Tesla Faces Inventory Crisis: Over 10,000 Unsold Cybertrucks Piling Up

Tesla is reportedly sitting on more than 10,000 unsold Cybertrucks across lots in the United States, sparking serious concern among analysts about demand for its flagship electric pickup. This inventory glut — reportedly worth around $800 million — is a stark contrast to the company’s ambitious production goals.

In early 2025, Tesla sold only about 6,400 Cybertrucks, a number far below the company’s original targets. Even the introduction of a lower‑priced rear-wheel drive model failed to sufficiently boost demand.

Production Cutbacks and Shifting Priorities

Facing the growing inventory and weak sales, Tesla has begun scaling back Cybertruck production. Reports indicate that some staff at the Texas Gigafactory have been reassigned from the Cybertruck line to help build the more reliable and in-demand Model Y. The company’s decision to throttle production reflects not only the mounting inventory but also its shifting strategic focus.

Why Aren’t People Buying the Cybertruck?

Analysts point to several factors behind the weak demand:

• Unconventional Design: The Cybertruck’s bold, angular stainless-steel body was expected to be a major draw. Instead, its polarizing design appears to have put off some traditional pickup buyers.

• Quality Issues and Recalls: The truck has faced multiple recalls, including issues with panel alignment, falling body trim, and structural flaws.

• Aggressive Discounts: In a bid to move inventory, Tesla has offered steep price cuts — up to $10,000 off certain models.

• Resale Worries: Resale values for Cybertrucks have reportedly dropped significantly, which harms both new and used demand.

• Brand and Leadership Concerns: Broader concerns about Tesla’s leadership and public image appear to be contributing to the slowdown.

Financial Impact and Risk

The mounting stockpile represents a serious financial burden for Tesla. Estimating an average sales price per Cybertruck, the floating inventory could be tying up nearly $800 million in capital. If production were halted, this could represent several months’ worth of unsold vehicles.

Production capacity is another concern. Tesla’s own reports suggest that Cybertruck manufacturing capacity could be as high as 125,000 units annually, but current output is far below that — suggesting underutilization and inefficiencies.

Market Implications and Future Outlook

Tesla’s mounting inventory could force a broader rethink of its pricing and marketing strategy for the Cybertruck. Analysts suggest that unless demand recovers — or Tesla offers even deeper incentives — the company may struggle to clear its backlog without taking a hit on margin.

On the other hand, shifting resources back to the Model Y, which remains a cornerstone of Tesla's business, could help stabilize revenue but may signal lower long-term confidence in the pickup. The Cybertruck’s future now hinges on whether Tesla can reignite consumer interest or manage the current surplus without excessive financial strain.