Reports have emerged that Tesla is reducing production of the Cybertruck. The Cybertruck generated significant interest at launch, but with Tesla owner risk escalating into a recall situation, both new and used vehicle transactions have stagnated.
On the 16th (local time), Business Insider reported, citing multiple Tesla employees, that Tesla has substantially downgraded the production targets of several production lines over the past few months, with extremely few production lines currently operational. Since January, the production workforce at the Texas Gigafactory has also been reassigned from the Cybertruck production line to the Model Y production line.
According to the previous BI report, Tesla has intermittently suspended Cybertruck production since October of last year. In December of last year, it is known that Tesla changed the Cybertruck production schedule and conducted a preference job survey for its workers to rearrange the production workforce.
The main reason for the reduction in Cybertruck production is sluggish sales. Market research firm Cox Automotive estimates that Cybertruck sales in the first quarter of 2025 will be 6,406 units, about half of the previous quarter. Elon Musk, Tesla's Chief Executive Officer (CEO), stated that there were more than 1 million pre-orders before the Cybertruck's launch, but the actual number delivered to date is less than 50,000.
Tesla introduced the Cybertruck as its ambitious project in 2019, but struggles have continued. An incident occurred during the initial demonstration where the 'unbreakable glass' broke, and recently, there have been incidents of exterior panels falling off while driving, resulting in recalls. Additionally, consumer backlash against Musk's political activities is increasing, leading to a boycott of Tesla.
As a result, not only new vehicle transactions but also transactions in the used market are in a state of stagnation. According to The Economic Times, the used transaction price of the Cybertruck has decreased by 55% over the past year, and it is reported to have fallen by more than 10% this year.
As Musk announced plans last month at a White House press conference to double vehicle production in the U.S. over the next two years, Tesla is currently under extensive pressure. Competitors are rapidly launching new models, and consumers denouncing Musk have been protesting outside dealerships, causing Tesla's stock price to fall by about 40% compared to the beginning of the year. Last month, allegations of accounting fraud also emerged. At that time, the Financial Times warned that this could indicate a risk signal reflecting Tesla's weak internal controls.