Tesla Is Building a Lithium Refinery To Boost EV Production

May 10, 2023

By Kevin Armstrong

Tesla will create a lithium refinery factory in Texas

Tesla

Tesla has broken ground on a new lithium refinery in Texas, with CEO Elon Musk setting the ambitious goal of producing enough battery-grade lithium to manufacture 1 million electric vehicles by 2025. This step expands Tesla's focus beyond automobile production and into lithium refining and processing, a critical aspect of fulfilling the company's EV sales objectives and addressing the lithium bottleneck that Musk sees as a significant barrier to EV production.

Addressing the Lithium Bottleneck for EV Production

For years, Musk has been emploring entrepreneurs to get into the lithium business, he referred to it as printing money, but also a necessary part of the vision of creating a future with sustainable transportation. Now, he has taken his own advice.

Musk has expressed concerns over the availability of battery-grade lithium, considering it a potential bottleneck for the advancement of electric vehicles. The new Texas refinery aims to alleviate this constraint by producing a substantial amount of lithium, positioning Tesla as a leader in automobile manufacturing and lithium refining. The groundbreaking initiative also reflects Tesla's commitment to advancing the EV market and promoting clean energy transportation.

Watch Tesla's Lithium Groundbreaking Event

Strengthening Self-Reliance and Reducing Dependency

Musk announced that Tesla aims to complete the factory construction by next year and achieve full production capacity by 2025. The move positions Tesla as the only major automaker in North America to refine its lithium, a domain currently dominated by China. Texas Governor Greg Abbott, who attended the groundbreaking ceremony, emphasized the importance of Texas being self-reliant and not dependent on foreign hostile nations for lithium. Tesla will continue to buy lithium from existing suppliers while refining its own, diversifying its supply sources and increasing security.

Environmentally-Friendly Lithium Refining Technology

Tesla is committed to using environmentally-friendly materials for its lithium refining process, forgoing conventional methods that rely on sulfuric acid and other strong chemicals. The new refining technology will use less hazardous reagents and create usable byproducts, making it a cleaner and safer operation. Musk assured that living near the refinery would not cause any adverse effects, although some environmental advocates have expressed concerns.

As Tesla spearheads its lithium production, it not only strengthens the company's self-reliance but also helps revolutionize the lithium refining industry with a greener and more sustainable approach, ultimately addressing the lithium bottleneck and paving the way for increased EV production.

Norway Approves Tesla’s FSD Testing on Public Roads; Potential for Europe-Wide Deployment

April 26, 2025

By Karan Singh

Not a Tesla App

According to filings found by Kees Roelandschap on X, Tesla has obtained a 2-year exemption from UNECE autonomy regulations to run FSD Supervised on public roads in Norway. This marks one of the first positive developments for regulations and autonomy in Europe — great news for European customers.

Previously, European transportation agencies stressed additional caution and requested more time to legislate, further delaying the widespread UNECE regulation changes for autonomous vehicles.

Norwegian FSD - Employees Only

Following the recent approval from the Norwegian Road Authority, Tesla will be permitted to use its Supervised vehicles on public roads in a testing capacity. This exemption does not yet apply to customers, so we will have to wait and see how testing progresses.

Tesla will specifically be allowed to run FSD V13 and its derivative builds (meaning AI4 vehicles only) with automated steering and speed controls on EU-registered and approved vehicles.

Tesla will also be required to have Tesla-trained drivers (employees) conduct the testing. There is no specific policy in place that enables the use of FSD for customers at this time. However, as testing is conducted and bureaucratic hurdles are overcome across various transportation departments, Tesla may be able to extend the offer to European customers. According to Tesla’s latest earnings call, the company still plans to release FSD in Europe by the end of the year.

Tesla has already begun testing in the Netherlands, showing off FSD’s capabilities in Amsterdam.

FSD Supervised in Europe, pending regulatory approval pic.twitter.com/PYkcATjSUN
— Tesla Europe & Middle East (@teslaeurope) April 5, 2025

Article 39 Exemption

The UNECE can grant exemptions for innovative technologies that move faster than legislation under Article 39. However, Tesla requires the backing of a national ministry of transport to bring this to the UNECE’s attention. The next round of voting on critical issues is expected on May 12, 2025, which may not leave Tesla much time to present its findings to UNECE.

We don’t expect Tesla to receive authorization immediately. It may take several weeks or months of testing from the Netherlands or Norway teams before one of the two countries is willing to support Tesla’s exemption bid.

However, if Tesla achieves an Article 39 exemption, it could allow Tesla to roll out FSD to customers across Europe, provided there are no country-level exemptions.

Tesla Reintroduces FSD Transfers in North America

April 25, 2025

By Karan Singh

Not a Tesla App

Following customer requests, Tesla has once again returned FSD Transfers for North America. This comes after some new details we received on FSD Supervised and Unsupervised at the recent Q1 2025 Earnings Call.

Vox Populi, Vox Dei … FSD Transfer is back

All countries (in NA), all S3XY + @cybertruck (excl Foundation Series & Launch Series)
— Tesla North America (@tesla_na) April 25, 2025

FSD Transfers

This latest round of FSD transfers doesn’t have a specific time limit - so if you’re in the market for a new vehicle and were worried about transferring FSD from a HW3 vehicle - now is the best chance.

This transfer opportunity is applicable for any new vehicle purchases, including the Model S, 3, X, Y, as well as the Cybertruck. The only vehicles it doesn’t apply to are the Foundation-Series Cybertruck or a Launch-Series Model Y, which already come with FSD included.

If you’re conducting an FSD transfer, you’ll need to reach out to your Tesla delivery coordinator through the Tesla app to confirm you’re eligible and to get the process started.

Note that once you take delivery, FSD access is removed from your older vehicle, regardless if you plan to trade in your vehicle or keep it.

Canada and Mexico

For those in Canada and Mexico, there’s some good news. This opportunity is available for customers in those countries as well, however, new vehicle orders are currently paused in Canada and Mexico for unknown reasons.