For more than a year, Tesla has been working on an upgrade to the Model 3, internally known as Project Highland. people familiar with the matter said that Tesla will begin trial production of the new Model 3 at Giga Shanghai in June.
News of Tesla's Project Highland began late last year when a media report said Tesla was working on a new Model 3 designed to simplify the design and reduce parts to lower production costs. There will also be changes to the exterior and electric powertrain performance, but the transformation will focus on improving production efficiency.
According to a Bloomberg report in February, people familiar with the matter revealed that Tesla is expected to put the new version of the Model 3 into production at its Shanghai plant in September, after Giga Shanghai had been upgrading its production line in stages earlier this year. According to the latest information revealed by Twitter user Yan Chang (@cyfoxcat), Tesla's Shanghai plant will begin trial production of Project Highland on June 1. Yan Chang has provided reliable information about Tesla China in the past. It is reported that Tesla employees will not be allowed to bring their cell phones into the workshop in order to prevent further leaks of the vehicle design.
Rumor: Starting June 1, Tesla's Shanghai factory will not allow workers to bring their cell phones into the workshop, and Model 3 Highland will begin trial production.— Yan Chang (@cyfoxcat) May 8, 2023
Previously, Model 3 sales in China have shown signs of slowing down; in addition, Tesla is facing increasing competition in the Chinese market as local rivals such as BYD and NIO launch competing models. As a result, analysts believe Tesla should redesign and modify the Model 3 and take some new measures in order to avoid losing market share in China to its fast-growing competitors.
In addition, there are also media reports that Tesla's Shanghai factory will mass produce Model 3 on June 1, to which Tesla China denied the authenticity of the news.