Tesla, Inc. continues to show strong performance in 2025. In the third quarter alone, the company delivered 497,099 vehicles, close to half a million units. This figure is one of Tesla’s highest quarterly delivery totals on record. At the same time, its Austin Gigafactory reached a key production milestone — more than 500,000 vehicles built since opening in 2022.
These achievements confirm Tesla’s steady expansion of its manufacturing network. The company now runs major factories in California, Texas, Nevada, Germany, and China. Each plant contributes to a growing global supply chain that supports its Model Y, Model 3, and the new Cybertruck.
Tesla’s steady ramp-up shows how far it has come since its early production struggles. The company aims to reach 20 million vehicles a year by 2030. This plan is ambitious, but this quarter’s numbers show steady progress toward that goal.
Gigafactory Texas Reaches a Key Milestone
Gigafactory Texas, near Austin, is Tesla’s biggest and most advanced U.S. facility. It makes the Model Y and is ramping up Cybertruck production. Hitting 500,000 vehicles in roughly three and a half years shows faster growth compared to Tesla’s earlier plants.
Reports say around 100,000 vehicles were made from April to mid-October 2025. This strong pace helps meet annual growth targets. The plant uses Giga Presses, which are massive casting machines that replace dozens of smaller parts. This automation speeds up production, reduces costs, and minimizes material waste.
The Texas facility also plays a central role in Tesla’s sustainability strategy. Much of its electricity comes from renewable energy, and its design reduces water use and waste. Over time, Tesla aims for all Gigafactories to operate with 100% clean energy.
Q3 Earnings Outlook: Revenue Growth, Margin Pressure
Analysts expect Tesla to post around $26.3 billion in revenue for Q3 2025, up about 4–5% year-over-year. However, earnings per share (EPS) are projected to fall about 24%, to roughly $0.55 per share from $0.72 in the same quarter last year.
The decline is mainly due to lower vehicle prices and smaller contributions from carbon redit sales. These credits have been providing a huge revenue stream to the EV giant by selling it to its peers that don’t meet regulatory emission reductions.

Also, Tesla has cut prices on its main models in several markets to stay competitive, especially against Chinese EV makers. Those price cuts attract new buyers but reduce profit margins.
Tesla’s operating margin averaged 9.2% in Q2 2025, down from 11.4% a year earlier. Automotive gross margin, excluding credits, was about 18%, compared to over 25% in 2022. Even with tighter margins, Tesla continues to benefit from software revenue through Full Self-Driving (FSD) packages and connectivity subscriptions.
The company’s results will likely depend on several key factors:
- Vehicle deliveries – nearly half a million this quarter.
- Energy storage deployments – reaching a new record of 12.5 GWh.
- Software and services – providing recurring, higher-margin income.
- Production costs – influenced by logistics and raw material expenses.
Despite margin pressure, Tesla’s growth in energy storage and software could offset some of the decline in car profits.
The Global EV Race Accelerates
The global electric vehicle (EV) market continues to expand rapidly. The International Energy Agency (IEA) reports that global EV sales rose over 30% in 2024. They reached almost 14 million units. In 2025, sales could hit 17 million. Electric cars could represent about 22% of all vehicle sales globally by the end of this year.

Tesla remains a market leader, holding around 16% of global EV market share, but it faces rising competition. Chinese brands like BYD, NIO, and XPeng are growing in Asia and Europe. At the same time, Volkswagen, Ford, GM, and Hyundai are speeding up EV production.
Elon Musk’s company defends its position by improving efficiency and cutting costs. Its 4680 battery cells are key, aiming to lower production costs by up to 50%. They also enhance range and durability.
The company also benefits from the U.S. Inflation Reduction Act (IRA), which offers tax credits for EV buyers and incentives for battery production. However, these credits will gradually phase out, which could affect demand after 2026.
According to BloombergNEF, the average price of lithium-ion batteries dropped to $115 per kWh in 2024, down 20% from 2023. This decline helps Tesla maintain affordability while protecting margins.

Wall Street Takes the Wheel: Tesla Stock Gains on Big Deliveries
Tesla’s stock rose modestly after its Q3 delivery report. On Monday, shares gained, surpassing $444, which doubled in six months. The rise reflects investor confidence in Tesla’s production capacity and delivery strength, even with profit pressure.

Analysts remain split: some expect stronger earnings in 2026 as new models roll out, while others warn that price cuts and competition could slow growth.
Still, Tesla’s ability to maintain high output while scaling its energy business supports its long-term outlook. The company is a top choice for big investors like BlackRock and Vanguard. They both focus on sustainability in their investment strategies.
- SEE MORE: Tesla (TSLA) Stock Rises Over $450, Hits Record $1.5T Market Cap as Q3 Delivery Test Looms
Driving Clean: Tesla’s Growing Role in a Net-Zero World
Tesla’s business model directly supports global emission-reduction goals. Tesla’s 2024 Impact Report shows that customers avoided almost 32 million metric tons of CO₂e emissions. This is a 60% increase from last year. This figure includes emissions avoided by Tesla’s vehicles as well as its solar and energy storage products globally.
Since 2012, Tesla’s fleet has avoided many millions of metric tons of CO₂e. Each vehicle saves about 52 metric tons of CO₂e compared to similar gasoline cars over an average lifespan of 17 years.

Tesla also focuses on sustainable manufacturing:
- Gigafactory Nevada recycles more than 92% of production waste and reduces its water use intensity by 12% year-over-year.
- The company sources lithium and aluminum from suppliers following responsible mining and low-carbon standards.
- Its battery recycling program recovers up to 95% of nickel, cobalt, and lithium for reuse.
Beyond vehicles, Tesla’s energy business is expanding fast. In 2024, the company deployed 15 GWh of energy storage through its Megapack and Powerwall systems — enough to power over 4 million homes for one hour. These systems help utilities store renewable energy, stabilize grids, and reduce fossil fuel reliance.
Tesla aims to reach net-zero emissions across its value chain by 2040, covering factories, logistics, and product lifecycles. Investments in solar, wind, and carbon reduction projects are key to that goal.
Roadblocks and Roadmaps: What’s Next for Tesla
Amid its strong momentum, Tesla still faces several challenges that could affect future growth:
- Competition: Rivals are narrowing the gap in technology and cost.
- Price pressure: Discounts to boost demand reduce profitability.
- Regulatory risks: Autopilot and FSD remain under scrutiny in some markets.
- Supply chain: Securing critical minerals like lithium and nickel remains essential.
To adapt, Tesla is diversifying. The company plans to launch a low-cost compact vehicle, often referred to as the Model 2, expected to be priced under $27,000 and launched in late 2026.
It’s also developing a robotaxi platform, codenamed CyberCab, expected to begin pilot operations in 2026 with Level 4 autonomy. Plus, Tesla Energy could exceed $10 billion in annual revenue by 2026, supported by growing Megapack demand in the U.S. and Europe.
Tesla’s Q3 2025 milestones highlight both progress and pressure. Delivering nearly 500,000 vehicles and producing 500,000 at its Texas plant shows major strides in sustainable mobility. Revenue continues to grow even as profits tighten.
As Tesla prepares to announce its Q3 earnings, investors will look for signs of balance — growth, profitability, and sustainability. If the company keeps expanding responsibly and investing in cleaner technologies, it will remain a central player in the global transition toward a zero-emission economy.
The post Tesla Rides High Before Q3 Earnings With (TSLA) Stock Rising, Record Deliveries, Gigafactory Growth, and Green Goals appeared first on Carbon Credits.
Carbon Footprint
Designing an Insetting Program: A Step-by-Step Playbook for Procurement
Insetting program design starts with your supplier map. The carbon claim comes much later.
Consider a coffee procurement team that funds a farm intervention before checking its sourcing data. The supplier aggregates coffee lots from several regions. The buyer lacks farm-level traceability. Another purchaser expects to report the same outcome. A more attractive project brochure solves none of these problems.
If the distinction between a value-chain intervention and a purchased credit is still open, read CCC’s Insetting vs Offsetting guide before you set the brief.
Insetting program design begins with the purchasing relationship and works outward. You need to decide 1) where an intervention belongs, 2) what business problem it addresses, 3) who pays for it, 4) how results will be measured, and 5) what the evidence will let you say about them. This five-step playbook turns that sequence into a procurement plan.
Step 1: Insetting program design starts with supplier mapping
Start with the commodities that matter most to your Scope 3 inventory and sourcing continuity. Ask finance for spend by supplier, sustainability for the emissions baseline, and category managers for origin and volume records. Then identify which suppliers can trace material to a jurisdiction, sourcing region, producer group, or individual land-management unit.
The level of traceability affects what you can account for. Under the GHG Protocol Land Sector and Removals Standard, the spatial boundary for purchased land-based products depends on the traceability associated with each volume. Farm-specific factors or removals require physical traceability through an acceptable chain-of-custody model. A contract with a tier-one trader, by itself, does not establish a link to the farms behind its deliveries.[1]
Build a first-pass table with five columns: commodity and annual volume; supplier and origin; current traceability level; land-use and production risks; and the business owner who can change the purchasing terms. Mark missing data plainly. A blank cell is cheaper to fix before a program starts than after a claim is drafted.
If your company sets an SBTi Forest, Land and Agriculture target (FLAG), keep its land-related target boundary separate from energy and industry emissions. The current FLAG guidance also requires relevant companies to assess primary deforestation-linked commodities in their value chains.[2]
Step 2: Choose a commodity and jurisdiction for a pilot
Select one supply corridor where the sourcing connection can be established and procurement has a reason to stay. A useful pilot has repeat purchases, suppliers willing to share records, an intervention matched to a diagnosed problem, and a defined plan to measure the result. Carbon potential alone is a poor selection rule if the supplier cannot deliver the crop your business needs.
Compare candidate regions on land-use risk, supplier concentration, local rights and tenure, the availability of baseline data, and exposure to drought, erosion, or forest conversion. Check the relevant legal requirements separately. A nature project does not satisfy a due-diligence obligation merely because it has a carbon method attached.
Consider a coffee buyer sourcing from two districts. In the first, producer-group records identify the farms, while recent dry seasons have increased rejected green coffee lots. In the second, deliveries pass through several intermediaries and farm origins are unknown. Pilot shade management in the first district, with local agronomic advice and quality checks built into the plan. The buyer can trace purchases there and test the intervention against a defined sourcing problem.
Use a short decision memo to record why the selected corridor beats the alternatives, what remains uncertain, and what would stop the pilot. That memo is the first control against a project drifting toward whatever happens to photograph well.
Step 3: Design the supplier engagement and commercial model
The intervention needs an owner on each side of the contract. Decide who supplies planting material or training, who maintains the practice, who bears the cost if a harvest disappoints, and how long the buyer expects to purchase from participating suppliers. Where smallholders participate, budget cash flow and technical support for practices that offer a later return.
Put these terms in a supplier agreement or pilot addendum. It should cover eligible farms and volumes, consent to data collection, access for monitoring, any land or carbon rights that matter, benefit sharing, and what happens if the purchasing relationship ends. Ask local counsel and producer representatives to review the arrangement. The Accountability Framework is a useful reference for supply-chain work involving forests, ecosystems, and human rights.[3]
Avoid assigning an automatic carbon benefit to the buyer. The contract should say which party has the right to report each outcome, how overlapping claims will be checked, and how any issued credits will be handled. A reduction reported in a buyer’s inventory cannot simply be sold for someone else’s offset claim without an accounting review. SBTi FLAG guidance excludes purchased credits used as offsets from near-term FLAG target achievement.[2]
Set commercial measures beside environmental ones: delivered volume, rejection rate, supplier retention, and procurement cost. They tell you whether the program works as a supply-chain investment, even if carbon accounting takes longer to resolve.
Step 4: Build monitoring, reporting, and verification before rollout
Agree on the baseline and data flow before paying for a full rollout. Identify the land units or sourcing regions in scope, the practices that change, the records suppliers already keep, and the additional measurements the program requires. Decide which data can come from field visits, transaction records, or remote sensing, and who checks each source.
For carbon, separate three questions. Did the practice happen? Did emissions or removals change under an applicable method? Can the buyer attribute a defensible share to its purchased goods without double counting? The GHG Protocol’s 2026 guidance includes dedicated chapters on spatial boundaries, data and methods, evaluating actions, credited outcomes, and assurance.[1] These are distinct jobs. A photograph of a planted tree answers only part of the first.
CCC’s MRV and Additionality article explains the separate evidence questions a project reviewer will ask.
Create an evidence file for every reporting period: dated supplier and farm records, purchase volumes, methods and emission factors, uncertainty, quality checks, and changes from the baseline. Specify who can challenge the data and how corrections are recorded. If a project also seeks credit certification, keep project accounting and corporate inventory accounting separate. The GHG Protocol says its land standard focuses on entity-level inventories and does not set the rules for credit certification.[4]
Start with the minimum viable measurement design that can survive review. Add complexity when the pilot tells you which data actually changes a decision.
Step 5: Decide what can be reported and claimed
Insetting program design needs reporting rules before the marketing copy. Procurement, sustainability, finance, and legal should agree on four distinct outputs: operational performance; observed land or nature outcomes; inventory effects, if the accounting criteria are met; and any separately issued credits. One dashboard can display them, but they should not share a single unqualified headline.
SBTi FLAG guidance allows certain land-based removals within a company’s operations or supply chain to contribute to FLAG pathways, subject to criteria including permanence, traceability, data quality, and allocation. It does not allow purchased offsets to meet near-term FLAG targets.[2] Eligibility therefore depends on evidence and the applicable target rules, not on calling an activity “insetting.”
Draft a claims register. For each proposed sentence, record the period, boundary, data owner, calculation method, reviewer, and whether the result is measured, estimated, or still a goal. If the evidence supports only “we funded a pilot with 200 farms,” say that. Do not turn a funding fact into a verified emissions reduction.
What good looks like by year three
Treat year three as a review point, not a promised payback date. A mature pilot should have mapped participating supply volumes, a stable supplier agreement, a repeatable data collection process, and a comparison of commercial and environmental results against the baseline. It should also have a documented answer for outcomes that cannot be included in the buyer’s inventory.
Scale only where the pilot improves a sourcing decision and the evidence can follow the product. If neither condition holds, redesign the intervention or change the corridor. A disciplined program can conclude that a site is unsuitable. That is useful procurement intelligence.
Discuss your insetting program with CCC
Carbon Credit Capital designs nature-based supply chain investments around sourcing needs and measurable sustainability outcomes. Schedule a consultation with our carbon and sustainability experts to map your tier-one supplier network, FLAG exposure, and first pilot decision.
Sources
[1] GHG Protocol, Land Sector and Removals Standard, version 1.1, and companion Guidance, June 2026: https://ghgprotocol.org/land-sector-and-removals-standard ; https://ghgprotocol.org/land-sector-and-removals-guidance
[2] Science Based Targets initiative, Forest, Land and Agriculture Science-Based Target-Setting Guidance, version 1.2, March 2026, especially pp. 16–17, 37, and 41: https://sciencebasedtargets.org/resources/files/SBTiFLAGGuidance.pdf
[3] Accountability Framework initiative, Accountability Framework and guidance for companies: https://accountability-framework.org/
[4] GHG Protocol, Frequently Asked Questions: Land Sector and Removals Standard, questions 10 and 18: https://ghgprotocol.org/blog/frequently-asked-questions-land-sector-and-removals-lsr-standard
Carbon Footprint
The Strategic Case for Nature-Based Carbon Investments
Nature-based carbon investments deserve consideration when they address a specific business dependency and produce outcomes you can measure. Imagine Moonbucks, a global coffee roaster planning next season’s espresso blend. It is considering natural Grade 4 coffee from Jimma, in southwestern Oromia, Ethiopia. Its sourcing decisions affect the roasting schedule and the cash tied up in coffee purchases. Moonbucks needs to understand which measures could protect that supply, what they would cost and how it would judge the results.
1. Define the sourcing problem before choosing a project
Moonbucks needs a dependable component for its espresso blend. Its procurement team wants continuity of volume and an agreed cup profile. Replacing a shipment at short notice could require new sample approval and changes to the blend, and given the schedules for cultivation, processing, and freight delivery, is practically impossible. Moonbucks needs to get this right, and its initial concern is inconsistent deliveries. It commissions an assessment of the supplying farms and post-harvest chain. The questions cover land condition, harvest availability and whether drying or storage problems are affecting saleable lots.
This distinction changes the investment brief. A tree-planting proposal cannot be assumed to fix drying problems. Better storage cannot restore eroded land. The team must establish which problem exists before selecting the response.
CCC’s guide to finding nature-based solutions in your supply chain explains where to look. Here, the next task is to turn a broad concern into a testable proposal.
2. Develop nature-based carbon investments around the actual supply chain
The assessment would trace Moonbucks’ purchases back through the exporter and supplying producer groups. Which farms supply the contracted lots? Who controls land-management decisions? How long does the buyer expect to maintain the purchasing relationship?
Furthermore, Jimma natural Grade 4 cannot be treated as interchangeable with every Ethiopian coffee. Moonbucks would need to test any substitute against its own blend and quality requirements.
Suppose Moonbucks’ assessment identifies an opportunity to maintain shade trees and restore vegetation along exposed streambanks. The IPCC describes agroforestry as a way to store carbon in vegetation and soil, with potential benefits for erosion control and water quality.1 Moonbucks would need local advice on species, growing conditions and maintenance before deciding how these measures fit its sourcing plan.
The proposal now has a defined sourcing connection and a candidate intervention. The next steps are to test its effect on production, assess carbon eligibility and build the financial case.
3. Compare the proposal with other ways to protect supply
WBCSD’s Nature-based Solutions Blueprint recommends comparing nature-based options with other responses across their benefits and costs.2 For Moonbucks, that means evaluating the landscape proposal alongside drying improvements, storage controls and alternative sourcing arrangements.
The product’s natural-process designation matters. Moonbucks should examine the drying and dry-milling chain alongside land conditions. Its team would check storage practices, contamination risks and incoming-lot quality to see whether problems arise before or after the coffee leaves the farms.
The revised proposal might combine land stewardship with separate post-harvest controls. Each component needs its own purpose and budget. A sustainability label should not obscure which activity is expected to solve which problem.
The project develops as the evidence improves. Its scope should follow the diagnosis rather than preserve the first idea unchanged.
4. Establish what the carbon outcome could count toward
Moonbucks’ sustainability team now tests the proposed carbon case separately from the sourcing case. Is the objective a measurable change in Moonbucks’ value-chain emissions, verified credits for separate voluntary use, or distinct outcomes under carefully defined arrangements?
Scope 3 covers value-chain emissions. A purchasing relationship alone does not prove that a farm intervention can be included in Moonbucks’ inventory. The team needs an applicable accounting method, defensible boundaries and evidence supporting attribution.
SBTi’s FLAG Guidance (forest, land and agriculture), version 1.2, says purchased credits used as offsets cannot meet near-term FLAG or energy and industry targets. Eligible land-based removals are subject to accounting requirements.3 Moonbucks needs to test its proposal against those rules before including an outcome in its targets.
For Moonbucks’ Jimma proposal, maintaining existing trees and establishing new vegetation could involve different carbon questions. Specialists must examine the baseline and additionality, meaning what changes because the project proceeds. They must also assess measurement and the risk that stored carbon is lost. CCC’s MRV and additionality article introduces those tests.
Until that work is complete, Moonbucks should not budget an assumed Scope 3 reduction or credit-sale receipt. Direct emissions reductions remain the priority.
5. Build a financial case that survives weaker assumptions
Moonbucks’ finance team would now build a multi-year budget. UNEP’s State of Finance for Nature 2023 compares current finance with the investment needed to meet climate, biodiversity and land-restoration goals.4 The company would cost its proposed activities, farmer participation and ongoing monitoring. Verification, where required, is a separate expense. Maintenance and responsibility for replacing failed plantings must remain visible after the initial establishment budget ends.
Operational benefits need equally careful treatment. If fewer rejected lots reduce emergency purchasing, count that saving once. Do not add “supply resilience” as another financial benefit when it represents the same avoided cost.
Moonbucks should compare a base case with slower benefits, higher implementation costs and no carbon revenue. It should also distinguish production outcomes from quality and shipment outcomes. A single good harvest would not prove that the landscape intervention caused better delivery performance.
A project can remain worth funding even when its carbon case needs more work. That decision must rest on the operational evidence and the company’s objectives, without unsupported environmental claims.
6. Fund a pilot with a clear expansion decision
Moonbucks’ first approval would fund a bounded pilot, rather than commit the entire sourcing program. Before spending, Moonbucks would agree on participating farms, responsibilities and the evidence needed at review.
Its scorecard could track farmer participation, implementation costs and plant survival, alongside accepted coffee volumes and lot-quality results. Carbon measurements would follow the selected method. Farm-level traceability must connect the intervention to the actual sourcing relationship.
Suppose Moonbucks’ review later finds that storage changes explain most quality improvements, while the land measures need longer observation. Those findings would shape the next decision: expand the proven component, adjust the landscape work or pause further spending. They would not justify crediting all improvements to tree planting.
This gives nature-based carbon investments a practical place in a multi-year strategy. Funding increases as the evidence supports it, and the project can change direction before a larger commitment.
Discuss a sourcing opportunity with CCC
Carbon Credit Capital’s nature-based supply-chain investment service uses its Dual-Value Model to examine supply-chain economics alongside potential sustainability outcomes.
Schedule a consultation to discuss your sourcing exposure and the questions to resolve before allocating capital.
Sources
- Intergovernmental Panel on Climate Change (IPCC), Climate Change 2022: Mitigation of Climate Change, Chapter 7, Agriculture, Forestry and Other Land Uses, section 7.4.3.3 (Agroforestry).
- World Business Council for Sustainable Development (WBCSD), Nature-based Solutions Blueprint, 5 June 2024.
- Science Based Targets initiative (SBTi), Forest, Land and Agriculture Science-Based Target-Setting Guidance, version 1.2, March 2026, section 3.1.4, pp. 37–38.
- United Nations Environment Programme (UNEP), State of Finance for Nature 2023, 2023.
Carbon Footprint
How to buy plastic credits, and what to check before you do
A plastic credit funds the collection of plastic waste in places where no formal system exists to collect it. Each credit represents a measured, independently audited quantity of plastic taken out of the environment or returned to use, tracked on a public registry.
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