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Tesla is preparing to reshape its manufacturing operations in Texas by gradually cutting Cybertruck output and redirecting production capacity toward its Cybercab autonomous taxi program.

CEO Elon Musk announced that Cybertruck manufacturing at the company's large Texas facility is expected to be phased out by mid-2027, allowing the site to accommodate Tesla's growing ambitions in autonomous mobility.

In a post shared on X, Musk indicated that the facility's manufacturing resources would be reassigned to support the company's expansion plans for self-driving vehicles.

Weak Cybertruck Demand Prompts Strategic Shift

The planned production adjustment comes after Cybertruck sales fell considerably short of Tesla's earlier expectations.

The company sold around 20,237 units in the United States in 2025, compared with approximately 38,965 vehicles in 2024, representing a 48% year-over-year decline.

Musk had previously projected annual Cybertruck sales of up to 250,000 units. However, the pickup has encountered weaker demand, multiple recalls, quality-related concerns, and pricing challenges.

Uncertainty Surrounds the Future of Cybertruck Manufacturing

Tesla has yet to announce whether Cybertruck production will be relocated to another manufacturing site or brought to a complete end.

The planned changes highlight a broader shift in the automaker's priorities, as it increasingly directs resources toward autonomous driving systems and next-generation transportation solutions.

Cybercab Supports Tesla's AI and Robotics Ambitions

The Cybercab is emerging as a central project in Tesla's strategy to expand beyond traditional electric vehicle manufacturing and strengthen its position in artificial intelligence, robotics, and self-driving transportation.

Repurposing the Texas facility is expected to provide additional manufacturing capacity for the company's autonomous mobility ambitions, particularly its plans to develop the robotaxi business.