Lucid faces price pressure from Tesla, slowing economy

Just last week, Tesla slashed the price of its Model S sedan by $10,000 to $96,630, including shipping. The base Air Pure starts at $89,050 including shipping, while the current launch edition of Trim has features for just over $100,000.

Lucid also lost a $7,500 tax credit for buyers under last year’s Inflation Reduction Act. The new law caps the price of electric sedans at $55,000 and also sets a purchaser’s income cap.

On the plus side, Lucid is already gearing up to offer a more accessible version of the Air in the coming weeks, according to previous company statements, by removing content compared to more expensive cars. I was. The base Air Pure comes with a metal roof instead of glass, rear-wheel drive instead of all-wheel drive, and a smaller battery pack.

The mid-level Air Touring, which began delivering in November, comes standard with a metal roof for $109,050 including shipping. A glass roof, which comes standard on the Tesla Model S, adds his $4,500 to Lucid’s price. The Air Touring comes with a standard driver assistance suite, but the Pro version adds $10,000 and an upgraded stereo costs $4,000.

Similarly, Lucid said in December that it would remove features from its higher-level Grand Touring trim to bring down prices. These standard features included Pro Driver Assistance with an upgraded stereo and 21-inch Aero Blade wheels.

Pricing for the Grand Touring has dropped from the previous $155,650 to $139,650. All prices include shipping.

“This flexibility of Air Grand Touring options is a direct response to customer feedback asking for more choice in these available features,” Lucid said in a press release. “Air Grand Touring keeps him 516 miles on a single charge, with great interior materials, luxury features like massage seats and all-wheel drive he has 819 horsepower.”

Whether such pricing flexibility will be enough for Lucid to maintain its momentum remains a question. Lucid also competes with brands offering new electric crossovers that many buyers prefer over sedans, he said. Lucid might have had more success launching a product to compete with Tesla’s Model Y crossover than starting with a sedan, he said.

Brauer suggested that Lucid would need to lower prices, even if it would affect the automaker’s performance.

“We’re seeing lower car prices across the board,” Brauer said. We are competing against Audi, BMW, Genesis, Mercedes-Benz, and even Tesla on the market, which have more resources and a much larger dealer network.”

This article was optimized by the SEO Team at Clickworks SEO