Anabelle Colaco
09 Nov 2026, 20:07 GMT+10
AUSTIN, Texas: Tesla plans to wind down production of its Cybertruck at its Texas gigafactory around mid-2027, CEO Elon Musk announced on November 6, as the electric vehicle maker shifts manufacturing capacity toward its newly launched Cybercab following years of disappointing pickup truck sales.
Musk said on X that reducing Cybertruck production would allow Tesla to increase output of the Cybercab, a two-seater autonomous vehicle central to his plans for the company's robotaxi business.
The decision comes after a difficult week for Musk, whose political spending of nearly half a billion dollars failed to deliver significant victories for the Republican candidates he supported in Tuesday's US midterm elections. His companies were on course to lose more than $370 billion in combined market capitalization during the week.
It remains unclear whether Cybertruck production will move to another factory or be discontinued altogether. Tesla's Austin facility is currently the only known company plant equipped to manufacture the vehicle's specialized components.
Responding to a user on X, Musk described the Cybertruck as the "best vehicle Tesla has ever made" and its production wind-down as the "end of an era."
Tesla did not immediately respond to a request for comment.
The company began delivering Cybertrucks in late 2023, but sales have fallen well short of Musk's early projections. According to Kelley Blue Book, Tesla sold 20,237 Cybertrucks in the United States last year, a 48% decline from 38,965 in 2024. Musk had initially predicted annual sales of 250,000 vehicles.
"It doesn't make sense to keep it going when it's not meeting its targets," said former Aston Martin CEO Andy Palmer. "Every rational auto guy would say the same."
"It will no doubt only be a rounding error on Tesla's balance sheet, but the statistics speak for themselves."
Musk's SpaceX was among the Cybertruck's largest customers in 2025, purchasing vehicles worth $131 million at list prices, according to its IPO filing.
The Cybertruck attracted controversy from its unveiling in 2019, when a demonstration intended to showcase its shatterproof windows instead left two windows badly cracked.
Its distinctive angular, stainless-steel design also complicated prospects for overseas sales, particularly in Europe, where pedestrian-impact safety regulations prevented approval.
Tesla has issued 11 Cybertruck recalls since deliveries began, according to the National Highway Traffic Safety Administration. Some required physical repairs, while others were addressed through software updates.
Automotive analyst Felipe Munoz noted that weak demand was not limited to Tesla's electric pickup, with competing models from Ford and other manufacturers also struggling.
"All of them lost the competition because electric pick ups aren't popular in the US," Munoz said.
Palmer said the Cybertruck's design presented a fundamental regulatory obstacle in some markets.
"Anywhere where you have crash regulation that takes into account pedestrian impact, that Cybertruck won't go, can't go," he said.
Tesla is now placing greater emphasis on the Cybercab, which has butterfly doors but no steering wheel, pedals or mirrors. Musk envisions the vehicle as the foundation of a global autonomous taxi network.
The company began offering paid Cybercab rides in Austin in September, although questions remain over the vehicle's compliance with federal safety standards. The National Highway Traffic Safety Administration opened an audit that month to examine Tesla's self-certification.
"Cybertruck was an incredible technology development platform and lives on through Cybercab," Cybertruck lead engineer Wes Morrill said on X.
However, Cybercab production remains limited. Tesla has listed installed capacity exceeding 125,000 units, while Texas Department of Motor Vehicles figures show that about 570 of the more than 1,200 Tesla robotaxis operating in the state are Cybercabs, with most of the remainder being Model Y vehicles.
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