Tesla Dealers Reportedly Refusing to take Cybertruck Trade-Ins Amid 13% Sales Plunge

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Tesla Cybertruck owners are reportedly being refused trade-ins, dragging the Elon Musk-owned company deeper into a credibility crisis amid a steep 13% drop in first-quarter sales compared to last year.

The electric automaker reported global deliveries of 336,810 vehicles in Q1 2025. The figure missed estimates by a wide margin despite aggressive incentives, including discounts and zero-percent financing, Financial Times reported. Analysts polled by FactSet had projected 408,000 deliveries.

Compounding Tesla’s troubles is the growing fallout from the Cybertruck, which appears to be turning into a public relations and resale disaster.

According to Electrek, Tesla is now sitting on roughly 2,400 unsold Cybertrucks—an inventory worth an estimated $200 million. The report also notes that used Cybertruck prices have plunged 55% year over year, with sharp declines continuing month over month.

To make matters worse, owners have taken to online forums and social media to complain that Tesla is refusing to accept the Cybertruck as a trade-in, even for other Tesla vehicles. Some owners, facing long delays for service and unresolved issues, say they have been directed toward Lemon Law remedies rather than offering buybacks or replacements.

Confidence in the vehicle took another hit last month when Tesla issued a containment hold on Cybertruck production ahead of a recall related to interior trim panels detaching—a manufacturing flaw introduced early in the production ramp.

Tesla shares spiked following Trump’s electoral victory in November, with market capitalization peaking one month later at $1.5tn, but they’ve now slid over 40%.