Lucid Group ended 2025 on a strong note. It produced twice as many EVs as the previous year and reported a 55% increase in sales. Then the first quarter of 2026 arrived.
The company, which makes the Air sedan and Gravity SUV, said Friday that it sold 3,093 vehicles in the first quarter, down 42% from the previous quarter and down about 0.5% from the same period last year. A total of about 5,500 more were built.
Lucid said the decline in sales and the gap between production and delivery were not a demand issue. Instead, the company blamed supplier quality issues with second-row seats, which hindered Lucid Gravity’s deliveries for 29 days.
Supplier issues have led Lucid to recall more than 4,000 Gravity SUVs. Lucid told the National Highway Traffic Safety Administration that it discovered some of the SUV’s second-row seatbelt anchors were not properly welded.
Lucid spokesperson Nick Twork confirmed to TechCrunch that the decline in sales was related to issues with the vendor. He said unauthorized changes at the supplier forced the company to suspend sales of Gravity, which lasted for most of February, before restarting it to ensure adequate vehicle quality. “Following eight record-breaking quarters, we delivered strong results in both January and March, nearly achieving year-over-year growth on their own,” Twork said, pointing to Lucid’s recent success.
Lucid said in a securities filing Friday that the issue has been resolved and the company appears confident the outage will not impact production targets.
Lucid reaffirmed its previously announced production target of 25,000 to 27,000 vehicles this year. Lucid produced 18,378 EVs in 2025. This is up to 47% more than last year.
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Lucid’s seat supplier issues come as the company prepares to begin building its first vehicles on a new low-cost platform aimed at the mass market. Lucid says the first vehicle will be priced around $50,000, a price point that will compete directly with existing products like the Tesla Model Y, Tesla Model 3, and Chevrolet Equinox EV, as well as the upcoming Rivian R2 SUV.
