Tesla, long hailed as the unrivaled leader in the electric vehicle (EV) industry, is taking a short but significant breather at its Austin, Texas Gigafactory. The company has announced a temporary halt in production of its Model Y and Cybertruck vehicles, set to begin on June 30. But unlike what skeptics might assume, this pause isn’t due to sluggish sales or internal crises—it’s all about upgrades and efficiency.

According to a report shared with plant employees and later confirmed by multiple sources, the production break will last about a week. The goal? Routine maintenance and enhancements to production lines that will support higher output in the months ahead. While such pauses are commonplace across the automotive sector, the news was enough to jolt investors, with Tesla’s stock dipping nearly 4% following the announcement.

The Model Y, Tesla’s best-selling crossover, recently received a refresh, and signs point towards a potential spike in demand. This makes the upcoming production improvements timely, as Tesla positions itself to ramp up volume and meet consumer interest.

However, the story surrounding the Cybertruck is more complicated. Once hyped as a revolutionary entry into the EV pickup market, the Cybertruck’s rollout has been far from smooth. Production targets were significantly lowered earlier this year, and the Texas facility’s Cybertruck line is currently operating well below full capacity. Despite bold predictions from CEO Elon Musk—who once claimed Tesla could produce up to half a million Cybertrucks annually—only about 46,000 units have been built and sold since the vehicle’s debut in early 2024.

This gap between vision and reality has cast a shadow over the Cybertruck’s trajectory. While Tesla has not officially scaled back its ambitions, the reduced targets and sluggish output suggest the company may be tempering expectations behind the scenes.

For now, Tesla appears focused on refining its operations and preparing for what could be a critical second half of the year. Whether the Cybertruck will eventually find its footing remains to be seen, but the Model Y’s continued momentum may give the company the boost it needs to maintain its edge in an increasingly competitive EV landscape.

Source: Business Insider

Tesla has been in free fall for several months, and as a result, production of the Cybertruck and Model Y at its Texas factory has been temporarily halted. The news comes from employees who were given the option of taking seven days off or being assigned to cleaning and training duties.

The Model Y is the company’s best-selling car, and one of the best-selling cars in the world, but the new information could have a major impact on sales of the car. Production breaks are nothing new, but this time it’s a longer-than-usual break. Last year, workers on the Cybertruck assembly line were told to stay home for a few days, even though the Cybertruck outsold all other electric pickup trucks in the US. It’s clear that demand for the vehicle has waned after its initial boom.

Since its launch, Tesla has had high expectations for the Cybertruck, with the company saying it has received over 2 million reservations. The plan was to produce a quarter of a million units annually, but sales haven’t been on track. In 2024, Tesla sold just 38,965 Cybertruck units, while in Q1 this year it sold 6,406 units, which is significantly less than in the third and fourth quarters of 2024, when sales were twice as high.

The Cybertruck has been the target of attacks in recent months, and in several cases, customers have reported problems with the car. In February 2024, one owner reported corrosion on the stainless steel body. Of course, a stainless steel body will show imperfections over time, and Tesla also states in the Cybertruck user manual that steel panels are susceptible to corrosive substances when not washed regularly. However, the customer claimed that the corrosion occurred several days after he bought the car. Another owner said that he bought the Cybertruck on February 1st and that the corrosion appeared after 11 days and 613 kilometers. He contacted his service advisor but was told that Tesla had a procedure to fix the problem, but that the facility did not have the tools and had not previously performed repairs of this type.

In March 2025, Tesla recalled 46,000 Cybertrucks due to body parts falling off. The recall covered cars manufactured between November 13, 2023 and February 27, 2024, and the company believed that only 1% of these cars had the problem.

During the last year, Tesla recorded a drop in deliveries on the global market by 13 percent, which is the worst result in the last two years. In the United States, sales fell by 5.6 percent, while the overall auto industry saw sales grow by 7.3 percent.

Source: Reuters