Tesla reportedly plans to discontinue Cybertruck production following disappointing sales,weak market demand

Tesla plans to gradually stop manufacturing its Cybertruck at its Texas Gigafactory by mid-2027, Chief Executive Elon Musk announced on Friday, following years of disappointing sales for the electric pickup.

Musk said the decision would allow the company to increase production of its newly introduced Cybercab, which is a key part of Tesla's plans to expand its robotaxi services.

The future of Cybertruck manufacturing remains uncertain, as Tesla has not clarified whether production will be shifted to another facility or discontinued altogether. The company's Austin plant is currently the only known site equipped to produce the vehicle's specialised components.

Responding to a user on X, Musk described the Cybertruck as Tesla's best vehicle and called the planned production reduction the “end of an era”.

The electric vehicle maker began delivering Cybertrucks in late 2023. However, sales have fallen considerably short of expectations.

According to Kelley Blue Book, Tesla sold 20,237 units in the US last year, compared with 38,965 in 2024, marking a 48 per cent decline. Musk had earlier projected annual sales of 250,000 vehicles.

Former Aston Martin CEO Andy Palmer said continuing production would be difficult to justify if the model failed to achieve its sales targets.

Meanwhile, Tesla's SpaceX affiliate was among the Cybertruck's major buyers in 2025, purchasing vehicles worth $131 million at list prices, according to its initial public offering (IPO) filing.