Tesla plans to wind down Cybertruck production at its Texas Gigafactory around mid-2027, according to the supplied report. CEO Elon Musk said the change would allow the company to expand manufacturing of its Cybercab robotaxi, reflecting a broader shift toward autonomous vehicles and robotics.
The announcement follows sales that fell short of Musk’s original projections. The report, citing Kelley Blue Book, says U.S. Cybertruck sales declined to 20,237 in 2025, down 48 per cent from 38,965 in 2024. Musk had previously forecast annual sales of 250,000 vehicles.
Whether production will move elsewhere or end entirely remains unclear. The Austin factory is described as Tesla’s only known facility equipped to manufacture the model’s specialized components. SpaceX, another Musk company, reportedly purchased $131 million US worth of Cybertrucks in 2025.
First unveiled in 2019, the Cybertruck began customer deliveries in late 2023. Its stainless steel body and angular design distinguished it from conventional pickups but also raised questions about pedestrian safety and access to overseas markets. The report says European pedestrian protection requirements limited its prospects there.
The vehicle has also faced reliability and safety issues. According to the report’s account of National Highway Traffic Safety Administration records, Tesla has issued 11 Cybertruck recalls since deliveries began. Remedies included physical repairs and remote software updates.
Analysts quoted in the report offered both company-specific and industry-wide explanations. Former Aston Martin CEO Andy Palmer said continued production was difficult to justify given missed targets. Automotive analyst Felipe Munoz noted that competing electric pickups had also struggled to attract U.S. buyers.
The announcement also coincided with reported market losses across Musk’s companies and electoral defeats for many candidates he supported. Meanwhile, Tesla’s increased emphasis on autonomy comes as Chinese manufacturers gain ground in electric vehicles, and the Cybercab’s commercial viability remains unproven, the report says.