TuSimple, the leading self-driving trucks developer in the U.S., is withdrawing from the country after internal controversies and the loss of a partnership with Navistar. The company will lay off 75% of its U.S. workforce and sell its assets as it shifts its focus to the Asia-Pacific region, leaving behind only 50 workers to handle the transition. After the restructuring, TuSimple will have about 700 employees globally.
Following the exit of TuSimple, few self-driving truck companies remain in the U.S., such as Aurora and Kodiak Robotics.
Previously, TuSimple lost its partnership with Navistar and laid off 25% of its staff, prompting the company to consider selling off its Asia-focused business. However, it later decided to shift its operations to China and Japan while exploring strategic alternatives for its U.S. business, ultimately resulting in the decision to exit the U.S. and sell off its assets.
As a result of the restructuring, TuSimple expects to incur one-time charges of $7-8 million, mainly for severance payments, employee benefits, and related costs, with the majority of the charges being recorded in the fourth quarter of 2023.