Lucid Group finished 2025 with a bang — building twice as many EVs as the previous year and reporting a 55% increase in sales. Then the first quarter of 2026 arrived.
The company, which makes the Air sedan and the Gravity SUV, said on Friday that sold 3,093 vehicles in the first quarter, down 42% from the previous quarter and about 0.5% lower than the corresponding period last year. He had built many more, about 5,500 in all.
Lucid said the drop in sales and the gap between production and deliveries is not a demand problem. Instead, the company blames a supplier quality issue with the second-row seats, which interrupted Lucid Gravity deliveries for 29 days.
The supplier issue also prompted Lucid to recall more than 4,000 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 not properly welded.
Lucid spokesperson Nick Twork confirmed to TechCrunch that the decline in sales is linked to supplier issues. He said that due to an unapproved change made by a supplier, the company halted sales of the Gravity for most of February to ensure proper vehicle quality before restarting them. Twork pointed to Lucid’s most recent success, saying that “after eight record quarters, we showed strong results in both January and March, which almost made up for year-over-year growth on their own.”
Lucid said in its securities filing on Friday that the issue has been addressed and the company appears confident that the outage will not affect its production targets.
Lucid confirmed its earlier announcement of production guidance of between 25,000 and 27,000 vehicles this year. Lucid built 18,378 EVs in 2025. That would represent an increase of up to 47% from last year.
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The problems with Lucid’s seat supplier come as the company prepares to begin building its first vehicle on a new low-cost platform aimed at the mass market. Lucid said the first vehicle will cost around $50,000, a price that will put it in direct competition with the upcoming Rivian R2 SUV, as well as existing products like the Tesla Model Y, Tesla Model 3 and Chevrolet Equinox EV.
