- Lucid will ship Saudi-made EVs to Europe beginning in 2027.
- The producer is presently increasing its AMP-2 manufacturing unit in Saudi Arabia, which will probably be completed in 2026.
- Lucid’s annual gross sales goal is ready at 150,000 models, which seemingly consists of the yet-to-be-revealed midsize fashions.
Lucid has a powerful connection to Saudi Arabia by the nation’s public funding fund (PIF), which holds a 64% controlling stake within the automaker. Now, Lucid is within the strategy of including an enlargement to its AMP-2 manufacturing facility within the desert kingdom, which must be prepared subsequent yr. This new addition to the plant will provide Lucid automobiles for markets outdoors North America, together with Europe and a few Asian markets.
The producer already assembles the Air for the native and different close by markets in Saudi Arabia, and it’ll quickly additionally start constructing the Gravity SUV there. The present facility’s manufacturing capability is restricted, however will probably be drastically elevated as soon as the enlargement is completed. Lucid says the expanded plant will be capable of produce 150,000 automobiles per yr, sufficient to fulfill much more distant markets, similar to Europe and Asia (not together with China).
The present Lucid facility in Saudi Arabia simply assembles kits despatched from the USA. Nevertheless, as soon as the brand new a part of the plant is accomplished, will probably be capable of start manufacturing elements for the automobiles, so not all the things must be shipped from the opposite aspect of the world. The Saudi authorities can be seeking to carry a third-party battery producer into the world to provide the Lucid plant.
Lucid will turn out to be Saudi Arabia’s solely home automaker in a rustic that imports all automobiles. In keeping with BloombergSaudi Arabia might even introduce U.S.-style import tariffs to encourage the locals to purchase native. Lucid’s interim CEO after Peter Rawlinson stepped downMark Winterhoff, is a proponent of import tariffs as a result of he believes they’d assist the fledgling native automotive business.
Winterhoff added that “It doesn’t imply that this has to go on eternally, however with a view to have that type of change out there, you want to assist native gamers at first.” That sounds lots just like the rhetoric practiced by the present U.S. President, whose on-again, off-again import tariffs are already reshaping the worldwide financial system.
Saudi Arabia in all probability could not impose tariffs, because it’s so closely depending on imports, however the truth that that is even being mentioned exhibits how a lot and the way shortly issues are altering on a worldwide stage. Who would have thought, even a number of years in the past, that we’d be shopping for American-designed and Saudi-built electrical automobiles in Europe?
By 2027, Lucid will probably be a bit late to the get together in Europe, the place Chinese language EV producers are already current and increasing. We have tried vehicles from Zeekr and BYD, and so they’re positively aggressive with the vehicles Europeans usually purchase. They’re already capitalizing on Tesla’s falling out of favor with consumers on the continent, providing direct rivals to the bestselling Mannequin Y and Mannequin 3.
Lucid, which began the yr nicelymakes some slightly compelling vehicles that align with the values that Euro consumers search for in a premium EV, though they’re fairly costly. Even the entry-level Air Pure prices round €85,000 ($93,000) in Germany, which is significantly greater than what it prices within the U.S., the place you will get one for round $70,000.
The corporate already sells automobiles in Europe by a presently very restricted variety of showrooms. Only some hundred had been offered throughout the 15 nations the place the producer is presently current. Demand ought to develop as soon as the producer launches its extra inexpensive midsize fashions. They’ll seemingly roll out of each its Casa Grande, Arizona, dwelling manufacturing unit and the newly expanded plant in Saudi Arabia.
