Does the Lucid Air qualify for the car loan interest deduction?
The 2025–2028 deduction turns on where a vehicle is finally assembled — not the badge. Here's where the 2025–2026 Lucid Air is built and what it means for your loan interest.
Assembly data: NHTSA vPIC + our verified plant lists · Not tax advice · Methodology
✓
PASS — assembled in the USA
The Lucid Air qualifies on the assembly test. Assembly is one of four gates — you also need a new vehicle, personal use, a 2025–2028 loan, and income under the phase-out.
The short answer
Lucid builds the Air sedan at AMP-1 in Casa Grande, Arizona — the first purpose-built EV factory in North America — and US-market Airs come from there. Lucid's second plant in Saudi Arabia only re-assembles kits shipped from Arizona for that region, so the American-market car passes the OBBBA assembly test.
Where the Lucid Air is assembled
| Assembly plant | Location | Assembly test |
|---|---|---|
| Lucid AMP-1 | Casa Grande, AZ | ✓ United States |
Confirm the other three tests
A US-assembly PASS is only the first gate. Each remaining condition has its own guide:
New & personal-use — used cars and leases don't qualify→ Loan dated 2025–2028 — refinancing keeps eligibility→ Income under the phase-out — run the MAGI calculator→
Frequently asked questions
Where is the Lucid Air assembled?
At Lucid's AMP-1 factory in Casa Grande, Arizona. That is the US final-assembly point for cars sold to American buyers.
What about Lucid's Saudi Arabia factory?
AMP-2 in Saudi Arabia assembles kits built in Arizona for the Middle East and export markets. It does not supply the US, and the VIN on a US Air decodes to Arizona.
Can I deduct interest on a Lucid Air at that price?
US assembly is met, but the deduction is capped and phases out above $100,000 single / $200,000 joint MAGI. Many Air buyers will be over that line, so run your own numbers first.
Related vehicles
Tesla Model Y ✓ Qualifies Tesla Model 3 ✓ Qualifies Tesla Cybertruck ✓ Qualifies Honda Prologue ✕ Doesn't qualify Nissan Leaf ! Depends on VIN Nissan Ariya ✕ Doesn't qualify
Advertiser disclosure
Financing a Lucid Air? Compare rates before you sign.
A lower rate means less interest — and the qualifying interest is what's deductible. Compare partner lenders; checking won't affect your credit score.