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The Crown Has Fallen: Why U.S. News Just Named Lucid the Best Luxury EV Brand of 2025 and How the New Gravity SUV Proves Tesla’s Era of Dominance is Officially Over

Lucid dethrones Tesla as U.S. News’ 2025 Best Luxury EV Brand. The new Gravity Touring SUV challenges Tesla with superior luxury and engineering, signaling a major market shift as competitors finally out-execute the industry giant.
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Author: Rob Enderle
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The electric vehicle landscape has shifted beneath our feet. For years, Tesla was not just the market leader; it was the market. It defined what an EV was, how it should drive, and—crucially—how it should be perceived. But as we look toward 2025, the tectonic plates have moved.

In a significant upset that signals a maturing market, U.S. News & World Report has named Lucid Motors the Best Luxury Electric Vehicle Brand for 2025. This isn't just a participation trophy for a startup; it is a calculated dethroning of the reigning king, Tesla, along with legacy luxury heavyweights like Porsche and BMW.

This accolade validates a strategy that Lucid has doggedly pursued: engineering excellence paired with genuine luxury, rather than just technology wrapped in minimalism. For Tesla, it is a wake-up call that the days of unchallenged dominance are over.

The Meaning of the Upset: Luxury vs. Ubiquity

For Lucid, winning Best Luxury Electric Vehicle Brand is a crowning achievement that vindicates CEO Peter Rawlinson’s “efficiency first” philosophy. The award, based on the high scores of the Lucid Air and the anticipated excellence of the Lucid Gravity, suggests that critics and data are finally aligning with what enthusiasts have argued for some time: Lucid is building better cars.

The Lucid Air has consistently stunned reviewers with its ability to offer hyper-car performance (in Sapphire trim) while delivering range figures that make range anxiety a relic of the past. But this award is about brand, not just a single car. It means Lucid has successfully cultivated an image of exclusivity, build quality, and superior engineering that Tesla, in its quest for mass-market volume with the Model 3 and Model Y, has arguably sacrificed.

For Tesla, this is a brand identity crisis. You cannot be the "Model T" of EVs (ubiquitous, affordable, simple) and the "Mercedes-Benz" of EVs (exclusive, luxurious, prestigious) simultaneously forever. As Tesla’s Supercharger network opens to rivals and its designs remain largely static, the "specialness" of owning a Tesla has eroded. They are now the default choice, the Toyota Camry of the electric world. That is excellent for shareholders looking for volume, but it is fatal for winning "Best Luxury Brand" awards.

How Lucid Climbed the Summit

Lucid did not win this by simply copying Tesla. They won by out-engineering them. The Lucid Air is a marvel of packaging; its miniaturized motors and battery efficiency allow for an S-Class sized interior in an E-Class sized footprint.

U.S. News cited the brand's "level of overall excellence," noting that despite having a small lineup, the quality of the products is undeniable. The Lucid Air’s 9.3/10 score and the Lucid Gravity’s perfect 10/10 score in initial reviews played a massive role.

Lucid focused on the "Luxury" part of "Luxury EV." While Tesla doubled down on stark minimalism—removing stalks, buttons, and traditional clusters—Lucid retained a sense of occasion. Their interiors feature sustainable alpaca wool, Nappa leather, and open-pore wood, arranged in a way that feels expensive, not just futuristic. They recognized that luxury buyers want to be coddled, not just transported.

The Gravity of the Situation: Enter the Gravity Touring

The hammer blow to Tesla’s luxury dominance might well be the newly introduced Lucid Gravity. Specifically, the Gravity Touring trim is positioned to be a nightmare for the Tesla Model X.

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Lucid Gravity Touring Specs & Impact:

  • Price: Starts at $79,900.
  • Range: 337 miles (EPA estimated).
  • Performance: 0-60 mph in 4.0 seconds, 560 hp.
  • Utility: 7-passenger seating capacity with massive cargo space (120 cu ft with seats flat).

By pricing the Gravity Touring at $79,900, Lucid has aggressively undercut the perceived barrier to entry for a "super-luxury" SUV. It lands right in the territory of a well-optioned Tesla Model X or a high-end Model Y Performance, but it offers a vehicle that is physically larger, vastly more luxurious inside, and built on a newer, 900-volt architecture that allows for faster charging.

The Gravity Touring adds pressure on Tesla because it exposes the age of the Model X. The Model X platform has been around for nearly a decade. While it has received facelifts, the hard points of the chassis and the controversial falcon-wing doors (which limit roof rack utility) are aging. The Gravity offers a traditional, usable SUV form factor with better efficiency and a cabin that feels a generation ahead in terms of material quality.

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The Wolf Pack: Who Else is Out-Executing Tesla?

Lucid isn't the only shark circling the waters. Tesla is fighting a multi-front war, and several competitors are arguably out-executing them in specific niches.

  1. Hyundai/Kia (The Value & Tech Kings): The Hyundai Ioniq 5 and Kia EV9 are crushing it. U.S. News named Hyundai the Best SUV Brand for 2025. They are delivering 800-volt fast-charging architectures (charging 10-80% in 18 minutes) at price points Tesla struggles to match with similar build quality. The Kia EV9, a true 3-row SUV, effectively beat Tesla to the "affordable family hauler" market that the Model X abandoned for high prices.
  2. BMW (The Traditionalists): BMW has successfully transitioned its loyal base to EVs without alienating them. The i4 and iX drive like BMWs first and EVs second. They have retained physical controls, familiar luxury cues, and build quality that Tesla has famously struggled with. They are winning over buyers who want an EV but hate the "spaceship" feel of a Tesla.
  3. Rivian (The Lifestyle Brand): Rivian has captured the "adventure luxury" market that the Cybertruck is trying to claw into. The R1S and R1T offer a rugged, outdoorsy capability that feels authentic, whereas the Cybertruck feels polarizing. Rivian's recent software updates and architecture improvements show they are iterating as fast as Tesla.

Tesla’s Road to Redemption

Tesla is not dead—far from it. They are still the volume leader and the only profitable pure-EV maker at scale. However, brand prestige is a fragile thing. To restore itself to leadership and potentially reclaim the "Best Luxury" title (or at least stop the bleeding), Tesla needs a pivot.

  • Prioritize Build Quality Over Production Speed: The "panel gap" memes must end. For a $100,000 Model S Plaid to be taken seriously against a Lucid Air Sapphire, it must be built like a Swiss watch, not a rush job.
  • Refresh the Lineup (Properly): The Model Y "Juniper" refresh needs to be more than just new headlights. Tesla needs to introduce significant interior material upgrades—ventilated seats standard, better sound insulation, and perhaps a return of some physical controls (like a stalk for turn signals) to appease premium buyers.
  • Decouple the Brand from the Noise: The data is showing a drop in brand loyalty. Reports from S&P Global Mobility indicate Tesla's loyalty rates have fallen significantly in 2024 and 2025. The brand needs to refocus on the product and mission, reducing the noise surrounding its leadership that alienates a demographic highly correlated with EV ownership.
  • True Luxury Options: If Tesla wants to compete with Lucid, they might need a "Maybach" moment—creating a sub-brand or a specific "Signature" trim level that offers genuine luxury materials, distinct from the plastic-heavy interiors of the standard trims.

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Wrapping Up

The 2025 U.S. News & World Report awards are a snapshot of a changing industry. Lucid Motors beating Tesla for Best Luxury Electric Vehicle Brand is not a fluke; it is the result of Lucid's laser focus on creating the best electric car in the world, while Tesla has been distracted by everything from robotics to politics.

With the Lucid Gravity Touring arriving at a competitive $79,900, Lucid is moving from a niche sedan maker to a serious volume competitor in the luxury SUV space. For the consumer, this competition is fantastic. It forces Tesla to improve, it gives buyers real choices, and it pushes the envelope of what an electric vehicle can be. The King is dead; long live the new Kings.

Disclosure: Images rendered by Artlist.io

Rob Enderle is a technology analyst at Torque News who covers automotive technology and battery developments. You can learn more about Rob on Wikipedia and follow his articles on ForbesX, and LinkedIn.

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