Tesla to Stop Cybertruck Production at Texas Factory

Tesla plans to wind down Cybertruck production at its Texas factory around the middle of 2027. Chief Executive Officer Elon Musk announced the decision on social media, pointing to weak sales and a need to make room for newer vehicles.

The angular pickup truck was first shown to the public in 2019. Tesla started delivering the vehicle to customers in late 2023. Before the launch, Musk predicted annual sales of 250,000 units.

However, sales fell far short of that target. According to Kelley Blue Book, Tesla sold 20,237 Cybertrucks in the United States last year. That figure marked a 48% drop from 38,965 vehicles sold in 2024. Former Aston Martin Chief Executive Officer Andy Palmer noted that it makes sense to stop production when a vehicle misses its targets.

The truck's heavy, sharp-edged stainless-steel design limited where it could be sold. Safety experts predicted early on that the vehicle would struggle to pass safety rules in key markets like Europe. Palmer explained that regulations protecting pedestrians in crash tests made approval impossible in those regions. Automotive analyst Felipe Munoz added that electric pickup trucks generally struggle to gain popularity in the United States.

Musk stated that ending Cybertruck production will free up space to increase output of the Cybercab. The Cybercab is a vehicle with butterfly doors and no steering wheel, pedals, or mirrors that Musk intends to use for a robotaxi service. Tesla began offering paid rides in a small fleet of Cybercabs in Austin in September. The automaker still needs to answer questions from the U.S. auto safety agency regarding whether it properly self-certified that the Cybercab meets federal safety standards.

It remains unclear whether Cybertruck production will move to a different facility or end completely. The Austin plant is currently the only known Tesla facility equipped to build the truck's specialized parts. Cybertruck lead engineer Wes Morrill wrote on social media that the vehicle served as an incredible technology development platform that lives on through the Cybercab. Musk called the Cybertruck the best vehicle Tesla has ever made and described the production wind-down as the end of an era.

Summary

Tesla is ending production of its futuristic Cybertruck due to persistently low sales and design limitations that kept it out of international markets. The shift allows the company to focus its factory space on building the newly launched Cybercab for its planned robotaxi network.