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Tesla Sweden strikes ease as IF Metall lets most repairs continue

(Credit: NicklasNilsso14)

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Tesla-certified repair shops in Sweden will now be able to start repairing cars again starting this week, after being largely put out of service due to sympathy strikes lodged by union IF Metall.

Although work on heavily damaged Tesla vehicles was previously exempted from the strikes during a period running through Tuesday, IF Metall has said that it will ease the strikes on Tesla-certified service shops starting on Wednesday, according to a report from Swedish outlet Allt Om Elbil. The decision was detailed in an email in which the union said it would lift the block on all Tesla vehicle repairs, with just a few exceptions.

“Blockage for service work still applies to cars owned by Tesla, cars with transport damage and cars covered by factory warranty,” IF Metall wrote in the email. “Otherwise, service can be performed on Tesla cars.”

IF Metall gets a letter to withdraw sympathy measures in the Tesla Sweden strike

During the previous agreement, which ran from February 19 to April 30, IF Metall didn’t allow the repair of any vehicles that were still drivable, with around 80 damage and body shops thought to have been a part of the sympathy strike. Still, IF Metall is holding out on other forms of sympathy strikes in hopes of getting Tesla to sign a collective bargaining agreement, which the union says most companies in Sweden willingly join.

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Despite the strikes, which have gone on since October, Tesla CEO Elon Musk recently said he thought “the storm has passed on that front” when asked about the ongoing strikes in Sweden. Last month, it surfaced that Tesla Sweden had still seen a 142 percent increase in February sales year over year, with the Model Y going on to become the country’s most-registered vehicle in March.

Tesla Sweden also spoke out against the strikes last month, after IF Metall used a number of tactics against the automaker in the preceding months. These tactics have included the withholding of license plates, blocking Tesla shipments at ports, and preventing new Superchargers from connecting to the grid.

The news also comes amidst heightened union activity in the U.S., where the United Automotive Workers (UAW) last fall garnered record pay increases through historic strikes against Ford, General Motors (GM), and Dodge-Chrysler parent company Stellantis. Following the strikes, the UAW officially announced union campaigns at Tesla and 12 other automakers with U.S. facilities.

Additionally, Tesla has laid off between 10 and 20 percent of workers globally over the past few weeks, along with multiple high-profile executive departures. On Tuesday, the company laid off its Supercharging division, including two executives and their entire teams.

What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Tesla seen as early winner as Canada reopens door to China-made EVs

Tesla had already prepared for Chinese exports to Canada in 2023 by equipping its Shanghai Gigafactory to produce a Canada-specific version of the Model Y.

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Credit: Tesla

Tesla seems poised to be an early beneficiary of Canada’s decision to reopen imports of Chinese-made electric vehicles, following the removal of a 100% tariff that halted shipments last year.

Thanks to Giga Shanghai’s capability to produce Canadian-spec vehicles, it might only be a matter of time before Tesla is able to export vehicles to Canada from China once more. 

Under the new U.S.–Canada trade agreement, Canada will allow up to 49,000 vehicles per year to be imported from China at a 6.1% tariff, with the quota potentially rising to 70,000 units within five years, according to Prime Minister Mark Carney. 

Half of the initial quota is reserved for vehicles priced under CAD 35,000, a threshold above current Tesla models, though the electric vehicle maker could still benefit from the rule change, as noted in a Reuters report.

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Tesla had already prepared for Chinese exports to Canada in 2023 by equipping its Shanghai Gigafactory to produce a Canada-specific version of the Model Y. That year, Tesla began shipping vehicles from Shanghai to Canada, contributing to a sharp 460% year-over-year increase in China-built vehicle imports through Vancouver. 

When Ottawa imposed a 100% tariff in 2024, however, Tesla halted those shipments and shifted Canadian supply to its U.S. and Berlin factories. With tariffs now reduced, Tesla could quickly resume China-to-Canada exports.

Beyond manufacturing flexibility, Tesla could also benefit from its established retail presence in Canada. The automaker operates 39 stores across Canada, while Chinese brands like BYD and Nio have yet to enter the Canadian market directly. Tesla’s relatively small lineup, which is comprised of four core models plus the Cybertruck, allows it to move faster on marketing and logistics than competitors with broader portfolios.

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Elon Musk

Tesla confirms that work on Dojo 3 has officially resumed

“Now that the AI5 chip design is in good shape, Tesla will restart work on Dojo 3,” Elon Musk wrote in a post on X.

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(Credit: Tesla)

Tesla has restarted work on its Dojo 3 initiative, its in-house AI training supercomputer, now that its AI5 chip design has reached a stable stage. 

Tesla CEO Elon Musk confirmed the update in a recent post on X.

Tesla’s Dojo 3 initiative restarted

In a post on X, Musk said that with the AI5 chip design now “in good shape,” Tesla will resume work on Dojo 3. He added that Tesla is hiring engineers interested in working on what he expects will become the highest-volume AI chips in the world.

“Now that the AI5 chip design is in good shape, Tesla will restart work on Dojo3. If you’re interested in working on what will be the highest volume chips in the world, send a note to AI_Chips@Tesla.com with 3 bullet points on the toughest technical problems you’ve solved,” Musk wrote in his post on X. 

Musk’s comment followed a series of recent posts outlining Tesla’s broader AI chip roadmap. In another update, he stated that Tesla’s AI4 chip alone would achieve self-driving safety levels well above human drivers, AI5 would make vehicles “almost perfect” while significantly enhancing Optimus, and AI6 would be focused on Optimus and data center applications. 

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Musk then highlighted that AI7/Dojo 3 will be designed to support space-based AI compute.

Tesla’s AI roadmap

Musk’s latest comments helped resolve some confusion that emerged last year about Project Dojo’s future. At the time, Musk stated on X that Tesla was stepping back from Dojo because it did not make sense to split resources across multiple AI chip architectures. 

He suggested that clustering large numbers of Tesla AI5 and AI6 chips for training could effectively serve the same purpose as a dedicated Dojo successor. “In a supercomputer cluster, it would make sense to put many AI5/AI6 chips on a board, whether for inference or training, simply to reduce network cabling complexity & cost by a few orders of magnitude,” Musk wrote at the time.

Musk later reinforced that idea by responding positively to an X post stating that Tesla’s AI6 chip would effectively be the new Dojo. Considering his recent updates on X, however, it appears that Tesla will be using AI7, not AI6, as its dedicated Dojo successor. The CEO did state that Tesla’s AI7, AI8, and AI9 chips will be developed in short, nine-month cycles, so Dojo’s deployment might actually be sooner than expected. 

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Elon Musk

Elon Musk’s xAI brings 1GW Colossus 2 AI training cluster online

Elon Musk shared his update in a recent post on social media platform X.

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Credit: xAI

xAI has brought its Colossus 2 supercomputer online, making it the first gigawatt-scale AI training cluster in the world, and it’s about to get even bigger in a few months.

Elon Musk shared his update in a recent post on social media platform X.

Colossus 2 goes live

The Colossus 2 supercomputer, together with its predecessor, Colossus 1, are used by xAI to primarily train and refine the company’s Grok large language model. In a post on X, Musk stated that Colossus 2 is already operational, making it the first gigawatt training cluster in the world. 

But what’s even more remarkable is that it would be upgraded to 1.5 GW of power in April. Even in its current iteration, however, the Colossus 2 supercomputer already exceeds the peak demand of San Francisco.  

Commentary from users of the social media platform highlighted the speed of execution behind the project. Colossus 1 went from site preparation to full operation in 122 days, while Colossus 2 went live by crossing the 1-GW barrier and is targeting a total capacity of roughly 2 GW. This far exceeds the speed of xAI’s primary rivals.

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Funding fuels rapid expansion

xAI’s Colossus 2 launch follows xAI’s recently closed, upsized $20 billion Series E funding round, which exceeded its initial $15 billion target. The company said the capital will be used to accelerate infrastructure scaling and AI product development.

The round attracted a broad group of investors, including Valor Equity Partners, Stepstone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX, and Baron Capital Group. Strategic partners NVIDIA and Cisco also continued their support, helping xAI build what it describes as the world’s largest GPU clusters.

xAI said the funding will accelerate its infrastructure buildout, enable rapid deployment of AI products to billions of users, and support research tied to its mission of understanding the universe. The company noted that its Colossus 1 and 2 systems now represent more than one million H100 GPU equivalents, alongside recent releases including the Grok 4 series, Grok Voice, and Grok Imagine. Training is also already underway for its next flagship model, Grok 5.

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