Tesla has recently found itself in a challenging position as it struggles to meet the sales expectations initially set by its CEO, Elon Musk, for the much-anticipated Cybertruck. This unique electric pickup, which Musk once touted as 'apocalypse-proof', is now facing significant hurdles in the marketplace.

In a strategic move aimed at revitalizing interest in the Cybertruck, Tesla announced this month that it would begin selling the vehicle in Saudi Arabia, alongside the United Arab Emirates (UAE) and Qatar. This marks a significant milestone, as it is the first time the Cybertruck will be sold outside of North America. According to Tesla's official website, deliveries in these regions are set to commence in 'late 2025'.

The introduction of the Cybertruck into Saudi Arabia presents both opportunities and challenges. The nation is known for its vast oil reserves, and the infrastructure for electric vehicle (EV) charging is still in its infancy. Currently, there is a limited market for electric cars within the country, making it a daunting prospect for Tesla. Despite these challenges, the company aims to penetrate a market that, while small, could signal a shift towards electric mobility in a region traditionally dominated by gasoline-powered vehicles.

However, Tesla's sales performance for the Cybertruck has been disappointing. In the first quarter of 2025, only 6,406 units were sold, according to data from Cox Automotive. Internal reports from employees have suggested that production targets for the Cybertruck at Tesla's Austin gigafactory have been significantly lowered. Furthermore, as of March 20, the company has delivered fewer than 50,000 Cybertrucks, a stark contrast to the ambitious projections Musk laid out during the vehicles launch in 2023.

Prior to the Cybertruck's official release, Musk indicated that Tesla aimed to produce 200,000 units annually and noted that there were around 1.5 million reservations for the truck. This ambitious target reflected a strong consumer interest, but the subsequent sales figures tell a different story, leading industry experts to label the current sales record as 'a severe disappointment.' Glenn Mercer, president of automotive consultancy GM Automotive, emphasized this view, stating, 'There's really no way to describe its sales record today as anything other than a severe disappointment.'

Venturing into the Middle East with the Cybertruck is a bold attempt by Tesla to turn around its flagging sales figures. Mercer pointed out that the truck's unconventional design and size could present significant barriers in more regulated markets like Europe and China, which are Teslas largest markets outside North America.

In Europe, where Tesla sold over 300,000 cars last year, the Cybertruck faces additional challenges due to narrow roads and stringent regulations. For instance, one of the first Cybertrucks sent to the UK was impounded by authorities because it did not meet local road standards. Despite making some shipments to China for display purposes, Tesla has encountered regulatory hurdles that complicate the trucks approval for sale in that territory. Musk himself commented last year that making the Cybertruck road-legal in China would be 'very difficult.' While some regulations surrounding pickup trucks have been relaxed, the market remains highly competitive and distinct from the U.S. landscape.

Given the constrained pickup market in both China and Europe, the economic viability of modifying the Cybertruck for these regions remains questionable. As a potential strategy, Mercer suggested that Tesla might reposition the Cybertruck as a luxury item within niche markets, such as Saudi Arabia and the UAE. He speculated that Tesla might pursue high-priced versions of the vehicle to recoup the costs associated with adapting it for different markets.

Ultimately, while Teslas efforts to globalize the Cybertruck signify a bold strategy, it is unclear whether this move will significantly alleviate the ongoing sales decline or address the broader 'brand crisis' impacting the truck's reputation.