Lucid Motors Cuts 1,500 Jobs Amid Production Slump

Lucid Motors produced 2,954 electric vehicles in the third quarter of 2026, a 54 percent decrease from the previous year and the lowest output since early 2025. The company delivered 3,806 vehicles during the period, signaling ongoing difficulty in securing buyers for its luxury models.

To address these losses, CEO Silvio Napoli is implementing a simplification strategy to reduce costs by $1.4 billion. The plan includes laying off approximately 1,500 employees, eliminating a second shift at the company's Arizona factory, and delaying the launch of the affordable Cosmos model. Napoli stated that the company has "not executed consistently," citing premature product launches and slow responses to quality issues as primary drivers of the decline.

The downturn at Lucid contrasts with the performance of competitor Rivian, which reported its strongest quarter to date with nearly 20,000 vehicles shipped following the release of its R2 SUV.