Tesla Stock Rises Premarket: Cybertruck Deliveries Begin In UAE Ahead Of Schedule After Years Of Saudi Tensions

Tesla Inc. shares rose nearly 1% in premarket trading on Thursday after the EV maker confirmed that Cybertruck deliveries have begun in the United Arab Emirates (UAE), earlier than the March timeline the company had previously aimed for.

Cybertruck’s Pricing Problem

The Cybertruck received its first delivery in November of 2023 after much anticipation following its unveiling in 2019. Its pricing upon launch was far higher than initially promised, which had hurt demand.

CEO Elon Musk said in 2019 that entry-level pricing for the Cybertruck would start around $40,000, with the top trim at $70,000. The production version ultimately came in well above those levels, limiting conversion of early reservations into firm orders.

Design And Demand Challenges

Tesla's Cybertruck, with its stainless-steel exterior and angular design, has also drawn sharply divided reactions, with some calling the vehicle ugly and fans applauding its unconventional electric pickup styling.

Musk has even floated that Tesla may one day deliver 500,000 Cybertrucks per year. However, Tesla delivered just 85,133 cars across its premium vehicle lineup, including the Model S, Model X, and Cybertruck, in 2024. That puts estimated Cybertruck deliveries at under 30,000 units.

Tesla has been working to boost Cybertruck supplies outside the US as demand cooled domestically. Cybertruck orders also opened in Saudi Arabia and Qatar most recently. In Saudi Arabia, Tesla priced the vehicle starting at 435,000 riyals, or around $116,000. Last year, Tesla said orders would replace reservations in South Korea.

Saudi Market Reopens After Years Of Tension

Saudi Arabia’s Tesla launch is notable given how relations soured between Musk and the kingdom’s Public Investment Fund in recent years.

Tensions stem from 2018, when Musk said he had “funding secured” to privatize Tesla after speaking with the Saudi fund. Musk later faced investor lawsuits and had aggressive text messages, along with the release of tense text exchanges during court proceedings.

Relations began to ease in late 2024, when Musk and PIF governor Yasir al-Rumayyan attended events together, and Musk later appeared in a video at Saudi investment conferences. Last year, Tesla officially returned to operating in the country, planning launch events and store openings in Riyadh, Jeddah, and Dammam, among other cities.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment for Tesla was ‘bullish’ amid ‘normal’ message volume.

Tesla’s stock has risen 2% over the past 12 months.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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