Lucid Motors Records Surge in Gravity Sales Before Tax Credit Ends

Lucid Motors Reports Record Vehicle Deliveries

A total of 4,078 vehicles were delivered by Lucid Motors during the third quarter. This achievement is likely attributable to increased production of the Gravity SUV, alongside a surge in customer orders motivated by the impending expiration of the federal EV tax credit.

Growth and Past Projections

While still significantly below initial projections made during its 2021 public offering – which yielded $4 billion – Lucid Motors has demonstrated consistent growth in deliveries over the past two years. The recently announced third-quarter figures represent the seventh consecutive quarter of increasing sales for the company.

Industry-Wide EV Sales Increase

Lucid Motors wasn't the only electric vehicle manufacturer to experience a boost in third-quarter sales. Tesla achieved its most successful quarter to date, and established automakers such as Ford and General Motors also reported substantial gains.

Even Rivian, despite forecasting a lower overall delivery total for the year compared to 2023, observed an increase in sales during the third quarter.

Federal Tax Credit Impact

Similar to Rivian, eligibility for the federal EV tax credit was limited to customers who leased vehicles from Lucid Motors. Consequently, accurately assessing the credit's expiration impact proves challenging.

The specific number of Gravity SUVs delivered in comparison to the Air sedan, the company’s initial model, remains undisclosed. Lucid Motors is scheduled to release comprehensive financial results for the quarter on November 5.

Marketing and Saudi Arabian Market

Since becoming a publicly traded company in 2021, Lucid Motors has faced challenges in generating consumer interest in its luxury EVs. Former CEO Peter Rawlinson acknowledged the need for enhanced marketing efforts.

This year, the company appointed actor Timothée Chalamet as its inaugural “global ambassador.” Lucid Motors has also benefited from rental agreements and fleet sales in previous quarters.

The company is increasingly focusing on Saudi Arabia – which holds approximately 60% ownership through its sovereign wealth fund – as a key market. Over 1,000 vehicles were manufactured specifically for the Saudi market during the recent period.

Lucid currently operates an assembly facility within the Kingdom and is planning the construction of a full-scale manufacturing plant.

Strategic Partnerships

Lucid Motors has secured a significant future order from Uber.

Uber intends to purchase at least 20,000 Gravity SUVs over the next six years for deployment as robotaxis within its network. Lucid Motors will collaborate with autonomous vehicle technology firm Nuro to integrate their technology into these vehicles.