Lucid Group Inc. (Nasdaq: LCID) on Thursday said it will offer buyers of some of its luxury electric sedans a $7,500 “credit,” joining the price cutting of rivals Tesla Inc. and Ford Motor Co.
The Newark, California-based company in an announcement said customers who buy its Air Touring and Air Grand Touring models in “certain configurations” by March 31 will be eligible for the discount.
Lucid’s “credits” appear to be an effort to make its sedan prices competitive with EVs that are eligible for new federal tax credits. Those new credits are available on certain U.S.-built electric cars priced under $55,000 and electric trucks and SUVs priced under $80,000.
“We think our customers still deserve a $7,500 credit for choosing an EV,” Zak Edson, Lucid’s vice president of sales and service, said in Thursday’s announcement about the credits.
Prices for the Lucid Air, which is built in Casa Grande, Arizona, start at $87,400 and the trims that the company is offering discounts on go for a lot more. The Air Touring starts at $107,400 and the Air Grand Touring starts at $138,000.
The company has struggled to hit goals for delivery of its vehicles amid production and supply problems.
It said last month that it produced 7,180 vehicles in 2022, exceeding its target range issued late last year to make between 6,000 and 7,000 vehicles. It delivered 4,369 vehicles. When it pitched investors before going public in 2021, Lucid said it would make 20,000 cars in 2022.
The company last month raised $1.5 billion in new capital through the sale of stock, mostly to Ayar Third Investment Co. — an affiliate of the Saudi Arabia’s sovereign wealth fund which owns a nearly two-third stake in the business.
Lucid’s stock was down 8.48% in early Thursday afternoon trading. Track the stock here.