Tesla to refund Cybertruck deposits as demand exceeds production

Tesla will have to refund Cybertruck deposits for many customers as orders far exceed production capacity, CEO Elon Musk said, following last week’s announcement that the electric vehicle maker is winding down the pickup truck’s production at its Texas factory.

“We will try to make as many as possible before shutting down the line in about 8 months but will have to return deposits for a lot of people,” the billionaire said in a post on X on Monday.

The comments come after Musk said Tesla would add an extra production shift to fulfil outstanding Cybertruck orders before dismantling the production line next year to expand output of its Cybercab robotaxi.

The production wind-down is slated for mid-2027, Musk announced on Friday, with the resources being redirected to the Cybercab, a vehicle central to the automaker’s autonomous-driving ambitions.

Tesla began delivering the Cybertruck in late 2023, but demand has fallen far short of Musk’s expectations. US sales fell 48% to 20,237 units last year, according to Kelley Blue Book, well below Musk’s earlier projection that annual Cybertruck sales could reach 250,000 vehicles.