Tesla Will Shut Down Production At The Texas Gigafactory Over The 4th Of July Weekend

Tesla Inc. (NASDAQ:TSLA) will shut down production at the Texas Gigafactory, which manufactures the Cybertruck and the Model Y, over the Independence Day weekend.

What Happened: The planned shutdown would begin on June 30, which was decided after a meeting with workers at the factory. All production activities would begin the following week, Business Insider reported on Tuesday.

The report suggests that the halt would help Tesla carry out some maintenance work on its production line. This is the third such halt of production lines in the past year at Elon Musk's EV giant.

The company has told the employees that they can use their paid time off or come in for voluntary training and cleaning during the production shutdown, the report said.

Why It Matters: News of the production shutdown comes as Tesla is gearing up to roll out the Robotaxi in Austin on June 22, with CEO Elon Musk saying that Tesla vehicles would drive right up to customers' houses starting June 28.

Tesla is a key player in the U.S. autonomous driving sector, as the company, with recent data suggesting that the company's cost for the robotaxi is 1/7 that of Robotaxi rival Alphabet Inc.'s (NASDAQ:GOOGL) (NASDAQ:GOOG) Waymo.

However, despite developments in the self-driving taxi sector as well as autonomous driving as a whole, Tesla is still dealing with falling sales figures throughout the globe.

Tesla scores well on Momentum, Quality and Growth metrics. However, the stock offers poor Value. For more such insights, sign up for Benzinga Edge today!

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