EV startup Lucid (NASDAQ: LCID) has signed agreements with the Saudi Arabian authorities with the aim of building a manufacturing facility within the nation. Lucid says it “reviewed a number of alternatives” earlier than deciding on the King Abdullah Financial Metropolis (KAEC) as the location for its first worldwide manufacturing plant.
On the new manufacturing hub, which will probably be totally owned by Lucid, the corporate plans to start by assembling Lucid Air automobile “kits” which might be pre-manufactured on the firm’s facility in Casa Grande, Arizona. Later, the KAEC facility will produce full autos—ultimately as much as 150,000 per yr. Within the preliminary part, the plant will produce autos for the Saudi market, however the final aim is to export completed autos to different world markets.
Development of the plant is predicted to begin within the first half of 2022.
Lucid’s AMP-1 in Arizona will proceed to function the corporate’s central manufacturing hub. There, the corporate has begun a second part of building, which can add 2.85 million sq. ft of labor house in an effort to develop to an annual manufacturing capability of 365,000 autos. Lucid expects its mixed capability in Arizona and Saudi Arabia to exceed 500,000 autos per yr as soon as every facility reaches its goal capability.
Lucid has established an internship program to offer coaching for Saudi Arabian residents at Lucid’s amenities in California and Arizona to develop expertise for operations in Saudi Arabia. The corporate can even construct coaching facilities in KAEC to help abilities improvement.
“Lucid aspires to be a catalyst for change wherever we go, so it makes good sense that we’re bringing electrical autos to one of many world’s largest oil-producing nations,” mentioned CEO and CTO Lucid Peter Rawlinson. “Establishing a world manufacturing footprint is a sensible, pure step and allows us to develop our model, scale our enterprise, and tackle worldwide and untapped market demand on a completely new degree. Our robust relationships with [Saudi economic agencies] additionally give us distinctive perception into the demand for luxurious vehicles and SUVs in Saudi Arabia and past.”
“At this time, we take a significant step in the direction of Saudi Arabia’s aim of diversifying its economic system by creating a brand new manufacturing hub to spearhead the way forward for mobility for the Center East area,” mentioned His Excellency Khalid Al-Falih, Minister of Funding of Saudi Arabia.
Supply: Lucid Group