The flashy bet on the Cybertruck is becoming an uphill battle for Tesla. Sales of the vehicle, which was launched with great expectations less than two years ago, are far behind expectations, and to spur sales, Tesla has cut prices and introduced never-before-seen incentives. As unsold cybertrucks accumulate in some unusual places, including abandoned shopping malls, the electric vehicle giant seems to be struggling with consumer disinterest and logistics issues.
Tesla has announced a price reduction of up to $10,000 on the Cybertruck in an attempt to clear an inventory of unsold vehicles that is increasing. The action is taken when fewer than 50,000 trucks have been delivered since its premiere, which is way lower than the initial estimation of the company (250,000 units annually). This is despite the fact that only 6,000 Cybertrucks were sold in the first quarter of 2025 alone.
Tesla is likewise offering 0% interest financing through the end of June, especially on customers who add the $8,000 Full Self-Driving (FSD) package to their purchase, in an attempt to generate some demand. Although interest-free financing has previously been available on the Model 3 and Model Y, this is currently the most significant incentive to date in an attempt to shift the struggling Cybertruck.
Inventory Woes: Thousands of Units Unsold
The number of idle, unsold Cybertrucks is estimated at 10,000 vehicles, of which more than 3,700 have been located in the U.S., and that is over $300 million in potential inventory. Tesla has reacted by reducing the production of the Cybertruck and transferring employees to the more profitable Model Y lines.
Tesla initially projected to build as many as 250,000 Cybertrucks each year at its Texas Gigafactory, and later, Elon Musk proposed ramping up production to 500,000 trucks per year. Those dreams have, however, shattered against lukewarm consumer interest, product range constraints, and higher-than-advertised prices.
Tesla has to (possibly illegally) store Cybertrucks at this random strip mall parking lot because nobody wants to buy them pic.twitter.com/QYkeLD5W5b
— Midwest Modern (@JoshLipnik) June 6, 2025
Cybertrucks Parked at Abandoned Mall
In addition to financial concerns, Tesla is now facing zoning violations in Michigan. Over 100 Cybertrucks were found parked at the defunct Hunter’s Square shopping center in Farmington Hills, located adjacent to a Tesla service center in West Bloomfield. The city has since raised concerns about the use of the site for vehicle storage, which is prohibited under local zoning laws.
City officials have contacted the property managers, initiating an enforcement process. While Tesla employees claim the location is used for customer deliveries, residents and local authorities remain skeptical, particularly given the scale of the accumulation.
Mounting Recalls and Damaged Reputation
To make matters worse, there are also quality issues related to Cybertruck. Eight recalls have been issued on the vehicle to date, with one of the recalls involving close to all the units sold. In the meantime, the backlash against CEO Elon Musk regarding his political positions is potentially driving another soldier in sales, regardless of the current recovery of the Tesla stock.
A good number of the early adopters have likewise been disappointed with the final product, which is more costly and has a weaker range than what was promised initially. In 2019, when the Cybertruck was unveiled, Tesla boasted of over one million reservations. The production variant that came in 2023, however, came with a much higher price and a not-so-impressive spec sheet, causing many to cancel their orders.
