Lucid CEO Warns Trump Tariffs Will Drive Up EV Costs: ‘There’s No Other Way Around It’

Lucid Group interim CEO Marc Winterhoff said U.S. President Donald Trump’s proposed tariffs will increase the cost of building cars, even in the U.S., due to the global nature of the auto supply chain. 

“For the American consumers, vehicles are going to be more expensive under the tariff regime. There’s no other way around it,” he told Bloomberg, adding, “There’s a reason the supply chain is so global.”

Lucid shares closed at $2.27 on Monday, down 0.9% for the day.

Winterhoff spoke from Panasonic’s new battery plant in De Soto, Kansas, where he said Lucid is working with the company to source more raw materials in the U.S. 

Lucid has partnered with Panasonic since 2022 to supply battery cells, and Winterhoff said the economics of that deal worked pre-tariffs due to manufacturing credits. 

He added, “I still have to say, and I hope Panasonic hears that, there is some room for improvement, but also right now with the tariffs, this is a very good move for us.”

Lucid is also localizing its supply chain, including a June deal with Graphite One to secure U.S.-processed graphite.

The company reported a 38% year-over-year increase in second-quarter (Q2) deliveries, producing 3,863 vehicles and delivering 3,309. 

That’s a solid jump from the same period last year, when it built just over 2,100 cars and delivered fewer than 2,400. For the first half of 2025, Lucid produced 6,075 vehicles and delivered 6,418.

Lucid is betting on the launch of its Gravity SUV and an upcoming mid-size EV priced around $50,000 to broaden its customer base. 

The company’s Q2 results are due Aug. 5, with Koyfin analysts forecasting revenue of $288.1 million and deeper losses, including a projected core loss of $628.8 million and an EBIT loss of $755.3 million.

On Stocktwits, retail sentiment for Lucid was ‘bullish’ amid ‘high’ message volume.

One user said that if Trump maintains high tariffs on Russian oil, it could benefit electric vehicle makers like Lucid, adding that it might prompt broader acceptance of EVs as the future. 

Another user expressed a bullish view, predicting Lucid’s stock could hit $2.50 within the month.

Lucid’s stock has declined 25.1% so far in 2025.

See also: Kevin Hassett Defends Trump’s Leadership, Says Patriotism Is Keeping Inflation At Bay

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