Luxury EV maker Lucid Motors (LCID) is witnessing a surge in interest from former Tesla (TSLA) owners, as buyers seek alternatives in the high-end electric vehicle market. With the launch of its new Gravity SUV, Lucid is seeing a notable uptick in demand, particularly from customers who were previously loyal to Tesla.
Lucid’s interim CEO Marc Winterhoff confirmed this shift, stating that both the Gravity SUV and Air sedan are drawing more attention from Tesla drivers looking for something fresh and distinctive.
“Tesla owners have always been a core source of our sales because they are already comfortable with electric drivetrains. But now, we are seeing a stronger influx of interest due to evolving market dynamics,” Winterhoff said in an interview following a Gravity launch event in New York’s Meatpacking District.
A Shifting EV Market
Tesla, once the unrivaled leader in the luxury EV segment, is facing slower Model Y sales and a shifting consumer perception. Factors such as Elon Musk’s political affiliations and broader industry trends have contributed to a segment of Tesla’s customer base exploring other brands.
Lucid, with its premium design and long-range capabilities, appears to be filling that void. Some Tesla owners are trading in their Model 3s for the Lucid Air, despite its higher price point. However, Lucid expects the Gravity SUV to attract an even wider audience.
The SUV Advantage
“The American market has a deep-rooted preference for SUVs—it’s the backbone of the automotive industry,” Winterhoff explained. “With Gravity, we’re entering a much broader market segment with significantly higher demand.”
Lucid aims to produce 20,000 vehicles by the end of the year, and Winterhoff anticipates that supply constraints—not demand—will be the primary challenge for Gravity.
Pricing and Competition
Despite its promising demand, the Gravity SUV starts at $79,900, positioning it just below the federal EV tax credit threshold. Leasing, however, provides a workaround for customers seeking additional incentives.
Lucid’s biggest competitors include Tesla’s Model X, Cadillac’s Escalade IQ, and high-end European automakers like BMW, Audi, and Mercedes-Benz. Yet, Lucid holds a key advantage—domestic production.
An Edge Over Foreign Rivals
Unlike some competitors, Lucid manufactures its vehicles entirely in Arizona, shielding it from potential tariffs on foreign-made cars.
“We have been deeply invested in U.S. manufacturing from the start,” Winterhoff noted. “We produce our battery modules and packs in Arizona, ensuring maximum vertical integration and minimal exposure to external market risks.”
As Tesla’s dominance faces new challenges, Lucid is positioning itself as a premium alternative. With the Gravity SUV set to hit the streets, the company is hoping to carve out an even bigger share of the luxury EV space.