Tesla schedules end of Cybertruck production

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Tesla’s decision to end Cybertruck production in 2027 reflects weak US electric vehicle demand and the company’s shift to being a robotics company.  Disappointing demand for electric vehicles generally has included weak demand for full-size EV trucks. Though Tesla joins Ford in canceling a full-size BEV truck, automakers are  not abandoning electric pickups altogether, however. Over the next several years, automakers are  looking to smaller trucks and range-extended models to attract buyers.

Tesla shift to autonomous vehicles drives decision to end slow-selling Cybertruck

Tesla CEO Elon Musk said that Tesla is winding down production of the Cybertruck in 2027. On the social media platform X, the CEO posted: “Tesla will be winding down production of the Cybertruck at Gigafactory Texas around the middle of next year to make room for increased Cybercab production.” The CEO called this the “end of an era.”

The Cybertruck never lived up to Tesla’s early ambitions. Musk once projected annual sales of 250,000 units but, according to Mobility Global US light-vehicle data, registrations totaled just 80,136 units between the model’s 2023 launch and September 2026. Tesla does not disclose sales or production figures by model or country.

Musk said the decision was taken to free up capacity at Tesla’s Texas Gigafactory for increased Cybercab production, reflecting the company’s shift in priorities toward autonomous vehicles. The company has not changed its broader ambitions for growth, with Musk projecting annual manufacturing capacity of 5 million vehicles by 2030, compared with 2.5 million today.

Despite the Cybertruck’s disappointing performance, Musk maintains that demand exceeds production and that the decision to discontinue the model is not driven by profitability concerns. Calling the move the “end of an era,” he acknowledged that Tesla would need to refund deposits to “many” reservation holders. The company has not disclosed how many Cybertrucks it expects to produce before production ends.

Despite initial enthusiastic response, full-size BEV pickup trucks did not take off

Overall, US buyers have been slow to embrace full-size BEV pickup trucks, despite their willingness to pay premium prices for trucks that meet their performance needs.

The Cybertruck 2019 was revealed to high hopes and early enthusiasm. However,  it did not go on sale until 2023. That delay slowed momentum for the Cybertruck, and allowed Ford, Chevrolet, GMC and Rivian BEV full-size trucks to reach consumers first.

While the Cybertruck never reached Tesla’s sales ambitions, competitive BEV full-size trucks from Ford and GM have also missed their respective company expectations for demand. Ford and GM also initially saw strong interest in their BEV trucks, prompting investment into significant capacity expansions. As demand fell short of expectations and US policies regarding BEVs shifted, however, both automakers revised their strategies.

Ford was first to drop its BEV pickup, cancelling the F-150 Lightning in December 2025 and adjusting plans for the next generation from a BEV to a range-extended electric vehicle (REX).

GM, meanwhile, remains committed to its full-size BEV trucks but has scaled back production. The company abandoned plans to convert a second Michigan plant to BEV full-size truck production in 2025, opting instead to build internal combustion engine (ICE) and electrified trucks there beginning in 2027. GM also plans to include full-size trucks and the Cadillac Escalade IQ in its next-generation BEV program, though those models remain several years away.

Ram introduced a BEV truck but canceled it before any were delivered. The Ram program had also included a range-extended BEV (REX). However, production of the REX has been pushed back several times and, as of early November 2026, the truck is not yet on sale.

Rivian has maintained its electric pickup production plans. Although the Rivian R1T is categorized as a full-size truck in US light-vehicle registration data, it is smaller than its competitors. As a BEV-only manufacturer, Rivian has no option to integrate ICE vehicles into its lineup.

Why automakers bet on full-size electric pickups

Automakers initially targeted full-size pickups for electrification because of the segment’s high prices and profit margins. With BEVs generally less profitable than their ICE counterparts, manufacturers hoped that introducing electric models in a traditionally high-margin segment would help offset the costs of electrification.

The full-size pickup truck segment was also attractive to automakers because the trucks could demonstrate to US buyers that BEVs are robust enough to meet more demanding consumer needs, potentially building buyer confidence in electric vehicles across other segments. Based on the lower-than-expected registrations, however, truck buyers have not been convinced that BEVs are the right solution.

The failure of electric pickups to deliver anticipated sales has had financial repercussions for automakers. Low BEV truck registrations and the resulting changes in capacity investments were significant factors in Ford and GM’s write-downs. Although Tesla has also fallen short of its sales ambitions, it has not taken comparable write-downs from canceled or delayed programs.

Smaller electric pickups and range-extended models offer a path forward

Despite these setbacks, automakers are not giving up on BEV trucks in the US. Instead, most new models planned through 2030 will target smaller truck segments, and several from brands which do not offer a pickup today. Along with the Ford Fathom and Slate Truck, Hyundai and Kia aim to add mid-size BEV trucks, while VW’s Scout brand is in the full-size space as well.

This shift is projected to increase the number of BEV trucks available for sale in the US market. US production of BEV trucks reached 123,600 units in 2024 and is forecast to fall to about 41,000 units in 2026, partly reflecting the end of Ford’s BEV truck production this year. By 2032, however, Mobility Global forecasts the introduction of these new trucks will raise production to around 157,000 units.

According to the October 2026 light-vehicle sales forecast, total pickup sales in the US will reach about 3.26 million units. Even so, BEV truck sales are unlikely to capture more than 5% of total US truck sales, even with the new players on board. To broaden their appeal, Ram, Hyundai, Kia and Scout are offering both range-extended electric vehicles and BEVs.

The next phase of electric pickup development

The next generation of electric pickups will test whether smaller models and range-extended options can succeed where full-size BEV trucks have not. Truck buyers are also traditionally highly brand loyal. The new BEV and REX trucks coming from Hyundai, Kia and Scout will also have to prove their credibility in the truck segment as well as generate interest in the electrified propulsion system.