Lucid late in September opened its second automobile plant. The plant, which was first introduced in early 2022, is positioned close to Jeddah, Saudi Arabia, and builds Lucid electrical autos each for Saudi Arabia and export.
The plant is getting used initially to construct semi knocked-down (partially assembled) examples of the Lucid Air sedan at a price of 5,000 models per yr, however there are plans to broaden the location later this decade to deal with full manufacturing of Lucid autos at a price of 150,000 models yearly.
Lucid’s first plant in Casa Grande, Arizona, which additionally builds the Air sedan, is predicted to have an annual capability of 365,000 models when totally expanded.
Lucid’s foremost shareholder is Saudi Arabia’s sovereign wealth fund, often known as the Public Funding Fund (PIF). A part of an funding deal by the PIF included a promise to buy 100,000 autos over a 10-year interval from Lucid.
Lucid automobile plant close to Jeddah, Saudi Arabia
The nation is investing in a number of new industries to scale back its dependence on oil, and final yr additionally introduced its personal EV model. Often called Ceer, the brand new model plans to launch its first mannequin in 2025.
Lucid is not the primary automaker linked with Saudi Arabia on automotive manufacturing. In 2012, Jaguar Land Rover performed a feasibility examine for doable manufacturing within the nation however did not proceed additional.
“We’re delighted to make historical past right now in Saudi Arabia by opening the nation’s first automotive manufacturing facility, which is able to produce our award-winning electrical autos and assist the nation’s imaginative and prescient for a extra sustainable and diversified financial system,” Peter Rawlinson, Lucid’s CEO, mentioned in an announcement.
The information comes as Lucid cuts costs on the Air in an effort to spice up gross sales. In a current earnings announcement, Lucid mentioned it delivered just one,404 models within the second quarter and expects 2023’s manufacturing tally to achieve simply 10,000 models. The corporate ought to obtain a lift with the launch of its second mannequin, the Gravity SUV, which debuts in November and is scheduled to start out manufacturing in late 2024.