Tesla Announces First Cybertruck Build Ahead of Second Quarter Results

Photo credit: Tesla

Tesla announced over the weekend that its first much-anticipated cybertruck had rolled off the assembly line in Texas. The debut of the long-delayed, futuristic-looking pickup truck comes ahead of Tesla’s Q2 2023 earnings announcement.

Tesla CEO Elon Musk first introduced the Cybertruck in 2019, but vehicle production kept getting delayed. Production and delivery of the truck was originally scheduled for 2021, but Tesla has since pushed back the timing, citing shortages in sourcing components.

In July 2022, Musk set a new production schedule for the summer of 2023. During Tesla’s earnings announcement for the first quarter of 2023, the manager also promised to host a delivery event for the cybertruck towards the end of the third quarter.

Musk said at Tesla’s 2023 annual shareholder meeting in May that the automaker could ship between 250,000 and 500,000 units per year once production begins. Mass production is planned for the end of this year.

Analysts will be on the lookout for more specific production, delivery and technical details during the automaker’s second-quarter earnings call on Wednesday.

While Tesla blames the cybertruck delays on standard supply chain issues, leaked documents have revealed other fundamental flaws in the vehicle’s basic design and engineering. In January 2022, a whistleblower leaked 100GB of files to Handelsblatt showing that pre-production prototypes had serious brake, powertrain, suspension, sealing and structural problems. The report, which detailed Tesla’s unfulfilled promises, reminded many of the first Cybertruck reveal, where the vehicle’s designer smashed the supposedly unbreakable bulletproof glass windows.

According to a report by Electrek, the Cybertruck had over 1.5 million reservations as of November 2022. Starting in 2019, Tesla customers can pay a $100 refundable pre-order deposit.

Tesla originally estimated the truck would start at $39,900 for the single engine, rear-wheel drive model, which would have a 7,500-pound towing capacity and a range of more than 250 miles. According to Kelley Blue Book, this model should now be available at around $50,000. The dual-engine, four-wheel-drive version could start at around $60,000 and should have a towing capacity in excess of 10,000 pounds and a range of over 300 miles. The most expensive version, which starts at around $70,000, will have three electric motors and all-wheel drive, a 14,000-pound towing capacity and a battery range of over 500 motors.

Tesla typically changes prices in the middle of a model year, so these prices may change again before the end of 2023. Cybertruck buyers may be eligible for the $7,500 federal EV tax incentive.

The launch of Tesla’s pickup truck will propel the automaker into another profitable EV segment in the US. The Cybertruck will have to compete with electric pickups like Ford’s F-150 Lightning, which is now available with a starting price of around $60,000. Other upcoming pickups include the Chevrolet Silverado EV and the Rivian R1T. The Silverado EV Work Truck starts at $77,905 and can go 450 miles on one charge. Deliveries are expected in fall 2023. Pricing for the Rivian starts at $74,000, with deliveries of certain trim levels beginning this summer.