Lucid (LCID) is cutting 12% of its US workforce ahead of its $50,000 midsize EV

Lucid Motors (LCID) announced plans on Friday to trim 12% of its US workforce as it looks to improve profitability ahead of its next growth stage.

Lucid announces plans to trim 12% of its US workforce

After producing 8,412 vehicles and delivering 5,345 in the fourth quarter, Lucid was one of the bright spots in the US electric vehicle market.

While many companies reported lower EV sales after the $7,500 federal tax credit expired, Lucid doubled production while deliveries rose 31% to 5,345.

Despite the success, the luxury EV maker announced a new round of layoffs on Friday to cut costs and improve profitability as it prepares for its upcoming midsize platform.

A Lucid spokesperson told Electrek in a statement that “Today, we implemented a 12% reduction of our current US workforce designed to streamline our organization so we can operate with greater efficiency and deliver on our commitments to gross margin improvement and long-term growth.”

The spokesperson added that the layoffs do not impact hourly production workers in Arizona. While the reductions are being implemented across the company, the spokesperson said Lucid’s “core priorities remain unchanged.”

“We are focusing on the start of production of our Midsize platform, further expanding into the robotaxi market, continuing our ADAS and software development, and growing sales of Lucid Gravity and Air across existing and new geographies,” Lucid’s spokesperson told Electrek.

After overcoming several hiccups that hampered production in early 2025, Lucid is focused on ramping up output as it prepares to introduce its midsize platform later this year.

Lucid told Electrek in 2024 that the midsize platform would wear at least three “top hats,” or different body styles.

During a fireside chat at the UBS Global Industrials and Transportation Conference, Lucid’s CFO, Taoufiq Boussaid, said the three midsize EVs would be positioned in “the heart of the market,” with prices starting at around $50,000.

The first vehicle based on the platform will be a crossover SUV, which is expected to go head-to-head with the Tesla Model Y.

Unlike the Gravity and Air, Lucid’s midsize models will be built on the back of a platform, allowing them to scale at a much lower cost.

Lucid plans to begin production of the midsize platform at its manufacturing plant in Saudi Arabia later this year or in early 2027. By 2029, the company expects to be at full capacity.

We will learn more about the company’s next growth stage during Lucid Investor Day on March 12, where the company will “go deep on our roadmap, core tech platforms, software and autonomy advancements, and how our midsize platform will unlock the next phase of Lucid’s growth,” according to Lucid’s communication boss, Nick Twork.