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Tesla Model 3 becomes focal point of EV debate between VW and Toyota
The arrival and the succeeding disruption being brought upon by the Tesla Model 3 has been palpable, especially in the United States’ auto market. While the all-electric vehicle experienced some delays during its initial production, it was nonetheless successful enough to be hailed as the US’ best-selling luxury vehicle of 2018, selling a total of 145,846 units over the year.
This is something that has not gone unnoticed by veterans of the car industry. At a forum co-hosted by the National Automobile Dealers Association on Tuesday, Scott Keogh, the chief executive officer of Volkswagen AG’s US unit, noted that Tesla has all but proven that electric vehicles are here to stay. The exec noted that Volkswagen plans to release electric cars of its own, including a small, all-electric SUV that will be part of its $800 million investment in its Chattanooga, Tennessee plant.
Addressing Tesla’s rise from a niche electric car maker to a company that is now attempting to breach the mass market, Keogh stated that “we have not seen in the history of the auto business, a company going from zero to fourth place in luxury in a matter of a few years.” The exec added that Volkswagen’s research has indicated that electric vehicles are at the top of numerous consumers’ list for their future vehicles; thus, “even if it’s 10 percent of the market, we want to pursue it (electromobility).”
The Volkswagen executive’s statement stands in stark contrast to the words of Toyota Motor Corp. executive vice president of sales Bob Carter. Addressing the attendees of the event roughly an hour after the Volkswagen executive, Carter argued against all-electric vehicles, stating that EV batteries are still far too expensive to be feasible. The executive stated that Toyota will eventually introduce an all-electric vehicle too, though he declined to give an estimated date for the vehicle’s release.
“On electrification, we see an opportunity in North America, but it’s much further down the road. The average vehicle today costs $34,000 and for many EVs, the battery costs $34,000. The economics are not there,” he said, later noting in an interview that “this is going to be a slow evolution in the U.S. market, unlike in China and Europe where there are government regulations hastening electrification. Nobody is selling electric vehicles at a profitable margin.”
It is quite ironic to see Volkswagen, a company whose reputation was tarnished by its high-profile dieselgate scandal, seeing the writing on the wall with regards to electric car adoption. Toyota, which pretty much started the green revolution with the release of the Prius over two decades ago, is showing what appears to be a stubborn tendency to deny electric vehicles as a whole. The Toyota executive’s comments about battery packs costing $34,000 alone is a notable example of this, since Tesla is currently selling variants of the Model 3 that cost only a few thousand dollars more than Carter’s battery pack cost estimate.
As for the Tesla Model 3, the vehicle is now disrupting other auto markets abroad. In Europe’s first quarter, car sales in the region dropped 3.7%, aggravated by issues such as a potential tariff war, the possible failure of Brexit, and the possibility of EU penalties if it can’t meet carbon dioxide emissions rules, to name a few. While companies like Fiat Chrysler Automobiles dived 12.7%, Tesla experienced a notable boost in the first quarter, thanks largely to the Model 3, which became Germany’s best-selling electric car just two months after it arrived in the country.
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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.
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:
🚨 Model 3 changes spotted in Tesla backend
• New interior code: IN3PB (Interior 3 Premium Black)
• Linked to Alcantara-style black headliner
• Mapped to 2026 Model 3 Performance and Premium VINs• EPC now shows: “Display_16_QHD”
• Multiple 2026 builds marked with… pic.twitter.com/OkDM5EdbTu— BERKANT (@Tesla_NL_TR) February 23, 2026
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 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.
Elon Musk
SpaceX secures FAA approval for 44 annual Starship launches in Florida
The FAA’s environmental review covers up to 44 launches annually, along with 44 Super Heavy booster landings and 44 upper-stage landings.
SpaceX has received environmental approval from the Federal Aviation Administration (FAA) to conduct up to 44 Starship-Super Heavy launches per year from Kennedy Space Center Launch Complex 39A in Florida.
The decision allows the company to proceed with plans tied to its next-generation launch system and future satellite deployments.
The FAA’s environmental review covers up to 44 launches annually, along with 44 Super Heavy booster landings and 44 upper-stage landings. The approval concludes the agency’s public comment period and outlines required mitigation measures related to noise, emissions, wildlife, and airspace management.
Construction of Starship infrastructure at Launch Complex 39A is nearing completion. The site, previously used for Apollo and space shuttle missions, is transitioning to support Starship operations, as noted in a Florida Today report.
If fully deployed across Kennedy Space Center and nearby Cape Canaveral Space Force Station, Starship activity on the Space Coast could exceed 120 launches annually, excluding tests. Separately, the U.S. Air Force has authorized repurposing Space Launch Complex 37 for potential additional Starship activity, pending further FAA airspace analysis.
The approval supports SpaceX’s long-term strategy, which includes deploying a large constellation of satellites intended to power space-based artificial intelligence data infrastructure. The company has previously indicated that expanded Starship capacity will be central to that effort.
The FAA review identified likely impacts from increased noise, nitrogen oxide emissions, and temporary airspace closures. Commercial flights may experience periodic delays during launch windows. The agency, however, determined these effects would be intermittent and manageable through scheduling, public notification, and worker safety protocols.
Wildlife protections are required under the approval, Florida Today noted. These include lighting controls to protect sea turtles, seasonal monitoring of scrub jays and beach mice, and restrictions on offshore landings to avoid coral reefs and right whale critical habitat. Recovery vessels must also carry trained observers to prevent collisions with protected marine species.
Elon Musk
Texas township wants The Boring Company to build it a Loop system
The township’s board unanimously approved an application to The Boring Company’s “Tunnel Vision Challenge.”
The Woodlands Township, Texas, has formally entered The Boring Company’s tunneling sweepstakes.
The township’s board unanimously approved an application to The Boring Company’s “Tunnel Vision Challenge,” which offers up to one mile of tunnel construction at no cost to a selected community.
The Woodlands’ proposal, dubbed “The Current,” features two parallel 12-foot-diameter tunnels beneath the Town Center corridor near The Waterway. Teslas would shuttle passengers between Waterway Square, Cynthia Woods Mitchell Pavilion, Town Green Park and nearby hotels during concerts and large-scale events, as noted in a Chron report.
Township officials framed the tunnel as a solution for the township’s traffic congestion issues. The Pavilion alone hosts more than 60 shows each year and can accommodate crowds of up to 16,500, often straining Lake Robbins Drive and surrounding intersections.
“We know we have traffic impacts and pedestrian movement challenges, especially in the Town Center area,” Chris Nunes, chief operating officer of The Woodlands Township, stated during the meeting.
“The Current” mirrors the Loop system operating beneath the Las Vegas Convention Center, where Tesla vehicles transport passengers through underground tunnels between venues and resorts.
The Boring Company issued its request for proposals (RFP) in mid-January, inviting cities and districts to pitch local uses for its tunneling technology. The Woodlands must submit its application by Feb. 23, though no timeline has been provided for when a winning community will be announced.
Nunes confirmed that the board has authorized a submission for “The Current’s” proposal, though he emphasized that the project is still in its preliminary stages.
“The Woodlands Township Board of Directors has authorized staff to submit an application to The Boring Company, which has issued an RFP for communities interested in leveraging their technology to address community challenges,” he said in a statement.
“The Board believes that an underground tunnel would provide a safe and efficient means to transport people to and from various high-use community amenities in our Town Center.”
Tesla is making two big upgrades to the Model 3, coding shows
SpaceX secures FAA approval for 44 annual Starship launches in Florida
