Update: Shortly after launching in Saudi Arabia, Tesla has also launched the base Cybertruck in the U.S. with a $10,000 price cut and more range.
Amid falling sales in the U.S., China and across Europe, Tesla is aiming to unlock a new pool of buyers in the Middle East. The automaker launched in Saudi Arabia this week, listing all its models on the regional website, including a long-promised, entry-level version of the Cybertruck that’s actually MIA in its home market.
This rear-wheel-drive Long Range Cybertruck promises a Tesla-estimated 350 miles of range. It sheds about 515 pounds compared to the all-wheel-drive version and hits 0-62 miles per hour in 6.6 seconds—slower than its beefier siblings. Its top speed still caps out at 112 mph, same as the AWD variant. Towing capacity is down by 3,500 pounds, and the RWD can tow about 7,500 pounds.
The new Cybertruck trim’s real appeal should be a lower starting price, which is undisclosed at the moment, but it’s safe to say that it will slot under the AWD. It’s also expected to land in the U.S. sometime later this year. Meanwhile, Tesla will open showrooms in Riyadh, Jeddah, and Dammam on April 11, according to CNBC.
Gallery: 2024 Breakthrough Award Nominee: The Tesla Cybertruck
According to Reuters, electric cars accounted for just 1% of Saudi Arabia’s overall vehicle sales in 2024. Just like Americans, folks there love big SUVs and trucks, but those that are powered by gas. But the kingdom is reportedly aiming for 30% EV adoption by the end of the decade, and Tesla could help it reach that goal.
Tesla wanted to enter Saudi Arabia a long time ago, but those plans were paused after a very public spat between CEO Elon Musk and Yasir Al-Rumayyan, the boss of the country’s Public Investment Fund back in 2018.
Now it’s finally entering that market, but it won’t be easy. Tesla will lock horns with BYD, which already sells cars in that country. Moreover, Lucid has a head start in Saudi Arabia, with billions of dollars of investments from the PIF. It also opened an assembly line for the Air electric sedan in Saudi Arabia back in 2023.
Tesla’s expansion into the Middle East may put a band-aid over its slumping global sales. But it may not solve the broader issues facing the company. Its sales have dropped sharply in all major European nations so far this year and also fell in China and the U.S., two of its largest markets. Musk’s role in the U.S. government has also irked some buyers who have traded in their Teslas.
All said, the oil-rich nation is trying to reduce its reliance on fossil fuels and is trying to adopt EVs. Local reports suggest it has established a new Electric Vehicle Infrastructure Company to install 5,000 chargers by the end of the decade.
So Tesla may be able to offset some of its declining sales in its major markets by expanding in the Middle East, but whether that would help with its global slump is an open question.
Contact the author: suvrat.kothari@insideevs.com
