Tesla Model 3 Production Was Halted in China, Reportedly To Make Way for Project Highland

Although everyone is holding their breath while waiting for Tesla to announce the Cybertruck production start, another new model is craving your attention. As previously announced, Tesla will soon start production of the refreshed Model 3, better known as Project Highland. The official timeline is this summer, but Chinese sources have indicated that trial production could start as soon as June 1. This seems to verify previous claims that volume production would begin in the third quarter.

To further support rumors that Giga Shanghai will start Project Highland production in June, Tesla has forbidden employees to enter the Gigafactory with phones. This is intended to prevent people from sharing classified pictures of the new model. Despite a draconic policy regarding the disclosure of confidential information, Tesla wasn't spared leaks in the past. Probably the most famous was the picture of a non-camouflaged Project Highland prototype, which countless Tesla fans worldwide enjoyed.

New information indicates that Tesla is ready to introduce the new model into production this week. Based on insider reports, the Model 3 production ground to a halt in the past few days, reportedly to prepare the production line for the next iteration of the electric sedan. Although Tesla previously denied that the refreshed Model 3 production would begin in June, its statement only referred to mass production, whereas the original claims were about test production.

Still, drone pilot Wu Wa, who flew a drone over Giga Shanghai on May 26, noticed reduced activity in the Phase 1 Model 3 area. Phase 2 area, where the Model Y is assembled, was still busily churning the best-selling electric crossover. Wu Wa has made a reputation for reliable reporting about Tesla. Conversely, the EV maker has denied rumors in the past that have eventually proven true.

Although the refreshed Model 3 will only feature minimal design changes, they will be quite noticeable, as we've already seen in the April leak. The refreshed Model 3 should feature significant modifications underneath the metal sheet. The most anticipated is the switch to using megacastings and a structural battery pack, thus becoming the first made-in-China Tesla with these characteristics. Drive-unit optimizations are also planned, including Tesla's fourth-generation motors featuring hairpin windings.

Last but not least, Tesla will install the Hardware 4 computer and sensors, something it has already started with the Model Y produced in Fremont. As exciting as all these new features sound, there will also be cuts as the EV market leader aims at simplification and cost reductions across the board. Many familiar features will disappear from the already sparse cockpit of the Model 3, including the stalks. Hopefully, the trade-off will not be so obvious that people will refuse to buy the updated model.