Lucid plans to start out delivering Saudi-manufactured electrical automobiles (EVs) to Europe in 2027. The corporate is at present increasing its AMP-2 manufacturing unit in Saudi Arabia, with completion anticipated in 2026. Lucid goals to attain annual gross sales of 150,000 items, which can embrace yet-to-be-unveiled midsize fashions.
Lucid’s ties to Saudi Arabia are important, largely because of the Public Funding Fund (PIF) holding a 64% controlling stake within the automaker. The growth of the AMP-2 manufacturing facility will present automobiles for markets outdoors North America, significantly in Europe and choose Asian nations. The manufacturing unit already assembles the Lucid Air for native and close by markets and can quickly start producing the Gravity SUV. With the growth, manufacturing capability will enhance, enabling the plant to fabricate 150,000 automobiles yearly, thus catering to extra distant markets.
Presently, the Saudi facility solely assembles kits imported from the U.S. Nonetheless, the brand new part will permit for native elements manufacturing, lowering reliance on shipments from overseas. Moreover, the Saudi authorities is searching for to draw a third-party battery producer to help the Lucid plant.
As the one home automaker in a rustic that imports all its automobiles, Lucid could immediate Saudi Arabia to think about U.S.-style import tariffs to encourage native purchases. Mark Winterhoff, Lucid’s interim CEO, helps such tariffs as a way to help the nascent native automotive trade. He believes preliminary safety is important for fostering market change, echoing rhetoric much like that of the present U.S. administration concerning import tariffs.
Whereas imposing tariffs could also be difficult for a nation that depends closely on imports, the dialog displays important shifts within the world automotive panorama. Just some years in the past, the thought of American-designed, Saudi-built EVs being offered in Europe appeared far-fetched.
By 2027, Lucid shall be getting into a aggressive European market the place Chinese language EV producers, like Zeekr and BYD, are already current and rising quickly. These manufacturers have been efficiently attracting patrons amid Tesla’s declining recognition on the continent, providing alternate options to widespread fashions just like the Mannequin Y and Mannequin 3.
Lucid produces compelling automobiles that resonate with European patrons’ preferences for premium EVs, though their costs are excessive. As an example, the entry-level Air Pure is priced round €85,000 ($93,000) in Germany, considerably greater than its $70,000 price ticket within the U.S.
Presently, Lucid has a restricted presence in Europe with a small variety of showrooms, leading to just a few hundred gross sales throughout 15 nations. Nonetheless, demand is anticipated to rise with the introduction of extra inexpensive midsize fashions, that are more likely to be produced each in Casa Grande, Arizona, and the newly expanded Saudi facility.
Source link
