Lucid Group ended 2025 on a high – producing twice as many EVs as the previous year and reporting a 55% increase in sales. Then came the first quarter of 2026.
This was reported by the company that produces Air sedan and Gravity SUV on Friday 3093 cars were sold in the first quarter, it decreased by 42% from the previous quarter, and by about 0.5% compared to the same period last year. He built many more, about 5,500 in all.
Lucid said the decline in sales and the gap between production and deliveries are not a demand problem. Instead, the company blames a supplier quality issue with the second-row seats, which has stopped deliveries of the Lucid Gravity for 29 days.
A supplier challenge also triggered Lucid to remind Over 4000 Gravity SUVs. Lucid told the National Highway Traffic Safety Administration that it discovered some of the anchors for the SUV’s second-row seat belts were improperly welded.
Lucid spokesperson Nick Twork confirmed to TechCrunch that the drop in sales was due to supplier issues. Due to a change not approved by the supplier, the company suspended sales of the Gravity for most of February to ensure proper quality before relaunching the vehicle, he said. Noting Lucid’s more recent success, Twork said, “after eight record quarters, we delivered strong results in both January and March, which almost translated into year-over-year growth on its own.”
Lucid said in a securities filing Friday that the issue has been resolved and that the company is confident the outage will not affect production goals.
Lucid confirmed its previously announced production guidance of between 25,000 and 27,000 vehicles this year. Lucid produced 18,378 EVs in 2025. This is a 47% increase compared to last year.
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The problems with Lucid’s seat supplier come as the company prepares to build its first car on a new low-cost platform aimed at the mass market. Lucid said the first car will cost around $50,000, which will put it in direct competition with the upcoming Rivian R2 SUV, as well as existing products such as the Tesla Model Y, Tesla Model 3 and Chevrolet Equinox EV.
