Lucid blames dip in Q1 sales on seat supplier issue

The first StrictlyVC of 2026 lands in San Francisco on April 30. Tickets are limited. Register here. Save up to $680 on your Disrupt 2026 pass. Ends 11:59 p.m. PT tonight. REGISTER NOW. TechCrunch Desktop Logo TechCrunch Mobile Logo LatestStartupsVentureAppleSecurityAIApps EventsPodcastsNewsletters SearchSubmit Site Search Toggle Mega Menu Toggle Topics Latest Lucid blames dip in Q1 sales on seat supplier issue Kirsten Korosec 6:03 PM PDT · April 3, 2026 Lucid Group finished 2025 on an upswing — building twice as many EVs as the previous year and reporting a 55% uptick in sales. Then the first quarter of 2026 arrived. The company, which makes the Air sedan and Gravity SUV, reported Friday that it sold 3,093 vehicles in the first quarter, a 42% drop from the previous quarter and about 0.5% lower than the same period last year. It had built many more, about 5,500 in total. Lucid said the sales dip, and the gap between production and deliveries, is not a demand problem. Instead, the company blames a supplier quality issue with its second-row seats, which disrupted deliveries of the Lucid Gravity 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 decrease in sales was tied to problems with the supplier. He said that due to an unapproved change made by a supplier, the company issued a stop on Gravity sales that lasted most of February to ensure proper vehicle quality before restarting them. Twork made a point of noting Lucid’s more recent success, saying that “following eight record quarters, we showed strong results in both January and March which very nearly achieved year-over-year growth on their own.”  Lucid said in its securities filing Friday that the issue has been addressed, and the company seems confident that disruption won’t affect its production goals. Lucid reaffirmed its previously announce 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 as much as 47% from last year. Techcrunch event Disrupt 2026: The tech ecosystem, all in one room Your next round. Your next hire. Your next breakout opportunity. Find it at TechCrunch Disrupt 2026, where 10,000+ founders, investors, and tech leaders gather for three days of 250+ tactical sessions, powerful introductions, and market-defining innovation. Register now to save up to $400. Save up to $300 or 30% to TechCrunch Founder Summit 1,000+ founders and investors come together at TechCrunch Founder Summit 2026 for a full day focused on growth, execution, and real-world scaling. Learn from founders and investors who have shaped the industry. Connect with peers navigating similar growth stages. Walk away with tactics you can apply immediatelyOffer ends March 13. San Francisco, CA | October 13-15, 2026 REGISTER NOW Lucid’s seat supplier troubles come as the company prepares to start building its first vehicle on a new lower-cost platform aimed at the mass market. Lucid has said that first vehicle will cost around $50,000, a price point 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. Kirsten Korosec Transportation Editor April 30 San Francisco, CA StrictlyVC kicks off the year in SF. Get in the room for unfiltered fireside chats with industry leaders, insider VC insights, and high-value connections that actually move the needle. Tickets are limited. Most Popular Anthropic took down thousands of GitHub repos trying to yank its leaked source code — a move the company says was an accident Tim Fernholz Anthropic is having a month Connie Loizos Salesforce announces an AI-heavy makeover for Slack, with 30 new features Lucas Ropek Google is now letting users in the US change their Gmail address Ivan Mehta Allbirds is selling for $39M. It raised nearly 10 times that amount in its IPO. Connie Loizos Why OpenAI really shut down Sora Connie Loizos The Pixel 10a doesn’t have a camera bump, and it’s great Ivan Mehta X LinkedIn Facebook Instagram youTube Mastodon Threads Bluesky TechCrunchStaffContact UsAdvertiseCrunchboard JobsSite Map Terms of ServicePrivacy PolicyRSS Terms of UseCode of Conduct KalshiCopilotBlue OriginWordPressBezosTech LayoffsChatGPT © 2026 TechCrunch Media LLC.