Cybertruck and Model Y output paused for maintenance amid safety protests
Tesla stock dropped 4% on Tuesday following reports that the company plans to halt production of its Cybertruck and Model Y models at its Austin, Texas factory for a week starting June 30. Business Insider, citing a staff meeting, said the pause will allow for maintenance on production lines. This would mark the third such stoppage at the Austin facility in the past year.
The production news comes just ahead of Tesla’s anticipated June 22 launch of its Model Y robotaxi in Austin. The autonomous vehicle initiative is expected to feature the latest version of Tesla’s “Full Self-Driving” (FSD) technology, which is still under development and not yet approved for public use.
Robotaxi rollout raises new safety and political concerns
Elon Musk recently amplified buzz around the robotaxi launch by reposting a video of a Model Y operating autonomously on Austin roads. But critics remain skeptical of Tesla’s FSD system, pointing to ongoing safety issues. Data from the National Highway Traffic Safety Administration links Tesla’s partially automated driving systems to hundreds of crashes, including dozens of fatalities.
Advocacy groups in Austin have protested both the robotaxi pilot and Musk’s political ties to the Trump administration. The Dawn Project, a safety watchdog critical of Tesla, staged a demonstration last week showing a Tesla vehicle with FSD software failing to stop for a school bus and striking a child-sized mannequin during a test.
Regulatory scrutiny and public pressure intensify
The FSD-equipped robotaxis set to debut in Austin use a future version of Tesla’s software that operates without driver supervision. This version remains unavailable to the public and raises fresh questions about readiness and oversight.
Although Tesla markets its FSD package as a premium option, critics argue that branding the system as “full self-driving” is misleading. The feature suite currently includes automatic lane-keeping, steering, and parking, but still requires driver supervision under U.S. regulations.
Investor sentiment reflects uncertainty
With repeated production halts, high-profile software criticism, and regulatory concerns surrounding the robotaxi rollout, investors appear increasingly cautious. Tesla has not yet responded to requests for comment on the Austin production pause or the public demonstrations.
As the June 22 robotaxi launch date approaches, Tesla faces growing pressure to prove its FSD system’s reliability while balancing manufacturing stability and investor confidence in a volatile EV market.