Tesla Model 3 News

Tesla will end production of its groundbreaking Model S sedan and its Model X SUV spin-off, the two models that put the brand on the map and arguably started the global electrification push.Controversial CEO Elon Musk said the Model S and Model X will reach the end of the line before the middle of this year as the company reconfigures its California factory to produce its Optimus home assistant robot.The Model S and X were discontinued in Australia in early 2023, and our market never saw the significantly updated models that were sold only in left-hand-drive markets over the last few years of their production run.“It’s time to basically bring the Model S and X programs to an end with an honorable discharge,” Musk said during the brand’s fourth quarter earnings call.“If you’re interested in buying a Model S and X, now would be the time to order it.”However, while the Model S and X might go down in history as one of the most influential duos ever built, ushering in the age of electrification, the writing has been on the wall for the larger Tesla models for some time.According to Tesla’s Q4 2025 Production, Deliveries & Deployments statement, the Model 3 and Y accounted for 97 per cent of the brand’s global footprint last year.According to Musk, once the Model S and X factory is re-purposed for Optimus robots, it is targeting a production of one million units a year. The home assistant robot will apparently be in its as-yet-unrevealed third-generation form, which Musk says is the first version meant for mass production.Meanwhile, the Tesla factory in Texas will begin producing the brand’s latest model, the driverless Cybercab, over the course of the first half of the year.According to Musk, the Cybercab won’t have “human controls” and a recent pre-production version spotted testing in the wild stuck relatively closely to the cars shown at the company’s I, Robot reveal event in 2025.While driverless trials have already started in the US for Tesla’s pilot robotaxi service without back-up drivers, the path to implementing driverless taxis in Australia is much less clear.Although Tesla has launched its self-driving software, styled FSD (Supervised) into our market, it currently exists in something of a legaslative grey area, specifically requiring the driver to be aware at all times. As long as the driver meets the monitoring conditions in the car, it can fully navigate of its own accord simply based on the in-car navigation software.It is unclear what happens in the event of an accident, although regulators are working on a legal framework, aware that more autonomous vehicles will be on our shores before long.Tesla is not the only automotive company with a stake in robotics or autonomous vehicles. While almost every brand, especially Chinese carmakers, are developing autonomous vehicle tech, other companies like Hyundai are heavily invested in robotics.The South Korean giant purchased US robotics firm Boston Dynamics, which is known for its humanoid and quadruped robots, used for a variety of industrial and military applications.Tesla’s local operation continues to tick along nicely, with the Model Y retaining the title of the best-selling electric car in Australia by a healthy margin. It was also the 10th best-selling vehicle in Australia overall in 2025.Its Model 3 isn't faring as well, down 61.3 per cent year-on-year, although it is still the third best-selling EV in Australia.The biggest threat to Tesla is the rise of Chinese rival BYD, which stormed the charts in 2025 off the back of its popular and competitively priced range of electric and plug-in hybrid vehicles.While the Model Y kept its closest competitor, the BYD Sealion 7, at bay last year, it’s hard to imagine the pioneering American brand staying ahead of its competitors for long with little in the way of new product on the horizon.

Xiaomi’s updated SU7 electric sedan launches this April in China and while the order numbers are enormous there’s another huge figure grabbing people’s attention - its 900km-plus driving range.The order books for Xiaomi’s new SU7 opened on January 7, 2026 and within two weeks nearly 100,000 pre-orders have been taken. That’s big even for the Chinese market, which sees 34 millions cars sold in a year. But part of the drive in sales is the massive leap in spec for the SU7 particularly when it comes to driving range.Pricing in China for the entry grade SU7 starts at the equivalent of A$46,500, an increase of $2800 over the hugely popular outgoing model.The SU7 now has a range of 902km (CLTC), up from 830km in the previous model. CLTC (China Light Duty Vehicle Test Cycle) criteria isn’t as strict or real-world applicable as the WLTP (Worldwide Harmonised Light Duty Vehicle Test Procedure) rating which is generally about 18 per cent less. Still, even if the SU7’s WLTP range is about 750km that would still see it beat the best electric long-haulers the world currently has to offer including the Polestar 3 Long Range Single Motor with its 706km and Tesla’s Model 3 Long Range AWD with 629km.The longer range of the new SU7 is reportedly not due to a larger battery (a 101.7kWh battery capacity remains in the top grade model), but is down to a new silicon carbide platform in 752V and 897V forms which return improved efficiency.Other upgrades for the new SU7 include more advanced driving assistance systems, laser radar, and 700 TOPS (Trillion Operations Per Second) AI computing power for autonomous driving functions.Xiaomi has yet to launch in Australia with the company likely to enter the European market first in 2027 and then the rest of the world including Australia. Right now, the fledgling tech-brand-turned-automaker's factory capacity is exceeded for over a year with back orders for both the SU7 and its YU7 SUV sibling, both of which have created massive hype in China's domestic market.If and when Xiaomi makes it here, the sporty Chinese marque would join a multitude of new brands in Australia with electric vehicles over the past two years.The SU7 would go up against rivals such as the BYD Seal and MG’s IM5, as well as the ever-popular Tesla Model 3.Xiaomi isn’t the only brand coming up with super long-range EVs with Chery also recently announcing progress on solid state batteries which it claims will offer up to 1500km of driving range on a single charge.

If there is one word to describe the Australian car industry in 2026, it’s diversity.

Tesla has been rolling its new, budget-oriented Standard line-up into different markets and the next is firming as China.As reported by Car News China, an image of the Model Y Standard appeared on the Tesla China website on its home charging webpage last week but quickly disappeared again.According to the publication, Weibo user Anting Dafan, who reportedly contacted Tesla said it is gearing up to launch not only the Model Y Standard but also the Model 3 Standard in China. The latter will reportedly launch first.Tesla initially launched the Model 3 and Model Y Standard in the US, but it’s now being offered in a number of European countries with German production.Given Chinese production of the Standard models is reported to commence soon, this means it could be closer to an Australian launch.Virtually every Tesla currently sold in Australia, excluding the German-made Model Y Performance, is made in China.If the Chinese-made Model 3 and Model Y Standard do come to Australia they will likely reduce the asking price for both models by a considerable amount.Car News China reports the Model 3 and Model Y Standard will be priced around 200,000 yuan (~A$42,800). In China the current Model 3 RWD costs 235,500 yuan (~A$50,400) and the Model Y RWD costs 263,500 yuan (~A$56,400) in China, representing potential price cuts of 35,500 yuan (~A$7600) and 63,500 yuan (~A$13,600), respectively.If similar pricing differences carry over to the Australian-specification Model 3 and Model Y Standard, this could see pricing start from around $47,000 and $45,000, respectively. It’s unlikely the Model Y Standard will be more affordable than the Model 3 Standard though.Details of the Chinese-made Model 3 and Model Y Standard are yet to be confirmed.In other markets both the Model 3 and Model Y Standard are slower to 100km/h, likely meaning they come with a less powerful rear-mounted electric motor.The Model 3 Standard can do the 0-100km/h sprint in 6.2 seconds (1.0 seconds slower than the Premium RWD) and the Model Y Standard can do the 0-100km/h sprint in 7.2 seconds (1.6 seconds slower than the Premium RWD).It also appears both have a smaller battery pack than the rest of the line-up. Tesla doesn’t disclose exact battery capacities, though the Model 3 and Model Y Standard can travel up to 534km, according to WLTP testing.There are different 18-inch wheel designs and fewer exterior paint colour selections. The Model Y Standard also ditches the front and rear LED light bars, adaptive high-beam functionality and panoramic glass sunroof, however the Model 3 Standard retains the latter two features.Inside, both models receive fabric and synthetic leather combination upholstery. There’s no interior ambient lighting, the steering column is manually adjusted and the second-row touchscreen is deleted.Additionally, there’s a less-sophisticated sound system with fewer speakers, no ventilated front seats, no heated outboard rear seats and manually adjusted second-row air vents.The Model Y Standard in particular has an open centre console unlike the Model Ys which have storage cubbies with retractable lids.Under the skin both the Model 3 and Model Y Standard have passive shock absorbers unlike the other non-Performance trims which have frequency dependent suspension.All the safety hardware tech for both models is carried over, including the eight exterior cameras which allow for Full Self-Driving (FSD) as an optional extra.The potential introduction of the Model 3 and Model Y Standard in Australia could help spur sales. In 2025 Tesla sold a total of 28,856 new vehicles, which is down 24.8 per cent year-on-year.The Model Y is still the best-selling electric vehicle (EV) in Australia and saw 4.6 per cent year-on-year sales growth, sales of the Model 3 were down over 60 per cent year-on-year.

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