Tesla to halt Cybertruck production to make way for robotaxi

It remains unclear whether the Cybertruck will continue to be manufactured at another facility or be discontinued entirely. Tesla has not yet responded to requests for comment.

The decision comes shortly after the Democratic party secured a victory in the previously Republican-leaning U.S. state of Texas.

Tesla initially positioned the futuristic Cybertruck as a competitor to popular pickup trucks from Ford and General Motors (GM). However, the vehicle has struggled to gain traction, partly due to its controversial design. The company has also faced quality issues and has had to issue multiple vehicle recalls.

The Cybertruck’s troubled history began with its unveiling in 2019, when chief designer Franz von Holzhausen’s demonstration of the vehicle’s “robust” armored glass resulted in the windows shattering. Musk later attributed the incident to prior strikes with a hammer on the driver’s door.

More recently, nearly 4,000 Cybertrucks were recalled in 2024 due to a potential accelerator pedal malfunction caused by the unauthorized use of soap as a lubricant during assembly. Approximately 11,700 vehicles were subsequently recalled for a faulty windshield wiper issue, and around 46,000 were recalled due to reports of body panels detaching. Other issues included overly bright headlights and a delayed rear-view camera.

The Cybertruck costs between $60,000 and $100,000 in the United States and has recently faced declining demand. The vehicle is not officially approved for sale in Germany.

The Cybercab is a key element of Musk’s plans to transform Tesla into a manufacturer of robots and autonomous vehicles. The two-seater Cybercab features gull-wing doors and lacks a steering wheel or accelerator pedal. Initial Cybercabs are already operating in Austin, Texas.