Tesla is expected to move the Model 3 and Model Y to a steering wheel with touch-sensitive buttons
Tesla
According to Twitter user @ChrisZheng001, who has ties with the Tesla supply chain in China, the Model 3 and Model Y will be receiving a new steering wheel for the 2023 model year.
The new steering wheel will supposedly follow what has already been done with the new Model S; replacing the steering wheel stalks with touch-sensitive buttons on the steering wheel.
In a Model 3 or Model Y, the left stalk is mainly used for the vehicle's turn signals, but it can also be used to activate or flash the car's high beams. The button at the end of the stalk brings up the windshield wiper controls and wipes the windshield a single time.
As for the right stalk, it's used to shift gears, enable Autopilot and put the vehicle into park. The button can also be used to enable the vehicle's emergency brake by holding it down.
In the Model S, which the Model 3 and Model Y are likely to mimic, these functions are moved to the steering wheel and the touch screen.
The steering wheel will likely be similar to the one in the Model S. However, it'll likely be round since a major advantage of having a yoke steering wheel is to have a better view of the instrument cluster.
The upcoming steering wheel may be the one that's featured in the new Tesla Semi photos.
Like the Model S, the touch-sensitive buttons wrap around the outside of the scroll wheels on the steering wheel.
On the left side, you have the turn signals and high beam buttons, while on the right you have buttons for the windshield wipers and voice commands. On the Model 3, clicking the right scroll wheel starts a voice command, but in the Model S that's used to engage Autopilot.
There is also a button for the horn, however, unlike earlier versions of the Model S, the center of the steering wheel also functions as a horn.
Other functions that were previously available on the steering wheel stalks, such as shifting gears are moved to the center touch screen.
Since the buttons and their designs are fixed, you can't customize these buttons nor can Tesla change them through software updates.
I'd love to have seen tiny OLED screens for these buttons, similar to the Optimus keyboard that has a tiny screen for each key. That would leave room for customization or change down the road, although it would come at a cost and introduce additional complexity. Two things Tesla tries hard to reduce.
It's not clear whether existing vehicles with steering wheel stalks will also gain the ability to swipe to shift, but it's possible since Tesla could use the existing steering wheel stalks as a backup solution if the touch screen isn't working.
The backup solution in the Model S and likely future Model 3s and Model Ys are touch-sensitive gear buttons that appear underneath the wireless phone charger if the touch screen becomes unresponsive.
This upcoming change may be unexpected, but it's not surprising, as Tesla often tries to reduce costs by simplifying designs and processes. Tesla also tries to reuse as many parts throughout their models as possible. While the Model S and Model X use a different steering wheel, it looks like the Semi may utilize the same steering wheel as the Model 3 and Model Y.
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Elon Musk always gets excited about upcoming products — and this time, he’s announcing Tesla will have an epic demo later this year. Not just any demo, but the “most epic demo ever,” according to Musk. He then emphasized it by saying “Ever.” again. It certainly sets high expectations, but what could Elon be alluding to?
Given Tesla’s ambitious roadmap, there are numerous possibilities that could have Musk this excited. Given it’s coming from the Tesla Design Studio, we’re expecting this to be a physical item, rather than something software-based like FSD breakthroughs.
With the Q2 2025 Earnings Call around the corner, we may learn more about the upcoming demo soon; otherwise, we may have to wait until Elon teases it further or Tesla sends out event invites.
Let’s take a look at what Musk could be so excited about that could be part of this epic demo.
Contender 1: Optimus V3
First in the ring is Tesla’s humanoid robot, Optimus, which is expected to receive its production variant, version 3, by the end of 2025.
The production variant is supposed to bring together everything that Tesla has learned over the years on Optimus V2 and combine it with mass-manufacturable hardware for the first time.
A full-blown demonstration of Optimus V3 working in Tesla’s factories, performing complex tasks autonomously - something no other humanoid robot has done to date - would most certainly fit the bill. A truly capable humanoid robot that can understand and interact with the real world would be a game-changing technology, and an early demo showcasing that would certainly be unforgettable.
Contender 2: The New Roadster
Hiding somewhere in a corner of our ring is the next-generation Tesla Roadster. It has been years since the demonstration of the Roadster and its SpaceX-powered cold-gas thrusters. While we’ve received occasional updates on the Roadster, it’s clear it hasn’t been Tesla’s priority, nor should it be.
A demonstration of a finalized, production-ready Tesla Roadster would be a massive event—and one that people have been waiting for for years. This would be especially awesome to see in a world where the track is now dominated not by the Model S Plaid but by the Rimac Nevera and Lucid Air Sapphire.
Contender 3: More Affordable Models
While less flashy than the other two corners, this contender is probably the biggest elephant in the room. There are now two versions of “affordable” vehicles. One is a trimmed-down Model Y, while the other is the long-rumored $25k vehicle that is expected to be based on the Robotaxi.
For Tesla’s “legacy” vehicle business, a more affordable vehicle will help drive growth, while allowing the still-nascent AI and robotics businesses to get their footing.
Contender 4: The Production Semi
The last contender is the production variant of the Tesa Semi. With the new Semi factory in Nevada beginning to ramp up and begin volume production, there’s no better time to reveal the final production version of the Semi.
We’ve seen pilot vehicles on the road, as well as some wrapped-up test variants at Tesla’s production facilities - but we’ve yet to see the final version. A full blown demo of the Semi hauling a trailer on a long-haul route would definitely be something to show off.
While it may not be as exciting for the average consumer, the Tesla Semi is on a path to revolutionize the trucking industry and transition it to electric. Trucking accounts for 23% of greenhouse gas emissions and up to 60% of fine particulate matter emissions, despite comprising only about 10% of vehicles.
This is one of the places Tesla can have one of its biggest impacts. Many of their industrial partners are already on board to electrify their fleets.
Whatever the demo ultimately is, it’s evident that Tesla’s teams are developing something impressive. For now, we can only speculate, but we’ll be listening closely during the Q2 earnings call for any additional clues.
The long long wait for FSD (Supervised) in Australia and New Zealand may be coming to an end. Thom Drew, Tesla’s Country Director for Australia & New Zealand, has confirmed on LinkedIn that Tesla has been working with local authorities in both countries and that there are no regulatory blockers for the release of FSD in the region.
The confirmation came in response to questions following Tesla’s FSD demo video in Sydney, Australia.
Hurdles Cleared
For many years, the main question surrounding the release of FSD in other Asia-Pacific countries, especially Australia, has been the status of regulatory approval. Drew’s statement provides the clearest answer yet regarding regulatory barriers, and it appears that the path is clear from a governmental standpoint.
“We have been working with local authorities across AU & NZ and there are no regulatory blockers for release. We are running through the final stages of validation prior to public release. Looking to start with HW4 on certain vehicles and then release in phases from there.”
Thom Drew, Tesla’s Country Director for Australia & New Zealand (LinkedIn)
With the regulatory question answered, the timeline for the release is now entirely in Tesla’s hands. According to his statement, Tesla is in the final phases before a public rollout, likely meaning Tesla is doing some final testing and veritifcation on local roads before flipping the switch.
— Tesla Australia & New Zealand (@TeslaAUNZ) July 17, 2025
The Rollout Plan: HW4 First
Drew also provided the first details on how Tesla plans to launch FSD in the two countries, and it seems to be a similar approach to the one Tesla took in China.
That means that the release will begin with AI4 (HW4) equipped vehicles first. Once those vehicles are up and running, they will slowly begin to phase in older AI3 (HW3) vehicles over the next few releases.
For owners of HW3 vehicles (everything we know about the HW3 upgrade), this phased release means that they’ll be waiting a little longer than other owners, but at least there’s progress and some clear next steps now. A little more waiting isn’t too bad, especially when you consider just how long many owners in Australia and New Zealand have been waiting for any semblance of FSD in their nations. Tesla initially outlined Q2 2025 as the target availability date for FSD in RHD markets, so this timing is roughly on track with what Tesla initially announced in September 2024.
Hopefully, Tesla also opens up the opportunity for FSD transfer for HW3 owners in both countries, as we’re sure many people would upgrade alongside the official release of FSD to the latest hardware.
And just in case you thought the first video wasn’t true because it wasn’t upside down - well, Tesla provided us the original too.
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