Lucid Strikes Deal To Use US-Sourced Graphite In Future EVs Starting 2028

Electric vehicle maker Lucid Group LCID on Wednesday announced the signing of a multi-year supply deal with Graphite One for American-sourced natural graphite.

What Happened: Following other recent agreements with Syrah Resources and Graphite One, future Lucid vehicles will increasingly utilize natural and high-performance synthetic graphite materials mined and produced at each company’s facilities in the U.S. as a part of directed supply agreements with the company’s battery cell suppliers.

Today’s multi-year agreement with Graphite One will supply Lucid and its battery cell suppliers with natural graphite. Production will likely begin in 2028.

Also Read: Tesla Rival Lucid Offers Over $20,000 Discount On Air Sedan Amid Auto Tariff Impact

Why It Matters: The deal further strengthens the company’s supply chain for American raw materials and resources.

Lucid will source natural graphite from the Graphite Creek deposit north of Nome, Alaska. This agreement builds on last year’s announcement with Graphite One to provide Lucid and its battery cell suppliers with synthetic graphite for future vehicles starting in 2028, sourced from its proposed active anode material (AAM) facility in Warren, Ohio.

Syrah Resources will supply the company with natural graphite AAM. Under the agreement, Syrah will collaborate with Lucid or its battery suppliers to purchase the materials over three years. Syrah’s natural graphite AAM will be sourced from its vertically integrated AAM production facility in Vidalia, Louisiana.

Lucid stock plunged over 28% year-to-date as it grappled with economic uncertainty, an abrupt CEO departure, and an uncertain regulatory environment.

It also missed analyst estimates in the first quarter, with revenue of $235.05 million (analysts expected $250 million). The electric vehicle maker reported a first-quarter loss of 20 cents per share, beating analyst estimates for 23 cents per share. Lucid said it produced 2,212 vehicles in the first quarter and delivered 3,109.

Lucid continues to expect total production of approximately 20,000 vehicles in 2025.

Price Action: Lucid stock is down 0.23% at $2.19 at last check Wednesday.

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