Tesla’s plan to transport components from China for its Cybercab and Semi electric truck to the U.S has been discontinued, as a source with direct knowledge reported. The main cause of this disruption is a steep rise in the tariff on Chinese goods imposed by President Trump. The suspension has menaced the mass production of eagerly awaited models. Trial production was planned to initiate on October 25, followed by mass production in 2026.

Tariff Delay Tesla Models

Cybercab, which is designed as a robotaxi, is scheduled to be manufactured in Texas, whereas the semi-truck is slated to be built in Nevada. CEO Elon Musk has highly endorsed these two models for the next phase of Tesla’s growth.

As reported by Reuters, at first, Tesla was ready to shoulder a 34% tariff on Chinese shipments. However, the tariff spiked to 84% on April 9, followed by a further increase, totalling up to 145%, deeming it financially unsustainable to continue, said the source. 

Besides, Tesla has been slowly increasing the amount of parts obtained from North America to buffer against the rising tariffs for the past two years.

Delay Hits Both Cybercab and Semi

Tesla was planning to roll out its robotaxi services using Cybercab priced under $30,000 and was seeking government approval. This car was Musk’s vision for self-driving transportation.

The company was planning to ramp up the production of semi-electric trucks in 2026, with key customers like Pepsi waiting in line. 

However, delivery timelines are now uncertain. On the contrary, Trump’s move has negatively affected his political ally. Musk, who is a vocal supporter of free trade, has objected to these sweeping tariffs and shared a video highlighting the global nature of the supply chain.

China’s Retaliation To U.S Tariffs

China has enacted a 125% tariff on American items in response to the U.S tariffs. Consequently, Tesla has ceased its new orders from China for its Model S and Model X.

According to a report by S&P in February, the U.S has exported 15-20% of auto components from China. However, the increasing tariff is reshaping the supply chain landscape and pressuring automakers that rely on international production.