery provider Tianjin Lishen to supply batteries for Gigafactory 3. The publication’s sources have noted, though, that Tesla and Tianjin Lishen have reached no official, definitive deal as of date.

Among the details reportedly being worked out by Tesla and the battery supplier is the size of Tesla’s battery orders, as well as the specific size of the cells that would be produced in the Shanghai-based factory. Inasmuch as news of a possible battery supplier is compelling though, a Tesla spokesperson has denied that any official agreement between the electric car maker and the Chinese battery provider has been reached.

“Tesla previously received quotes from Lishen, but did not proceed further. We have not signed any agreement of any kind with them,” a Tesla spokesperson said.

Lishen, for its part, has noted that there is no agreement between itself and Tesla for Gigafactory 3’s batteries, at least for now.

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The update suggested by Reuters’ sources point to Tesla tapping into the local Chinese market for a possible battery partner. So far, Tesla’s sole battery partner has been Panasonic, which has been producing the 18650 battery cells for the Model S and X in its Japan-based facilities, and the Model 3’s 2170 cells in Gigafactory 1 . Considering the size of the Chinese market, though, Panasonic’s resources would not be enough to meet the demand in the country. Elon Musk described this in a prior tweet.

While reports of Tesla’s preliminary agreement with Tianjin Lishen are undoubtedly interesting, some aspects of the information provided by Reuters’ sources were a tad bit strange. For one, Elon Musk has stated that the first vehicle set to be produced in Gigafactory 3 is the Model 3, an electric car powered by 2170 cells. Despite Gigafactory 3 only producing the affordable versions of the electric sedan, it doesn’t make much sense for Tianjin Lishen and Tesla to be still undecided about the types of battery cells that would be needed for the upcoming facility. 

If any, these recent reports of Tesla and it’s possible battery partner in China teases the accelerated pace of Gigafactory 3’s development and construction. The facility, after all, is currently following an incredibly ambitious timeline, with Tesla aiming to finish the initial construction of the factory by the end of summer. Tesla also aims to start producing the Model 3 before the end of 2019.

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Perhaps the most notable factor in the construction of Gigafactory 3 though, is the apparent favor currently being extended to Tesla by the Chinese government. For one, Tesla was allowed to become the sole owner of Gigafactory 3 — a privilege not given to any other foreign carmaker operating in the country. Apart from this, Tesla was also granted low-interest loans from local Shanghai banks to fund part of the facility’s construction. China Construction Third Engineering Bureau Co., Ltd, the company tasked with the facility’s buildout, is also a subsidiary of China Construction, a government-owned company. 

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 receives its first robotaxi permit in California

Tesla’s robotaxi services are one step closer to making it to California.

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Credit: Tesla

Ahead of Tesla’s plans to roll out a fleet of commercial robotaxis, the company has gained its first permit in a series of those needed to begin operating driverless ride-hailing services in California.

On Monday, the California Public Utilities Commission (CPUC) announced the approval of Tesla’s application for a charter-party carrier permit, which licenses the company to run ride-hailing and chauffeur services in the state, according to a report from Reuters on Tuesday.

The permit allows Tesla to own and operate a chauffeur fleet for certain commercial purposes, including the ability to transport employees across pre-arranged navigation routes. However, this permit does not yet offer full approval for ride-hailing or autonomous vehicle use.

Still, the permit comes as the first in a series of those Tesla will need to launch a highly-anticipated autonomous robotaxi business, which is expected to begin rolling out in Texas and California this year. Tesla also released its two-seat, steering wheel-less Cybercab at an event in October, eventually expected to be the basic fleet vehicle for driverless ride-hailing purposes.

You can see Tesla’s render for a ride-hailing mobile app below, along with Teslarati’s coverage of the October 10 “We, Robot” unveiling event for the Cybercab.

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Credit: Tesla

READ MORE ON TESLA’S ROBOTAXI BUSINESS: Tesla flexes Robotaxi wireless charging — autonomy from top to bottom

In California, the CPUC will also co-manage regulatory needs for autonomy approval for Tesla, alongside the Department of Motor Vehicles (DMV).

During Tesla’s Q3 earnings call last November, Elon Musk said that Tesla employees in the Bay Area were already testing a ride-hailing service internally. Using an app, Musk said employees could already request rides and be taken to anywhere in the Bay.

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Meanwhile, Tesla is aiming to roll out initial unsupervised rides as a service in the Austin, Texas area this summer, based on its Full Self-Driving (FSD) software. The system is first expected to be usable on individual owners’ vehicles, eventually using the recently unveiled Cybercab autonomous vehicle on a wider scale.

Tesla also hopes to expand the service to other states by the end of the year, though it’s not yet clear where.

Tesla mobile app tracker reports first lines referencing robotaxi service

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Tesla has joined the Australian Energy Council

Tesla Energy will join a top energy council in Australia, as it continues to deploy a wide range of battery projects in the country.

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Credit: Tesla Megapack | X

Tesla has been announced as the most recent member to join an industry group of electricity and energy businesses in Australia, coming amidst a wave of grid- and home-scale battery deployments in the country from the U.S. manufacturer.

Last week, Tesla Australia officially joined the Australian Energy Council (AEC) as the group’s newest member, contributing to a group of companies that administers gas and electricity to over 10 million homes. The news, announced in a post on LinkedIn, comes as Tesla continues to expand the presence of its grid-scale Megapacks and home-scale Powerwalls in Australia and elsewhere,

The council wrote the following announcement message in the post:

AEC membership provides an opportunity to collaborate to develop the solutions necessary to drive Australia’s energy transition. Together, we aim to create positive outcomes for consumers across the nation as the energy system decarbonises.

We look forward to working closely with Tesla Australia to help shape the future of Australia’s energy landscape.

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The announcement also garnered a response from Tesla Energy’s Regional Director for the Asia-Pacific region Josef Tadich, who shared a few words about the news in another post:

A big thank you to Louisa Kinnear and the Australian Energy Council, Tesla are very much looking forward to working together in this space, in what is turning out to be an exciting 2025.

Wholesale and retail electricity markets are rapidly adapting and changing to new technologies, with more renewables and storage on the supply side, and more generation and flexible loads on the Customer demand side with VPPs, and controllable EV charging loads to name a few. Great time to be in this dynamic space!

READ MORE ON TESLA ENERGY IN AUSTRALIA: Tesla building battery repair facility near Collie Megapack project

The announcement comes as Tesla has shipped Megapacks to a handful of energy storage sites in Australia, including a 1,600MWh Tesla Megapack facility in Plumpton, Victoria that’s expected to turn on sometime this year. Tesla is also working on expanding the Western Australia “Collie” battery, which will feature 2,240 MWh of Megapack storage upon completion of phase two.

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While the U.S. company currently builds its Megapacks at a so-called “Megafactory” in Lathrop, California, the company began production last month at a second Megafactory in Shanghai, China that’s expected to supply future energy projects in Australia. The company has also teased plans for a third Megafactory, though it isn’t yet clear where that could be built.

In addition to Tesla’s grid-scale Megapack batteries, the company also builds the Powerwall home-scale battery, which can be used for households or commercial buildings to store energy, along with being able to deploy energy back to the grid. Tesla also launched its next-generation Powerwall 3 in the Australian market last year.

The company utilizes its network of Powerwall owners to create giant, distributed batteries, called Virtual Power Plants (VPPs), effectively letting owners sell electricity back to the electrical grid during periods of peak demand. These programs are being utilized across much of Australia and several other markets throughout the world, and Tesla said in October that it had reached over 100,000 Powerwalls participating in VPPs worldwide.

Tesla Energy secures $375M Megapack contract

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Tesla arsonist set himself on fire after throwing Molotov cocktail: authorities

Witnesses reported that the suspect caught fire mid-act, with one device scorching his back as he fled.

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Credit: Tesla Asia/X

An arson attempt targeting a Tesla charging station in South Carolina left the suspect engulfed in flames and facing up to 20 years in prison, authorities have stated. 

The suspect allegedly torched three chargers in a protest against President Trump and Tesla CEO Elon Musk, scrawling anti-Trump graffiti before accidentally setting himself ablaze with his own Molotov cocktails, as noted in a New York Post report.

Arsonist Burns Self in Tesla Protest

Federal prosecutors stated that 24-year-old Daniel Clarke-Pounder hurled five Molotov cocktails at a Tesla charging station in North Charleston, igniting three chargers while leaving messages like “f–k Trump” and “long live the Ukraine” in the area. Witnesses reported that Clarke-Pounder caught fire mid-act, with one device scorching his back as he fled, according to a police report cited by WCBD.

“The suspect had accidentally caught their own back on fire while throwing the devices,” an initial police report noted. Clarke-Pounder was arraigned in federal court, though his injuries remained undisclosed.

Backlash Targets Musk’s Tesla Empire

The fiery incident follows a wave of hostility toward Tesla, fueled by Musk’s leadership of the Department of Government Efficiency (DOGE) under U.S. President Donald Trump. Over the past months, Teslas have been subjected to vandalism incidents, and some locations have been shot up. In some cases, Tesla locations have been attacked with Molotov cocktails.

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Officials such as President Donald Trump and Attorney General Pam Bondi have issued stern warnings against those who wish to attack Tesla and its customers. Trump, for one, pledged that anyone caught attacking American companies like Tesla will “go through hell.”

“No Place in Our Community”

Acting U.S. Attorney Brook B. Andrews condemned the attack, stating, “While we will defend the public’s right to peaceful protest, we will not hesitate to act when protest crosses the line into violence and mayhem.

“These kinds of attacks have no place in our community… We must remain united in our commitment to safety and respect for all, regardless of political differences.”

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