Tesla is considering opening a Gigafactory in Canada
Tesla
Tesla's love for Canada is more evident than ever. A recent email to owners showcases the company's commitment to sustainability and its positive impact on Canada's economy and the environment. The email comes at the same time as Canada committed millions to more charging stations and rolled out its first electric vehicle, a Tesla Model Y, to the country's police force.
Remember, Canada is on the shortlist for a new Giga factory, and these are positive signs that North America may be getting another Tesla-producing super plant. Despite Elon Musk being half Canadian and previously suggesting a Canadian location, he will go to the country, province/state, and city that offers the best strategic location, the most tax incentives, and a skilled workforce.
While recent developments have pointed at a new factory in Mexico, Tesla has previously stated they plan to have 10-12 really big factories that will allow them to produce up to 20 million vehicles annually.
Overview of Tesla's recent email to Canadian owners
Interestingly, the wording in the Tesla email says, "a recent economic impact assessment conducted by Enviro Economics quantified Tesla's impact on the Canadian economy. However, EnviroEconomics states that Tesla asked the company to "assess the economic impact of their Canadian operations and spending, as well as the emission reductions and operational fuel savings associated with Tesla vehicles in Canada."
Why would Tesla want that information unless the company is deep in conversations with Canadian officials? This new information may be the next phase to win over public support for a Tesla Gigafactory development.
Analysis of Tesla's Impact on the Canadian Economy
The numbers make a compelling case for Canada to do whatever it can to encourage a Gigafactory in the Great White North. Tesla spending in Canada has grown by 25% year-over-year between 2018 and 2021. The expenditure was widespread, with 51 economic sectors benefiting from Tesla's investment in automotive parts, charging stations, manufacturing, and retail operations.
Tesla's total contribution to Canadian GDP in 2021 was $762 million, and the company contributed to 6,645 full-time jobs in the country, including 3,100 direct jobs due to its operations and spending. The direct employment impact was equivalent to 3% of all jobs in the auto parts manufacturing sector.
Benefits of Tesla's vehicles in Canada
Canada recently introduced new targets for manufacturers' and importers' vehicles. The regulations state that 20 percent of new cars sold in Canada will be zero emission by 2026, at least 60 percent by 2030, and 100 percent by 2035. There are more than 145,000 Teslas in Canada, including a new Model Y, as part of the Royal Canadian Mounted Police force. It's the first electric vehicle in the fleet and part of the Canadian Net-Zero Emissions Accountability Act. Canada also announced a $15 million investment in 2,350 EV chargers.
According to the study, the benefits of Tesla's vehicles in Canada extend beyond the economy. Between 2018 and 2021, Tesla's vehicles helped avoid 583,000 tonnes of CO2e emissions. Additionally, Tesla owners in Canada saved an estimated $113 million in 2021 in transportation fuel, equivalent to $1,259 in savings per vehicle.
Canada's Commitment to Sustainability and the Future of Tesla in the Country
Tesla's recent email highlighting the company's impact on the country could signify deeper discussions with Canadian officials. The numbers make a strong case for Canada to encourage the establishment of a Tesla Gigafactory in the country. Tesla's spending and contributions to the Canadian economy have grown significantly over the past few years, and its vehicles have helped reduce carbon emissions and save millions in transportation fuel.
The recent announcement of Canada's new zero-emission vehicle targets, investment in EV chargers, and the addition of a Tesla Model Y to the police force all point to the country's commitment to sustainability. Tesla sees an exciting future ahead in Canada and is poised to continue advancing its mission of transitioning the world to sustainable energy.
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Your Tesla is packed with features designed to improve your comfort and safety, and Cabin Overheat Protection (COP) is a prime example. While all the materials and equipment in your car are built to withstand the summer heat, this feature prevents the interior from reaching excessively high temperatures when parked.
But what does it do, how does it work, and when should you really use it? Let’s dive in.
What is Cabin Overheat Protection?
Cabin Overheat Protection is a climate control feature that activates automatically after you’ve left your vehicle. Its primary goal is to keep the interior cabin temperature from soaring on hot days, and helping to keep the surfaces humans touch most often - like the seats, steering wheel, and screen- at a more manageable temperature.
You can also use Cabin Overheat Protection to protect temperature-sensitive items from excessive temperatures; however, its primary goal is to prevent the cabin from becoming excessively hot.
For moderate durations, Cabin Overheat Protection can actually reduce the amount of energy spent cooling your vehicle, as it’s more efficient to maintain a temperature rather than letting cooling it down from 130ºF. However, it most cases, Cabin Overheat Protection will use additional energy.
It is important to note what Cabin Overheat Protection is not. It isn’t designed to protect people or pets. For that, you’ll want to use Tesla’s dedicated “Dog Mode” or “Keep Climate On” features, which offer more robust control over the internal temperature. You can read a comparison of the major climate features here.
Enable Cabin Overheat Protection
Tesla offers several options for cabin overheat protection, allowing you to choose when and how it operates. You can enable it in your vehicle or through the Tesla app:
In the Vehicle: Navigate to Controls > Safety > Cabin Overheat Protection.
Via the Tesla App: Go to the Climate, swipe up, and toggle Cabin Overheat Protection.
Cabin Overheat Protection Settings
When enabling COP, you can pick from three settings:
Off: The system is completely disabled and will not activate when the vehicle is parked. This is the default option.
No A/C: If the interior temperature exceeds your set threshold (see below), your vehicle will only use the HVAC fan to circulate outside air through the cabin. This helps cool the vehicle since outside air is often cooler than the inside, which can easily reach 130ºF or higher. This is our recommended setting, as it helps prevent the cabin from getting too hot in most situations and uses minimal energy.
On: If the interior temperature exceeds your set threshold, the system will use both the fan and the air conditioning to actively cool the cabin down to and maintain it below that threshold. This is the most effective cooling option, but it also uses a significant amount of energy.
You can also set a Temperature Threshold for activating Cabin Overheat Protection. Tesla provides three options: 90°F (30°C), 95°F (35°C), or 100°F (40°C). Cabin Overheat Protection will attempt to maintain your vehicle at the threshold while it is active.
Battery Drain
The main reason you might choose to leave Cabin Overheat Protection off is its energy impact, which will not only increase your costs but also reduce your vehicle’s range. Ultimately, this feature keeps your vehicle’s HVAC system—or at least its fans—running to help cool the cabin.
While the No A/C mode consumes minimal energy, the On mode (which uses air conditioning) will noticeably drain the battery, particularly on hot days when the system works harder to maintain the set temperature.
The amount of energy COP uses will vary greatly based on your selected activation temperature, the exterior temperature, and whether your vehicle is parked in the sun. However, in general, the energy impact will be minimal if COP is set to No A/C, and significant if it’s set to On.
As a reminder, Cabin Overheat Protection will automatically shut off after 12 hours of operation or if the vehicle’s state of charge falls below 20%. COP and several other Tesla features will increase the cost of using your vehicle. We recently reviewed all Tesla features that continue to use power while your vehicle is parked.
Is Cabin Overheat Protection Necessary?
This is a common question, and the answer is no, Cabin Overheat Protection is not essential. Tesla vehicles, including their interior components, are designed and tested to withstand the typical automotive temperature cycles, including both hot and cold. While keeping the cabin cooler could potentially provide some marginal benefit in preventing the leather or other surfaces from degrading, the primary purpose is for the comfort of the occupants when they return.
What About Extreme Cold?
We’ve talked about heat, but what about extreme cold? Cabin Overheat Protection, as the name implies, deals with heat and will not prevent your vehicle from getting too cold. For cold weather, your Tesla has different mechanisms.
Your vehicle will automatically use energy to keep its high-voltage battery within a safe temperature range in extreme cold, whether or not you’re in the car. This helps protect the battery’s health and ensures you’ll have a minimal level of performance even if you enter the vehicle without preconditioning.
For optimal comfort in cold weather, preconditioning your vehicle will warm up the cabin and battery for improved performance.
Cabin Overheat Protection is a valuable feature that improves the comfort of your Tesla, particularly during hot weather. However, it’s not designed to improve the lifespan of your vehicle's interior, and it should not be used for people or pets (use Keep Climate or Dog Mode for those situations).
If you're parked in extreme heat and have sensitive items in the car, this could be an ideal use case. Use Keep Climate if you need to keep the items below 80°F, or Cabin Overheat Protection if you’re just looking to protect them from excessive temperatures.
Tesla’s recent focus on expanding and vertically integrating its battery production is beginning to take global steps, starting with a battery recycling and service center in South Australia. In Marion, a suburb of Adelaide, the council recently voted in favor of a proposal that would see contaminated public land developed and leased to Tesla.
The move promises local jobs and environmental remediation but has garnered a lot of public debate focused on Elon’s moves outside his role as CEO.
The proposal involves a site that’s currently unusable for recreation due to chemical contamination. A local developer plans to acquire and remediate the land, constructing a new facility specifically for Tesla. This site would reportedly serve two purposes: recycling old lithium-ion batteries and serving as a Tesla Service Center.
Tesla’s Commitment to Recycling
Tesla recently announced its intention to ramp up its battery recycling and repurposing efforts. During the Q1 2025 Earnings Call, Tesla’s executives highlighted substantial progress. Tesla had recycled enough materials in Q1 2025 to build approximately 21,000 Model Y RWD vehicles, representing a 136% year-over-year increase from Q1 2024.
Dedicated regional hubs like this one would be a logical next step in expanding the recycling loop and furthering Tesla’s vertical integration while also reducing its reliance on new materials. In addition, local sources also mentioned that Tesla could be repurposing older lithium-ion batteries for other purposes, including their inclusion in stationary battery storage systems like Powerwall or Megapack.
Of course, the facility also has major benefits for the local community, including creating around 100 local jobs, as well as injecting approximately $56 million into the local economy. Further, developing the contaminated land as a renewable facility is one of the safest ways to use the land that’s been sealed off from the public for nearly a decade.
Elon’s Image
The proposal isn’t without its critics. Local opposition was voiced during community consultations, with most of the negative sentiment directed towards Elon rather than the facility itself. Despite these complaints, the local council elected to proceed, arguing that tangible economic and environmental benefits far outweigh any perceived geopolitical or symbolic harm that shutting down the project could cause.
With the council’s endorsement on record, the proposal now moves to the South Australian state government for approvals regarding the change in land classification.
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