Tesla Cybertruck production is set to end by mid-2027, despite the electric pickup reportedly having more outstanding orders than the company can fulfill. Elon Musk says Tesla will attempt to build as many Cybertrucks as possible before shutting down the production line, but many customers may receive refunds on their deposits as the company shifts its focus towards the Cybercab robotaxi.

Tesla is preparing to pull the plug on Cybertruck production, bringing an unexpectedly early end to one of the most controversial electric vehicles in recent automotive history. However, the decision comes with an unusual twist: according to CEO Elon Musk, the company has more Cybertruck orders than it will be able to fulfill before production ends.

In a post on X, Musk confirmed that Tesla intends to maximize Cybertruck output over the coming months but acknowledged that some customers will ultimately have their reservations and deposits returned.

“We will try to produce as many vehicles as possible before the line shuts down in about eight months, but we will have to return deposits to many people,” Musk wrote.

The announcement suggests that Tesla is prepared to walk away from outstanding Cybertruck demand rather than extend the production life of its electric pickup. More importantly, it highlights a significant change in the company’s priorities as it increasingly directs resources towards autonomous mobility.

Tesla chooses Cybercab over Cybertruck production

Musk has emphasized that the decision to discontinue the Cybertruck is not primarily driven by profitability concerns. Instead, Tesla believes that allocating factory capacity and manufacturing resources to its upcoming Cybercab robotaxi represents a more valuable long-term opportunity.

The company plans to gradually phase out Cybertruck production at its Gigafactory Texas facility, with the manufacturing line expected to shut down by mid-2027.

The freed-up factory space will be used to support production of the Cybercab, a radically different vehicle designed specifically for autonomous transportation. Unlike conventional cars, the two-seat Cybercab is intended to operate without a steering wheel or pedals, reflecting Tesla’s broader ambition to build a large-scale robotaxi network.

From a manufacturing perspective, the transition also makes strategic sense for Tesla. The Cybertruck’s unconventional construction, distinctive stainless-steel body and complex manufacturing requirements have made it a particularly challenging vehicle to produce. Redirecting factory capacity towards a vehicle that Musk considers central to Tesla’s future could therefore be more attractive than continuing to invest in the electric pickup.

Nevertheless, abandoning a vehicle with outstanding customer orders is an unusual decision, particularly for a manufacturer that spent years building anticipation around its launch.

Cybertruck: From ambitious promises to disappointing sales

Unveiled in November 2019, the Tesla Cybertruck immediately attracted attention with its angular stainless-steel exterior, unconventional proportions and ambitious performance claims. Musk positioned it as a revolutionary alternative to traditional American pickup trucks, promising to challenge established competitors with an all-electric platform.

However, the road from unveiling to customer deliveries proved considerably longer than initially expected. Tesla originally planned to begin deliveries in 2021, but the first customer vehicles did not arrive until late 2023.

Musk had previously suggested that Tesla could eventually sell as many as 250,000 Cybertrucks annually. That target now appears increasingly distant.

According to estimates cited by Motor1, approximately 71,000 Cybertrucks have been sold since deliveries began. Tesla does not publish separate official sales figures for the model, making it difficult to establish its exact commercial performance.

The difference between Musk’s original ambitions and the estimated number of vehicles delivered illustrates the difficulties Tesla has encountered in turning the Cybertruck into a high-volume product.

Although the pickup generated enormous attention and attracted substantial reservation interest, that initial enthusiasm has not translated into the sales volumes originally envisioned.

The $40,000 Cybertruck never happened

Another important factor in the Cybertruck’s story is pricing. When Tesla unveiled the pickup in 2019, Musk indicated that the entry-level version would start at approximately $40,000.

That affordable configuration never made it into production.

Instead, the cheapest Cybertruck currently costs more than $80,000, placing it considerably above the original promised starting price. The gap between the initial price expectations and the eventual market offering may have limited its appeal to customers who had originally been attracted by the prospect of an affordable electric pickup.

This is particularly significant in the highly competitive American pickup market, where buyers often place considerable importance on purchase price, practicality, towing capability and long-term ownership costs.

Tesla’s pricing strategy, combined with production delays and the vehicle’s unconventional design, has undoubtedly shaped the Cybertruck’s commercial trajectory.

What happens next for Tesla?

The Cybertruck’s planned departure represents more than the end of an unusual electric pickup. It signals a potentially fundamental shift in Tesla’s business strategy.

Rather than expanding its conventional electric vehicle lineup, the company is increasingly betting on autonomous driving technology, robotaxis and a future in which transportation services could become a major source of revenue.

The Cybercab sits at the center of that vision. However, replacing an established vehicle production program with an entirely new autonomous transportation concept carries significant technological, regulatory and commercial challenges.

For customers still waiting for their Cybertruck, the implications are much more immediate. Despite the outstanding reservations, Tesla intends to prioritize the Cybercab, meaning some prospective buyers could receive their deposits back without ever taking delivery of the pickup they originally ordered.

The Cybertruck began its journey as one of the most ambitious automotive projects of the modern electric vehicle era. Its planned production shutdown in 2027, before Tesla has fulfilled all reported orders, could ultimately make it one of the most unusual chapters in the company’s history.

Source: Automotive News; Photo: Reuters