An ill wind blows through the automotive industry. Yesterday, after the market closed, Rivian reported its results for the second quarter of 2025, and they weren't great. Unlike the last two quarters, Rivian did not make a gross profit, and it's estimating it will have a larger loss this year than first predicted. A day earlier, it was Lucid's turn: The Saudi-backed EV startup also missed analyst estimates for the quarter, and Lucid says it will build fewer cars this year than originally planned.
"We delivered solid performance despite a challenging macroeconomic backdrop, thanks to the adaptability and focus of our team in navigating a dynamic environment," said Taoufiq Boussaid in an elegant bit of business-speak that elides the true horror of the situation.
In both cases, the reasons for these underwhelming performances were the same: US government policies. Since taking office in January, President Trump and the Republican Party have been hard at work tearing up environmental regulations and overturning policies meant to encourage EV adoption, as well fomenting a global trade war through the imposition of irrational and costly tariffs.
