Lucid Motors is uncertain about the EV production outlook for this year

Lucid Motors said Tuesday that it is no longer certain how many electric vehicles it will produce or deliver this year, as the company navigates a leadership transition and a broader effort to reduce costs across the organisation.

Earlier this year, in February, Lucid had projected that it would manufacture between 25,000 and 27,000 vehicles in 2026. While that estimate was already well below the ambitious forecasts of hundreds of thousands of vehicles the company shared around the time it went public in 2021, it would still have represented a notable increase from roughly 18,000 vehicles produced last year.

The decision to withdraw that production guidance was disclosed during the company’s first-quarter earnings call by chief financial officer Taoufiq Boussaid. The update follows workforce reductions earlier this year, when Lucid cut about 12% of its employees, a move first reported in February. According to a filing released Tuesday, the layoffs are expected to cost approximately $40 million in the near term. Still, the company anticipates savings of up to $500 million over the coming years.

Boussaid explained that removing the production outlook was a “governance decision,” noting that the incoming CEO, Silvio Napoli, is currently reviewing the business. He added that the company plans to present a revised, more detailed outlook during its second-quarter earnings call in the coming months.

“Realising Lucid’s full potential will require sharper focus and consistent execution, particularly around simplification, prioritisation, and speed,” Napoli said during the call.

Lucid also reported that its first-quarter performance came in below expectations. The shortfall was largely attributed to a production disruption and a temporary halt in sales, which impacted deliveries of the Gravity SUV for 29 days due to issues with a seat supplier.

As a result of these challenges, the company’s inventory levels increased, prompting Lucid to carefully manage production in the near term to avoid building excess stock.

“We are not constrained by capacity. We are constrained by our own discipline not to build inventory ahead of demand. As market conditions develop, we will scale production accordingly,” Boussaid said.

The uncertainty comes at a time when Lucid is preparing to introduce its first high-volume vehicle, expected to be priced below $50,000. The company has previously stated that production of the first model on this mid-size platform would begin by the end of 2026. On Tuesday, Lucid reiterated its focus on the following year, saying it “remains on track for production ramp-up of the mid-size in 2027.”

In addition, Lucid is moving forward with plans to launch a robotaxi service in collaboration with Uber and Nuro by the end of this year. The service will use autonomous versions of its Gravity SUV, and the company confirmed that it still expects to begin building road-ready versions of those vehicles in the fourth quarter.