Tesla Stock Slides After Report Of Third Production Pause In A Year: Texas Gigafactory To Undergo Maintenance

During the planned pause, employees were reportedly allowed to use paid time off or participate in voluntary training sessions.

Tesla plans to pause production at its Texas Gigafactory, where it produces Model Y and Cybertruck vehicles, over the week of July 4 for maintenance and upgrades, according to a Business Insider report, which cited internal communications. 

The stock closed down 3.9% at $316.28 on Tuesday and edged 0.5% lower to $314.59 in after-hours trading.

Employees were told they could take paid time off or participate in voluntary training and cleaning.

This reportedly marks at least the third production pause in the past year, following previous shutdowns in May and December. 

While temporary halts are common in the auto industry, such pauses had been rare at Tesla until recently.

The planned downtime comes just ahead of Tesla’s expected robotaxi launch in Austin, with CEO Elon Musk saying the service, which uses modified Model Ys, could begin as soon as June 22. 

The company aims to roll out with 10 to 20 vehicles, though Musk noted the timeline could shift due to safety precautions.

Tesla is set to report its Q2 delivery numbers in July after a 13% year-over-year drop in the first quarter.

The automaker also launched refreshed versions of its premium Model S and Model X vehicles in the U.S. 

The upgraded models feature redesigned wheels, quieter cabins, improved suspension, and interior ambient lighting. 

A new frost blue metallic paint option was also introduced. Tesla raised prices by $5,000 across all variants, with the Model S starting at $84,990 and the Model X at $89,990.

On Stocktwits, retail sentiment was ‘neutral’ amid ‘low’ message volume.

Tesla’s stock has declined 16.6% so far in 2025.

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