Tesla to Halt Model Y and Cybertruck Production Over Week of July 4

Tesla is planning to shut down Model Y and Cybertruck production at Giga Texas in the week of July 4, according to a recent report published by Business Insider. 

The shutdown should enable Tesla to maintain and potentially ramp up production at Giga Texas, as the company prepares for a robotaxi launch in Austin this month.

Production Pause and Operational Strategy

Citing people reportedly familiar with the matter, Business Insider claimed that Tesla has informed staff that vehicle production at Giga Texas will be paused from June 30 until the following week. This will allow Tesla to maintain Gigafactory Texas’ production lines. 

Tesla reportedly informed staff that the shutdown should allow the company to ramp up vehicle production, though the EV maker reportedly did not specify which lines would be seeing increased output following the pause. Employees can use paid time off or participate in voluntary training and cleaning during the shutdown.

Robotaxi Launch and Future Prospects

Production pauses are common among automakers. During the fall of 2024, Ford suspended the production of the F-150 Lightning for seven weeks. Both Ford and General Motors also paused production at several of their plants in 2021 amidst the global semiconductor crisis. Tesla’s production pauses tend to be rarer, though the company has also implemented similar strategies in the past.

For now, Tesla is very busy preparing for its robotaxi rollout in Austin. Earlier this month, Elon Musk stated that Tesla is tentatively planning to offer robotaxi services starting June 22 using self-driving Model Y vehicles. He did, however, also highlight that Tesla is being extremely careful with its robotaxi rollout. “We are being super paranoid about safety, so the date could shift,” Musk wrote in a post on X.

EV.com recognizes Tesla’s production pause and robotaxi plans as significant steps in its EV market strategy. You can explore the best offers on popular Tesla electric vehicles we have on our listings here.