Tesla to pull the plug on Cybertruck after years of poor sales

Tesla plans to wind down Cybertruck production at its Texas factory around mid-2027, according to CEO Elon Musk, freeing capacity to build more Cybercabs for the company’s robotaxi ambitions. It remains unclear whether production will move elsewhere or end completely; Austin is the only known Tesla site equipped to make the truck’s specialized parts. The decision follows sales far below Musk’s original expectations: Tesla sold 20,237 Cybertrucks in the United States in 2025, a 48% drop from 38,965 the year before, despite an initial annual target of 250,000. An auto-industry veteran described continued production as commercially irrational.

The truck’s prospects were constrained by more than weak demand. Its angular stainless-steel design drew criticism, while repeated recalls, quality issues and price changes further weighed on the model. Its size and sharp surfaces also created obstacles to approval in Europe, where pedestrian-impact regulations are stricter. Analysts note that electric pickups from other manufacturers have likewise struggled in the United States, suggesting a broader lack of appetite for the category. Musk has called the Cybertruck Tesla’s best vehicle and a major technological achievement, but the company is now prioritizing the Cybercab, a driverless vehicle without a steering wheel or pedals. Tesla has begun paid rides with a small Cybercab fleet in Austin, though regulators are still seeking information about its compliance with federal safety standards.