Tesla to halt Cybertruck production in Texas by mid‑2027

Tesla stops Cybertruck production in Texas

On Friday, Elon Musk announced on X that Tesla will wind down production of its stainless‑steel Cybertruck at the Gigafactory in Austin, Texas, around the middle of next year. The decision is intended to create space for increased manufacturing of the company’s Cybercab robotaxi. The announcement came after a period of disappointing sales and a series of quality issues that led to multiple voluntary recalls. Musk said the move would allow the company to focus on the robotaxi, which he has described as a crucial product for Tesla’s future.

Background

The Cybertruck was unveiled in 2019 with a futuristic, angular design that attracted both praise and ridicule. Musk claimed the vehicle could tow 14,000 pounds and withstand impacts from sledgehammers and firearms. Production began in late 2023, and the truck initially sold for $60,990. Sales figures have been underwhelming. According to Kelley Blue Book, only 20,237 Cybertrucks were sold in 2025, down from 38,965 the year before. Analysts such as Dan Ives of Yorkville Ives & Co have noted that the high price and poor demand made the vehicle’s future uncertain. The Cybertruck has also faced quality problems and several recalls, and it has been a target of vandalism and ridicule in the public sphere. Despite this, the vehicle has maintained a niche following and has been used as a platform for technological development.

Why it matters

The halt of Cybertruck production will affect a range of stakeholders. Customers who have purchased the vehicle will need to rely on Tesla for spare parts and service support, as the lead engineer for the truck, Wes Morrill, confirmed that support would continue. The decision also signals a shift in Tesla’s production strategy, prioritising autonomous vehicle technology over traditional pickup trucks. For the Texas gigafactory, the change means reallocating resources to the Cybercab, a two‑seat robotaxi that Musk has touted as a key product for the company’s future. The move may also influence investor sentiment, as the company’s sales forecasts for the Cybertruck had previously projected 250,000 units annually.

What happens next

Musk did not specify whether the Cybertruck would be produced at another facility. He replied to a user who called the update an “end of an era” by saying the truck would remain in the fleet for a long time. The company has not yet announced any new dates or plans for alternative production sites. The announcement has elicited mixed reactions online, with some fans expressing disappointment and others mocking the decision. Company engineers have supported Musk's assertion that the Cybertruck fleet will remain in service for an extended period. The focus will now be on ramping up Cybercab production, which Musk believes will play a crucial role in Tesla’s transition to a robotaxi‑centric model.