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5mo ago

Tesla Halts Cybertruck Production for Three Days, Raising Concerns Over Demand

Workers at Tesla's Austin factory were told not to report to work, as questions arise about slowing sales and production challenges.

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A battery issue caused the Cybertruck line to get "backed up" over the past week, one factory worker told Business Insider.
Going nowhere? Cybertrucks in transit, Austin, November 2024.

Overview

  • Tesla issued a three-day work stoppage for Cybertruck assembly line employees, with workers still receiving pay for the missed shifts.
  • The company has not disclosed the reason for the halt, but reports suggest potential demand issues and production imbalances, including battery supply constraints.
  • Cybertruck sales, while initially strong, appear to be slowing, with Tesla reportedly working through its reservation backlog faster than anticipated.
  • The Cybertruck has faced six recalls in 2024, including issues with the drive inverter and structural flaws, which may have impacted consumer confidence.
  • Tesla's production schedules for the Cybertruck have been inconsistent since late October, with workers citing reduced hours and fewer overtime opportunities.