- Tesla has been struggling with sales, but that’s not the reason why production will be paused.
- Elon Musk once said his company could build as many as 500,000 Cybertrucks every year.
- An internal memo says the halt will allow for improvements that could boost production.
Tesla has long been the undisputed king of electric vehicles, but even titans eventually face competition. With a controversial CEO in the mix, it’s not exactly shocking to hear that the company is gearing up to pause production of both the Model Y and Cybertruck at its Texas factory. But before you jump to conclusions about poor sales, there’s actually a different reason behind this production halt.
A new report has revealed that Tesla recently informed workers at its Austin, Texas plant that production will be halted on June 30, before resuming the week after. The pause will allow the company to perform maintenance on production lines and make improvements to enable increased production.
Read: Tesla Wants All Of You To Sell Its Cars For Free
As Business Insider points out, temporarily halting production for upgrades is pretty standard practice across the automotive industry. While this move isn’t earth-shattering, it did rattle the market enough to knock Tesla’s stock down by nearly 4%.
Why Tesla Wants to Ramp Up, But Maybe Not for the Cybertruck
The Model Y, which was recently updated, might see an uptick in sales soon, which is likely why Tesla wants to ensure it’s ready to ramp up production. But the Cybertruck? Well, let’s just say Tesla’s ambitions for the electric pickup truck seem to have cooled off – a lot. Earlier this year, the company lowered its manufacturing targets for the Cybertruck, and current production lines are barely running at full capacity.
Musk had famously predicted Tesla could churn out as many as 250,000 to 500,000 Cybertrucks annually, but reality is proving much less ambitious. As of March, only about 46,000 Cybertrucks had been built and sold, despite the pickup’s promising debut earlier in 2024. So while Tesla may be gearing up for a production boost in some areas, the Cybertruck’s road to mass production is still a questionable one. At least for now.
