Lucid Motors is gearing up to expand its electric vehicle lineup with the introduction of the “Earth” electric SUV, slated to arrive in 2026 as the company’s most affordable model yet. The Earth will follow the debut of the Gravity SUV, expected to hit the market later this year.
The automaker recently filed trademark applications for the Earth nameplate, indicating its plans for a smaller, more budget-friendly electric SUV. Sized similarly to the Tesla Model Y, the Earth is anticipated to be competitively priced, with an entry-level cost expected to be below $50,000.
Lucid’s CEO, Peter Rawlinson, confirmed the Earth’s development during the company’s first-quarter earnings call, highlighting its midsize stature and an estimated price tag of “around $48,000.” Rawlinson emphasized Lucid’s commitment to delivering “unrivaled levels of efficiency” to meet the range expectations of Lucid customers.
The Earth represents a crucial model for Lucid, with its success potentially shaping the company’s future. However, with two years until its release, competitors like Tesla could make significant updates to their offerings. While the Model Y is due for a refresh, recent challenges at Tesla, including layoffs and operational disruptions, could impact its timeline.
Despite substantial backing from the Saudi Arabian government, Lucid’s path to success is not without challenges. While first-quarter deliveries showed improvement from the previous year, the company’s projected 9,000 units for this year fall short of analysts’ expectations by approximately 25%. Lucid reported significant losses per unit delivered, highlighting the need to address supply chain and production costs to achieve profitability.
Rawlinson expressed confidence that the upcoming Gravity SUV would bolster volume, but sustained efforts to reduce costs will be crucial for Lucid to secure its position in the competitive electric vehicle market.
