The effect on SEO related to React comes from doing client-side rendering only. So this isn't React specific, any client-side-only view will suffer from this. But yes, SEO explicitly suffers for non-Google search engines which don't run the JavaScript for a page. Basically, your page is effectively blank. Google does run JavaScript, but their algorithm is intentionally quite complex and takes into account many factors, some of which (like initial render performance) can be affected by using only client-side rendering.
In reality, most sites where SEO matters for the pages probably should not be rendered on the client, or at least not on the client only. The web is designed around servers generating html, and unless you have a strong reason not to, it's better to fall in with that paradigm by default.
So then, there are two ways React can still be valuable, even when rendering on the server. The simpler way is to just use React as a server side templating language. I've been doing this on a current project,