Tesla to end Cybertruck production by mid-2027 due to weak demand

Tesla CEO Elon Musk announced that the company plans to phase out the production of Cybertruck pickups at its Gigafactory Texas plant by approximately mid-2027. This decision follows years of weak sales for the futuristic model, which was originally positioned as a competitor to traditional pickup trucks. Musk described the vehicle as the best car Tesla has ever created and termed its discontinuation as the "end of an era."

• Production will be halted around mid-2027 to scale up manufacturing of the Cybercab.
• Sales dropped to 20,237 units last year, marking a 48% decline compared to the previous year.
• The vehicle has been recalled 11 times since deliveries began in late 2023.
• The angular stainless-steel exterior prevented sales in Europe due to pedestrian safety regulations.

Sales Decline and Market Reality Customer deliveries of the futuristic pickup began in late 2023, but demand quickly fell short of expectations. According to Kelley Blue Book, the company sold 20,237 units in the US last year, down 48% from 38,965 units sold previously. When production first launched, Musk had projected annual sales of 250,000 vehicles. Additionally, SpaceX purchased $131 million worth of Cybertrucks in 2025, acting as one of the primary corporate buyers.

Design Challenges and European Restrictions Since its 2019 unveiling, the vehicle faced numerous controversies, famously highlighted by the shattered window demonstration during its debut. Automotive analysts noted that electric pickups generally suffered from weak popularity in the US market. Furthermore, the unconventional angular stainless-steel design made it impossible to secure sales approval in Europe due to strict pedestrian collision safety regulations.

Strategic Shift to Cybercab Robotaxis Halting the pickup production will allow Tesla to redirect resources toward scaling the Cybercab, a steering-wheel-free autonomous vehicle designed for its upcoming robotaxi fleet. Although a paid ride service using Cybercab recently launched in Austin, federal safety regulators have initiated inquiries regarding the self-certification process, and current small-scale production is not yet sufficient to offset the loss of the Cybertruck volumes.