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Lucid Motors sets record as Gravity sales pick up and tax credit expires

Lucid Motors reported a record delivery of 4,078 vehicles in Q3 2023, driven by Gravity SUV sales and a surge in customers utilizing the expiring federal EV tax credit. Despite this, the company remains far from its original public offering projections. It aims to increase market presence, especially in Saudi Arabia, and has secured an order from Uber for 20,000 Gravity SUVs to be used as robotaxis.

Key points

  • Lucid Motors delivered 4,078 vehicles in Q3 2023, the highest quarterly figures to date.
  • This spike is attributed to more Gravity SUVs on the road and customers rushing to leverage the expiring EV tax credit.
  • It marks the seventh consecutive quarterly increase in sales for Lucid Motors.
  • Despite growing demand, the company is still below its 2021 public offering projections where it raised $4 billion.
  • Lucid Motors has struggled with brand visibility; they have since hired actor Timothée Chalamet as a global ambassador.
  • The company is focusing on the Saudi market and prepared over 1,000 vehicles for it, considering future plans to establish a factory there.
  • Uber has agreed to purchase at least 20,000 Gravity SUVs to integrate into their robotaxi service.

Why it matters

  • The EV market is rapidly evolving with growing competition from established players like Tesla, Ford, and GM, all reporting significant sales increases.
  • The expiration of federal EV tax credits has caused fluctuations in buying behavior among consumers.
  • Lucid Motors' focus on integrating with autonomous vehicle technology reflects broader trends in the tech and automotive industries toward automation and sustainability.
  • The company’s reliance on Saudi Arabia highlights the strengthening ties between major EV manufacturers and wealthy sovereign funds.

Lucid Motors' record sales underscore the company's potential in the EV market, although significant challenges lie ahead, particularly in brand awareness and competition. Strategic partnerships and market expansion efforts could shape its trajectory as it navigates the evolving electric vehicle landscape.