Product of Borel sigma algebras
Q1. Discrete spaces with cardinal > c ... then the diagonal is a Borel set, but not in the product sigma-algebra.
This also answers Q2 (no)
but not Q3.
The answer to question 3 is yes. At least according to Lemma 6.4.2 of the second volume of Bogachev's book "Measure Theory".
He requires both spaces to be Hausdorff and one of them to have a countable base. They need not be metric spaces.
To close a gap: From the answer of Gerald Edgar, we know that the answer to the second question is no if the spaces involved have cardinality larger than $\mathfrak{c}$. This leaves open what happens when they do have cardinality $\mathfrak{c}$. The answer is yes under the continuum hypothesis, and in general it holds that $2^{\omega_1}\otimes 2^{\omega_1}=2^{\omega_1\times\omega_1}$. This was shown in
B. V. Rao, On discrete Borel spaces and projective sets Bull. Amer. Math. Soc. Volume 75, Number 3 (1969), 614-617.
In Bogachev's remarkable book, it can be found as Proposition 3.10.2.