Tesla Plans to Cut Cybertruck Production Near Mid-2027 as Sales Decline
Key Facts
The Associated Press reported that Elon Musk announced Cybertruck production at a facility near Austin would "gradually decline" near mid-2027 to make room for increased Cybercab production. The announcement places the truck's production path within a plan to allocate more space at the facility to the other vehicle. The production cut is due to begin about a year after recent estimates showed Cybertruck sales continuing to fall. The Associated Press cited a Kelley Blue Book estimate that sales had declined 28% through the end of September 2026. The deposit-refund announcement mentioned in the news headline could not be verified in a reliable open source specific to November 9.
Kelley Blue Book estimates cited by the Associated Press indicate that Tesla sold 20,237 Cybertrucks in 2025, down nearly half from the previous year. Sales then fell another 28% through the end of September 2026, according to the same estimates. These figures put the planned production cut in the context of declining sales over two consecutive periods. But they do not, on their own, specify the number of existing reservations or how much production the company will allocate to the truck before cutting it. Tesla's official delivery figures also do not break out Cybertruck separately.
Musk had previously forecast annual Cybertruck production of 250,000, according to the Associated Press. But Kelley Blue Book's estimate for 2025 sales was 20,237 trucks, down nearly half from 2024. On pricing, the Associated Press reported that Musk had promised a price below $40,000, while the first trucks sold for more than twice that price. The comparison reflects the gap between the earlier production forecast and estimated sales, as well as between the promised price and the price of the first trucks. These facts do not provide an independent revenue estimate or a specific financial impact from the production cut.
In its third-quarter 2026 data, Tesla reported total deliveries of 486,532 vehicles, compared with production of 464,391 vehicles over the same period. The "other models" category recorded 8,295 deliveries in the quarter, but includes more than one model and does not break out Cybertruck alone. These figures therefore do not show the number of Cybertrucks delivered or allow a direct comparison with annual truck sales estimates. The planned production cut near mid-2027 remains tied to expanding Cybercab production, according to Musk's statement cited by the Associated Press. The statement did not specify a Cybertruck production level before the cuts begin or when production would end.
Tesla's official FAQ page allows Cybertruck reservation holders to cancel at any time before delivery and receive a full refund of the preorder payment. The company says: "Until your truck is delivered, you may cancel your reservation at any time and receive a full refund of your preorder payment." This policy describes the reservation holder's general right to cancel, but does not itself confirm an announcement about cancellations in Australia and New Zealand or refunds for a specific customer group. Against this backdrop, Musk's announcement of a production cut near mid-2027 remains tied to making room for increased Cybercab production at the facility near Austin. The latest sales figures in Kelley Blue Book estimates cover the period through the end of September 2026.