Tesla to Phase Out Cybertruck Production in Texas

In depth

Tesla will gradually end Cybertruck production at its Giga Texas plant by mid-2027, CEO Elon Musk announced. The production lines will be converted to the Cybercab robotaxi. Musk wrote in a post on X that ending production will make room for production of the Cybercab robot taxi, and did not say whether the company will produce the Cybertruck at another facility.

The Cybertruck, Tesla's futuristic electric pickup, was presented as Musk's great promise. In practice, according to reports on sales, it sold fewer than 12,000 units this year, and in the three years since production began, only about 70,000 vehicles have been delivered, compared with a target of 250,000 per year. In the third quarter, 8,300 units were sold.

The model suffered from malfunctions and repeated recalls, and the actual price was significantly higher than the price promised at its launch. Following the decision, Tesla said it would refund deposits to buyers who will not receive the vehicle, and the move comes against the backdrop of turmoil in the markets and a sharp decline in the value of Musk's companies. According to Musk, unspecified demand surged after the announcement, and in the days that followed he postponed the production halt to the end of the summer and raised the price of the model in the US by 10%.