Volkswagen recently announced that it would slash the price of its flagship ID.3 electric hatchback by €3,000, putting it in direct competition with Tesla.
The German automaker is expected to lower the price of the ID.3 under €40,000 ($42,000). Many reports speculate that slashing the VW ID. 3’s price would put it in direct competition with the Tesla Model Y. Industry analyst Ferdinand Dudenhoeffer believes that Volkswagen sees Tesla as its toughest competition in the EV markets, especially in China.
“Volkswagen sees how big the threat is from Tesla,” Dudenhoeffer told AFP–a German news agency.
The ID. 3’s expected price drop makes it more affordable than the Tesla Model Y Long Range and Performance in the United States and Europe. The Long Range Model Y in the U.S. starts at $54,990, while the Performance starts at $58,990. In Europe, Tesla sells the RWD Model Y at €44,890 before options, the Long Range starts at €54,990, and the Performance costs €64,990.
The ID. 3’s price drop would put it on par with the cost of the base Model Y in China. Gigafactory Shanghai’s RWD Model Y starts at RMB 261,900 ($38,080). Tesla China sells the Long Range Model Y for RMB 311,900 ($45,350), and the Performance costs RMB 361,900 ($52,620) before options.
VW vs. Tesla’s Market Share in China
According to a local German report, Volkswagen holds 16% market share in China thanks to its internal combustion engine (ICE) vehicle sales. China accounts for 40% of Volkswagen’s group sales.
“The times when traditional German carmakers could take their market shares [in China] for granted are gone,” said Gregor Sebastian, an analyst at the Mercator Institute for China Studies.
“In Germany, driving performance remains a key factor [when customers choose a new car.] But in China, where many people spend a lot of their driving time stuck in traffic jams and highly value new technologies, the car’s interaction with the smartphone and overall connectivity is more important,” Sebastian added.
With their advanced technology and fun features, Tesla vehicles cater to drivers’ needs in China. The Elon Musk-led company holds 7.8% of China’s EV segment, behind China’s BYD automaker, which holds 16% of the segment. Meanwhile, Volkswagen holds 2.4% market share in the EV segment, lagging behind Tesla, BYD, and other Chinese automakers. VW’s new price of the ID. 3’s and the vehicle’s upgrades may help the German automaker make bigger waves in the Chinese auto market and other markets as well.
VW teased the debut of an upgraded ID.3 in December 2022. The company noted upgrading the new ID. 3’s technology, recognizing the value customers put on tech in specific markets. The German automaker unveiled its new ID.3 design earlier this month.
“Part of our mission at Volkswagen is to offer state-of-the-art technologies and innovations across all models, including compact vehicles, and the ID.3 exemplifies this – for example when it comes to new convenience and assist systems: we are taking the next step forward on the way to highly automated driving with the use of swarm data in the latest Travel Assist”, explains Kai Grünitz, Member of the Volkswagen Brand Board of Management responsible for Development.
The Teslarati team would appreciate hearing from you. If you have any tips, contact me at maria@teslarati.com or via Twitter @Writer_01001101.
News
Tesla wins big as NHTSA drops three-year, 120k unit probe against Model Y
In all, 120,089 Model Ys were impacted, but in two cases, drivers reported the complete detachment of the steering wheel from the steering column while the vehicle was in motion. NHTSA’s initial review revealed that the vehicles had been delivered without the critical retaining bolt that secures the steering wheel to the splined steering column.
A probe into over 120,000 2023 Tesla Model Y units has been closed by the National Highway Traffic Safety Administration (NHTSA). The probe ends without the agency requiring any action from Tesla.
The probe, designated PE23-003, opened in March 2023 and stemmed from just two consumer complaints involving low-mileage Model Y SUVs.
In all, 120,089 Model Ys were impacted, but in two cases, drivers reported the complete detachment of the steering wheel from the steering column while the vehicle was in motion. NHTSA’s initial review revealed that the vehicles had been delivered without the critical retaining bolt that secures the steering wheel to the splined steering column.
NHTSA has ended a probe into over 120,000 Tesla Model Y vehicles after claims that the steering wheel could detach from the steering column due to a missing retaining bolt
There is no action needed by Tesla pic.twitter.com/YpAO3bKugA
— TESLARATI (@Teslarati) April 28, 2026
Factory records showed each car had undergone an “end-of-line” repair at Tesla’s facility, during which the steering wheel was removed and reinstalled. The bolt was apparently omitted after the repair, leaving only a friction fit between the wheel and column to hold it in place temporarily.
According to NHTSA documents, this friction fit maintained the connection during initial low-mileage driving until forces during normal operation caused the wheel to detach. Both vehicles that were impacted were repaired under warranty with no injuries reported, and no additional incidents surfaced during the agency’s three-year review.
After analyzing manufacturing processes, complaint data, and field reports, NHTSA concluded the issue was isolated to those two post-repair vehicles rather than indicative of a systemic defect in Tesla’s production or quality control.
The closure means the agency has determined no recall or further enforcement is warranted for this specific missing-bolt condition.
This outcome marks the second NHTSA investigation into Tesla closed without action this month, as a recent probe into the company’s “Actually Smart Summon” feature was also resolved in April.
The two resolutions provide some relief for Tesla amid the continuous and somewhat unfair regulatory scrutiny of its vehicles, including open inquiries into driver assistance systems.
Importantly, the closed probe does not involve or affect Tesla’s separate May 2023 voluntary recall of certain 2022-2023 Model Y vehicles. That recall addressed a different issue—steering-wheel fasteners that were installed but not torqued to specification—prompted by a service technician’s observation of a loose wheel during unrelated repairs.
Tesla identified a small number of related warranty claims and proactively addressed the matter without NHTSA mandate.
The Model Y remains one of the world’s best-selling vehicles, and Tesla continues to refine its lineup, including the recent “Juniper” refresh. While federal oversight of the electric vehicle pioneer remains intense, this decision underscores that isolated manufacturing anomalies do not always translate into broader safety defects requiring recalls.
News
Tesla Model Y L gets biggest hint yet that it’s coming to the U.S.
Over the past week, a noticeable wave of American Tesla influencers descended on China and Australia, each posting in-depth YouTube reviews of the Model Y L within days of one another.
The Tesla Model Y L is perhaps the most wanted vehicle in the company’s lineup in the United States, especially now that it is void of a true family vehicle with the removal of the Model X.
In China, Tesla currently offers a longer, more family-friendly version of the Model Y, known as the Model Y L, which is longer in terms of its wheelbase and larger in terms of interior space, making it the perfect option for those with a need for a tad more room than what the all-electric crossover offers in its Standard, Premium, and Performance trims.
However, there seems to be a hint that the Model Y L could be on its way to the United States. Over the past week, a noticeable wave of American Tesla influencers descended on China and Australia, each posting in-depth YouTube reviews of the Model Y L within days of one another:
Not saying that this means anything more than Tesla China simply inviting a handful of American influencers to see this car….
….but this seems like a good strategy for an eventual offering in the U.S. https://t.co/XS3PyBdnNd
— TESLARATI (@Teslarati) April 27, 2026
The timing has sparked some intense speculation as to whether Tesla is quietly preparing to bring the long-wheelbase, three-row family SUV to North America after months of requests from fans.
The Model Y L stretches the wheelbase by about five inches compared to the standard Model Y.
This delivers dramatically more rear legroom, optional captain’s chairs in the second row, and a true six- or seven-seat configuration ideal for growing families. Reviewers praise its refined ride, upgraded interior features like a rear touchscreen and premium audio, and competitive range—up to roughly 466 miles in some configurations.
Many observers see the coordinated influencer trip as more than a coincidence. Tesla China appears to have hosted the group, possibly tied to the Beijing Auto Show, giving U.S.-focused creators early access to hands-on footage aimed squarely at North American audiences.
Tesla Model Y lineup expansion signals an uncomfortable reality for consumers
Tesla watchers are quick to point out this isn’t the first time such a pattern has emerged.
Just months earlier, American influencers were similarly invited to China to test-drive the refreshed Model Y Performance. Those videos dropped in the lead-up to the variant’s U.S. rollout, generating exactly the kind of pre-launch hype that helped smooth its September arrival in American showrooms.
The parallel is obviously hard to ignore, as Tesla has used overseas influencer trips before as a low-key way to build anticipation without formal announcements. With the Model Y L potentially hitting the U.S. market late this year, according to CEO Elon Musk, the timing would make sense.
Tesla Model Y L might not come to the U.S., and it’s a missed opportunity
Of course, it could still be coincidental. Tesla regularly invites creators to its Shanghai factory and events for broader promotional purposes, and the Model Y L has been on sale in China for some time. No official word has come from Tesla or Elon Musk about U.S. availability, pricing, or timing.
Import tariffs, regulatory hurdles, and production priorities at Fremont or the new Mexican Gigafactory could still delay or alter any stateside plans.
Even so, the buzz is real. U.S. families have long asked for a more spacious, three-row Tesla SUV that doesn’t require stepping up to the larger Model X.
If the influencer campaign is any indication, the Model Y L—or a close North American cousin—could finally answer that call. For now, American Tesla fans are watching closely and wondering whether this latest China trip is just good content… or the opening act for something much bigger stateside.
News
Tesla begins probing owners on FSD’s navigation errors with small but mighty change
Previously lumped under “Other,” these incidents made it harder for Tesla’s AI team to isolate and prioritize map-related issues in their reinforcement learning models. There was a lot of disagreement on how certain interventions should be reported.
Tesla has started probing owners on how often its Full Self-Driving suite has Navigation errors with a small but mighty change last night.
In its latest Software Update, which is Version 2026.2.9.9 featuring Full Self-Driving (Supervised) v14.3.2, Tesla has introduced a targeted improvement to how owners will report interventions.
With the initial rollout of v14.3.2, Tesla introduced a new Intervention Menu that appears when a disengagement occurs. It allowed owners to choose from four different categories: Preference, Comfort, Critical, or Other.
Tesla has voided the Other option and replaced it with a new “Navigation” choice, which seems much more ideal given the complaints owners have had about navigation. This seemingly minor UI tweak, rolled out widely in recent days, marks another step in Tesla’s ongoing effort to refine its autonomous driving stack through precise, crowdsourced data.
“Other” has been replaced with “Navigation” in the Tesla Self-Driving intervention reasons menu pic.twitter.com/mBOi3uYs8C
— Whole Mars Catalog (@wholemars) April 28, 2026
Tesla made this change in direct response to longstanding community feedback. For years, FSD users have noted that navigation errors—such as incorrect speed limits, suboptimal routes, or directing the vehicle to a building’s rear entrance instead of the main one—frequently force interventions.
Previously lumped under “Other,” these incidents made it harder for Tesla’s AI team to isolate and prioritize map-related issues in their reinforcement learning models. There was a lot of disagreement on how certain interventions should be reported:
I chose to label this Navigation error as “Critical” while testing FSD v14.3.2
Here’s why:
✅ This intervention wasn’t “preference,” as the maneuver FSD routed was illegal
✅ If a police officer saw this maneuver, it would result in a ticket https://t.co/znhHb4haAo pic.twitter.com/bZOiLwWmQa— TESLARATI (@Teslarati) April 23, 2026
By adding a dedicated “Navigation” label, the company can now tag disengagements more accurately, feeding cleaner data into its neural networks. This supports faster iteration on routing algorithms, map accuracy, and intent-aware navigation.
Community consensus around Tesla’s navigation system has been consistent and candid. While the end-to-end AI driving behavior in v14.x earns widespread acclaim for smoothness and safety, navigation remains FSD’s clearest Achilles’ heel.
Owners frequently cite outdated map data, failure to learn from repeated corrections, and routing decisions that feel less intuitive than Google Maps or Apple Maps. Common complaints include phantom speed-limit changes, inefficient local roads, and poor point-of-interest handling.
Tesla Summon got insanely good in FSD v14.3.2 — Navigation? Not so much
Many drivers report intervening on navigation far more often than on core driving maneuvers, with some estimating it accounts for the majority of disengagements outside of edge cases.
Long-term users note that the same mapping glitches persist across years and software versions, despite thousands of collective miles of feedback. Yet the addition of the “Navigation” option has been met with optimism. It signals Tesla’s commitment to data-driven progress and suggests navigation improvements could arrive sooner.
For a community that already logs millions of FSD miles monthly, this small change could unlock meaningful gains in reliability and user trust—potentially accelerating the path to unsupervised autonomy.
Tesla wins big as NHTSA drops three-year, 120k unit probe against Model Y
Tesla Model Y L gets biggest hint yet that it’s coming to the U.S.
