Tesla to wind down Cybertruck production in Texas after weak sales

Tesla is making room for its robotaxi at the Texas factory that builds the Cybertruck. The company plans to wind down pickup production there around mid-2027 and increase Cybercab output, CEO Elon Musk said Friday.

The decision follows a steep drop in Cybertruck sales. Before Tesla began deliveries in late 2023, Musk predicted it could sell 250,000 of the stainless-steel pickups a year. U.S. sales came to about 59,200 across its first two full calendar years on the market, falling from nearly 39,000 in 2024 to just over 20,000 in 2025.

Sales fell another 28% in the first nine months of 2026, to an estimated 11,586 trucks. Musk left open whether Tesla would move Cybertruck production to another plant or retire the model altogether.

The factory shift puts more capacity behind Tesla’s robotaxi business. Musk sees the Cybercab, a two-seater built without a steering wheel or pedals, as the main vehicle in that network. Tesla began offering paid rides in a small fleet of Cybercabs in Austin in September.