Tesla may consider Texas as its new home after establishing a Gigafactory in the state, but the EV maker is still getting the cold shoulder from the local auto market. Just recently, for example, Texas released a list of electric and electrified vehicles that are eligible for its Light-Duty Motor Vehicle Purchase or Lease Program. No Teslas were included in the list.
The program offers rebates of up to $2,500 for the purchase or lease of specific electric and electrified vehicles. The list of eligible cars is extensive, comprising 142 different models from practically every major automaker. These include 22 BMW models, 17 models from Porsche, 15 from Audi, 6 from Mercedes-Benz, and 14 cars from Ford. Even Bentley had two models that were included in the list.
What was absent in the eligible vehicles list was every Tesla offered today. Tesla, the Austin-based EV maker that’s poised to provide at least 20,000 direct jobs and 100,000 indirect jobs over time in the state thanks to Gigafactory Texas, was deemed ineligible for the state’s EV credit. The reason for this seems to be something that Tesla has been dealing with since its earliest days—auto dealerships.
Laura Lopez, a media and community relations manager for the Texas Commission on Environmental Quality, which runs the rebate program, explained Tesla’s absence in a statement.
“The program currently requires that eligible vehicles must be purchased or leased from a licensed new vehicle dealer or leasing company in Texas. Under Texas law, vehicles purchased directly from the manufacturer or an out-of-state dealer not licensed to sell or lease new vehicles in Texas are not eligible for a rebate,” she said, according to The Center Square.
Texas law currently prevents Tesla and other automakers from selling vehicles directly to consumers. Despite notable support from car buyers, dealers in states like Texas insist that the use of franchised dealers is still the optimal way to purchase vehicles. The Texas Automobile Dealers Association has also maintained that the state’s law preventing direct sales is a way to protect competition.
“Texas franchised dealer laws protect competition and provide the most efficient and effective delivery model for new and used car sales in Texas. The current system works well for Texas and Texans,” Jennifer Stevens, a spokesperson for the Texas Automobile Dealers Association, said.
If Texas does not change its laws, Tesla would have to ship its Made-in-Texas vehicles out of state first before delivering them to Texas buyers. This setup is ridiculous, and it is one that is being challenged even by numerous entities, including politicians in the state. State Rep. Cody Harris, a Republican representing District 8, introduced a bill in 2021 that aimed to acquire exceptions to Texas’ dealer franchise law, but his efforts were unsuccessful.
Nevertheless, Harris noted that he believes Tesla would thrive regardless of what happens. “As markets and technologies change, we want to be the go-to state for businesses who are being crushed by burdensome regulation in other parts of the country, which is why Tesla chose to move here from California,” he noted.
Carla Bailo, the president and CEO of the Center for Automotive Research in Michigan, is on the same page. “It certainly hasn’t slowed down Tesla’s sales – they are still selling in all these places they don’t have dealerships – and a lot more companies are starting to go that way because the consumer really likes it. (Dealership laws) are protecting something that might be going by the wayside in any case. The dealer, unfortunately, hasn’t always been a pleasant experience for a lot of people,” she said.
Below are the vehciles that qualify for Texas’ Light-Duty Motor Vehicle Purchase or Lease Program.
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Tesla parked 50+ Cybercabs outside its Texas Factory with some crash tested
Dozens of Tesla Cybercabs have been spotted at Giga Texas crash testing facility ahead of launch.
Drone footage captured by longtime Giga Texas observer Joe Tegtmeyer shows over 50 units of Tesla Cybercab at the Austin factory campus, including several units clustered by Tesla’s on-site crash testing facility.
The outbound lot at Gigafactory Texas sits just outside the factory exit and serves as the primary staging area where finished vehicles are held before being loaded onto transport carriers or dispatched for validation testing. On any given day, the lot holds a mix of Model Y and Cybertruck units alongside the growing Tesla Cybercab fleet, as can be seen in the drone footage captured by Joe Tegtmeyer.
Tesla Cybercab fleet spotted at Gigafactory Texas on April 13, 2026 [Credit: Joe Tegtmeyer)
Tesla Cybercab fleet spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)
Tesla Cybercab crash test units spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)
Tesla announced its Spring 2026 software update, and it’s the most feature-dense seasonal release the company has put out. The update covers twelve named changes spanning FSD, voice AI, safety lighting, dashcam storage, and pet display customization, among other things.
The centerpiece for owners with AI4 hardware is a redesigned Self-Driving app. The new interface lets owners subscribe to Full Self-Driving with a single tap and view ongoing FSD usage stats directly in the vehicle.
Grok gets its biggest in-car upgrade yet. The update adds a “Hey Grok” hands-free wake word along with location-based reminders, so a driver can now say “remind me to pick up groceries when I get home” without touching the screen. Grok first arrived in vehicles in July 2025, but each update has pushed it closer to genuine daily utility. Musk framed the broader vision clearly at Davos in January, saying Tesla is “really moving into a future that is based on autonomy.”
On safety, the update introduces enhanced blind spot warning lights that integrate directly with the cabin’s ambient lighting, building on the blind spot door warning that arrived in update 2026.8.
Dog Mode has been renamed Pet Mode and now lets owners choose a dog, cat, or hedgehog icon and add their pet’s name to the display.
Dashcam retention now extends up to 24 hours, up from the previous one-hour rolling loop, with a permanent save option for any clip. Weather maps now show rain and snow with better color differentiation and include the past hour of precipitation data along the route.
Tesla has now established a clear rhythm of two major OTA pushes per year. As with last year’s Spring update, that cycle started taking shape in 2025 with adaptive headlights and trunk customization. The 2025 Holiday Update then added Grok to the vehicle for the first time. This Spring follows that structure: the Holiday update introduces new architecture, and the Spring update broadens it across the fleet.
Two notable features still did not make it. IFTTT automations, which launched in China earlier this year, were held back from this North American release for unknown reasons, and Apple CarPlay remains absent, reportedly still delayed by iOS 26 and Apple Maps compatibility issues.
Below is the full list of feature updates released by Tesla.
— Tesla (@Tesla) April 13, 2026
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Tesla launches new Model Y interior option
Produced at Gigafactory Shanghai, the update applies to all five-seat Premium Model Y configurations and started being seen on customer deliveries this week. The move marks the first major interior refresh for the compact crossover since its global debut.
Tesla has rolled out a striking new interior choice for its best-selling Model Y in China, replacing the long-familiar white cabin with a fresh option: Zen Grey.
Produced at Gigafactory Shanghai, the update applies to all five-seat Premium Model Y configurations and started being seen on customer deliveries this week. The move marks the first major interior refresh for the compact crossover since its global debut.
The Zen Grey interior swaps the classic black-and-white contrast for a softer, more unified palette. Seats, door panels, and center console trim now feature a warm light-grey tone that covers far more surface area than before.
Previously, black accents on the console, door handles, and lower dashboard are now color-matched in the same pebbled vegan leather, creating a brighter, less clinical cabin.
Tesla describes the material as durable and easy to maintain while delivering a noticeably more premium feel. Early photos and videos from Chinese owners show the new shade reflecting natural light beautifully, giving the spacious Model Y an even airier, more inviting atmosphere without sacrificing the minimalist design customers expect:
🚨 First look at Tesla’s new Zen Grey interior, which differs slightly in tone and in placement compared to the now discontinued White Interior https://t.co/rRRuEOrbm4 pic.twitter.com/p7uyNfO3xY
— TESLARATI (@Teslarati) April 13, 2026
The change is not an added-cost upgrade but a direct replacement for the discontinued white interior on Shanghai-built vehicles. Customers configuring a new Model Y in China, Hong Kong, or Macau now see Zen Grey as the default light-colored choice.
The update also flows to export markets supplied by Giga Shanghai, including Australia, New Zealand, South Korea, Japan, and the Philippines. Tesla has used its Chinese factory as an innovation hub before, and executives appear to be testing broader appeal with this subtler, warmer tone that avoids the high-maintenance reputation sometimes associated with bright white leather.
Beyond the interior, the refreshed Model Y from Shanghai includes minor exterior tweaks such as blacked-out badges on some trims and optional dark 20-inch wheels.
These changes arrive as Tesla faces stiff competition from domestic EV makers in its largest market. By refreshing the Model Y’s cabin without raising prices, the company is signaling continued commitment to value and constant improvement.
With over 1.2 million Model Y units already on Chinese roads, the Zen Grey launch gives existing owners a fresh talking point and new buyers another reason to choose Tesla. As deliveries ramp up this month, the updated interior is expected to become the dominant light-colored choice across the Asia-Pacific region.
Tesla has not yet confirmed whether the Zen Grey will reach Fremont, Austin, or Berlin-built Model Ys, but Shanghai’s track record suggests the option could spread quickly if customer feedback remains strong.
Tesla parked 50+ Cybercabs outside its Texas Factory with some crash tested
Tesla 2026 Spring Update drops 12 new features owners have been waiting for
