Tesla's Optimus robot production is facing significant challenges, including supply chain disruptions and China's new export restrictions on rare earth magnets, but Elon Musk remains hopeful that thousands of robots could be ready by year-end,

Elon Musk said that China's new trade restrictions on rare earth magnets have affected the production of Tesla's Optimus humanoid robots. He added that the company was working through the issue with Beijing and hoped to get approval to access the critical components.

China trade war tariffs bite, mass production of Tesla’s Optimus ‘likely to be put on hold’, threatening Elon Musk’s plans, according to Chinese industry insiders.