Lucid to Launch Affordable Model Y Rival in 2026
Introduction
Lucid, the electric vehicle manufacturer, has announced its plans to launch a mid-size SUV that will rival Tesla’s Model Y. The company aims to release the vehicle in 2026 with a price tag below $50,000 (£38,000). Lucid’s new SUV will be built on the company’s innovative ‘mid-size’ platform and will feature their next-generation Atlas motors, known for their energy efficiency. Despite using smaller batteries, Lucid claims that their vehicles will have competitive range figures.
Efficiency and Affordability
Lucid’s new mid-size platform will prioritize efficiency and affordability. The company’s CEO, Peter Rawlinson, stated that their vehicles can go farther with less battery, resulting in significant cost and mass savings. By utilizing advanced technology, Lucid aims to produce electric cars more cheaply than their competitors.
Competition with Tesla
Rawlinson, who previously worked on the development of Tesla’s Model S, openly acknowledged that Lucid’s new cars are direct competitors to Tesla. He emphasized that Lucid’s advanced technology allows them to offer greater range with smaller batteries, which are the most expensive component of an electric car. Lucid plans to enter the high-volume family car market with their new offerings.
Production and Capacity
Lucid has not disclosed specific production volume targets for their new vehicles. However, the company’s new factory in Jeddah, Saudi Arabia, named AMP-2, is scheduled to begin full assembly of cars after the middle of the decade. The factory has an eventual capacity of 155,000 cars per year.
Financial Update
Lucid recently reported a loss of almost $1.5 billion (£1.1bn) in the first half of this year. However, the company secured a $1.5 billion investment from Saudi Arabia’s Public Investment Fund, providing them with liquidity until late 2025.
With Lucid’s focus on efficiency, affordability, and advanced technology, their upcoming mid-size SUV is set to make a strong entry into the electric vehicle market, challenging Tesla’s dominance.
