Tesla Inc. is preparing to restart the shipping of components from China to the US for the production of its Cybertruck and Semi trucks. This move follows a recent truce over tariffs between the US and China.
What Happened
The tariff truce has led to a rollback of most tariffs and countermeasures, enabling Tesla to proceed with its production plans. Previously, Tesla had put on hold its plans to ship components from China after the US imposed a 145% tariff on Chinese goods, which threatened to disrupt Tesla’s production plans for these eagerly awaited models.
Production Plans
The Elon Musk-led company plans to begin trial production of the two models in October, with the goal of starting mass production by 2026. The Cybertruck will be produced in Texas, while the Semi will be built in Nevada. Tesla is also pursuing approval to launch a robotaxi service utilizing a fleet of Cybertrucks.
Impact of Tariff Truce
The tariff truce comes as a relief for Tesla, which had been grappling with production challenges due to the high tariffs imposed by the US administration. The tariffs had posed significant hurdles to Tesla’s production plans for the Cybertruck and had also hindered the company’s capital investments.
Stock Performance
Tesla stock climbed 4.93% to close at $334.07 on Tuesday. On a year-to-date basis, the stock has slumped 11.92%.
Challenges Ahead
Tesla’s ambitions to launch a robotaxi service had hit a snag earlier this month when the US Patent and Trademark Office refused the company’s attempt to trademark the term “Robotaxi”. However, the company remains committed to its production plans and is working to overcome the challenges ahead.
Key Takeaways
- Tesla to resume shipping components from China for Cybertruck and Semi production
- Tariff truce between US and China enables Tesla to proceed with production plans
- Trial production to begin in October, with mass production starting in 2026
- Tesla pursuing approval for robotaxi service utilizing Cybertrucks
- Stock performance: Tesla stock climbs 4.93% on Tuesday, but slumps 11.92% on a year-to-date basis