Tesla's Cybertruck Faces Steep Decline As Rivals Pull Ahead

Tesla is facing major demand challenges, especially for its industry-disrupting Cybertruck.

According to data from Cox Automotive, Tesla’s Cybertruck sold just 4,306 units in the U.S. during the second quarter of this year, marking its third consecutive quarterly decline and its worst performance in a year. Cybertruck sales fell 32% quarter-over-quarter and 51% year-over-year.  

The Cybertruck was unveiled as a prototype in 2019 and entered production in late 2023. Tesla CEO Elon Musk once ambitiously projected annual deliveries of up to 250,000 units, but that target has never been met.  

High prices and persistent manufacturing quality issues have prevented the Cybertruck from gaining broader demand. Statistics show that only 39,000 units were delivered in the U.S. last year.  

Cox’s data also revealed that the Ford F-150 Lightning retained its title as the best-selling electric pickup truck in the U.S. in Q2, with 5,842 units sold, though it saw a sequential decline. Following closely behind was General Motors’ Hummer EV SUV and pickup combo, which sold 4,508 units—a significant increase from 3,479 units in the previous quarter.  

Cox Automotive noted that fierce competition in the EV market has not provided any demand relief for the struggling Tesla. Stephanie Valdez Streaty, a senior analyst at Cox, added that the second half of this year will be a critical test for EV demand, with Q3 sales likely setting a record before a potential crash in Q4.  

In September, the U.S. federal government will eliminate tax credits for EV purchases, which is expected to push hesitant buyers into the market before the incentive expires.  

However, whether this will boost Cybertruck sales remains uncertain. The vehicle has already been recalled eight times in 2024, and federal safety regulators have opened two official investigations into the model.  

The most recent recall has been particularly damaging to the Cybertruck’s reputation. Customers reported that the truck’s stainless-steel exterior panels were coming loose due to failing adhesive. Additionally, critics have raised concerns that Tesla’s use of less durable aluminum castings—instead of traditional steel frames—could lead to structural failures when towing heavy loads.