Tesla Semi Faces Unprecedented Delays and Soaring Costs

The Tesla Semi program, unveiled in 2017 with much anticipation, has encountered unprecedented delays, surpassing any other vehicle initiative within Tesla.

Originally slated for production in 2019, the electric truck has yet to enter volume production, with only a limited pilot run resulting in a few dozen deliveries, predominantly to early partner PepsiCo.

As per a recent communication from Ryder, a key customer in the program, the situation has worsened further, leading to significant implications for pricing and deployment timelines.

Ryder Cuts Tesla Semi Order Amid Price Hikes and Production Woes

Ryder noted a “dramatic” increase in prices for the Tesla Semi, speculated to range between $350,000 to $415,000, a stark contrast to earlier estimates of $150,000 for the 300-mile version and $180,000 for the 500-mile variant.

Such increases could undermine the truck’s competitiveness against traditional diesel-powered options, which typically retail between $150,000 and $220,000.

To adapt to these changes and ongoing delays, Ryder has requested a reduction in their order from 42 trucks to just 18, citing “dramatic changes to the Tesla product economics”.

This request underscores the urgency of reevaluating their fleet strategy due to Tesla’s continued struggles with product design and production timelines. With plans to deploy the revised order by June 2026, the logistics firm faces a challenging road ahead, especially as it seeks to maintain commitments amid rising costs.

Currently, Tesla is constructing a new high-capacity factory adjacent to Gigafactory Nevada, with aims to begin production in 2025. However, the success of the Tesla Semi hinges not only on meeting production goals but also on delivering a reasonable price point and low operational costs to truly challenge the diesel trucking market.

If the forthcoming prices do not align closer to $250,000-$300,000, the long-awaited vehicle may fall short of its revolutionary potential.