Tesla is facing mounting difficulties with its futuristic Cybertruck, as thousands of unsold units continue to sit idle in storage. The company has sharply reduced production while offering deep discounts of up to $10,000 (approximately £8,050) to offload excess inventory. The sales shortfall is far greater than anticipated, casting doubt over CEO Elon Musk’s bold projections.
When Tesla launched the Cybertruck in late 2023, Musk promised a ramp-up to 250,000 units per year by 2025. However, it is now clear the company is struggling, with sales projected at only around 25,000 units annually — a mere tenth of that goal.
Reports reveal Tesla entered the second quarter of 2025 with over 2,400 Cybertrucks in stock, valued at more than $200 million (about £161 million). Many of these are unsold 2024 models that no longer qualify for the United States federal tax credit, making them even harder to sell. Among them are also discontinued “Foundation Series” trucks that have been sitting unused for up to six months.
To address this, Tesla has introduced steep incentives. While the highest discounts reach $10,000 (£8,050), the average reduction is around $8,000 (£6,440), exceeding the available tax credits. However, despite these markdowns, Tesla has only moved about 100 trucks out of inventory since the start of April.
Further complicating matters, Business Insider reports that Tesla has now scaled down Cybertruck production at its Gigafactory in Texas. Two Tesla employees confirmed that the firm has cut Cybertruck assembly teams and redirected some staff to Model Y production, as the plant operates at a fraction of its original output.
Tesla’s factories across the board are reportedly running at only 60 percent capacity to prevent excessive buildup of inventory amid slowing demand. The company launched a revised Cybertruck model last week to stimulate sales, but it was poorly received by buyers after the removal of key features.
The production slowdown and inventory crisis come just a month after tens of thousands of Cybertrucks were recalled in the United States due to structural body defects.
Cybertruck Production Crisis: At a Glance
Cybertruck Inventory
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Units in stock: 2,400
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Total estimated value: $200 million (£161 million)
Sales Forecast (2025)
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Projected annual sales: 25,000 units
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Original Musk forecast: 250,000 units
Discount Strategy
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Maximum discount per unit: $10,000 (£8,050)
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Average discount: $8,000 (£6,440)
Production Cuts
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Cybertruck team reductions at Gigafactory Texas
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Cybertruck staff reassigned to Model Y assembly
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Factory operation now at 60 percent capacity
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