Overview
Lucid Group has made significant progress at its Saudi Arabian factory since its inception, having already assembled nearly 800 cars. The primary objective of the EV manufacturer is to train over 200 local employees, according to Faisal Sultan, Lucid’s Middle East Managing Director.
Factory Operations
Lucid opened its first plant outside the United States in September, situated in Saudi Arabia. With an initial production capacity of 5,000 electric vehicles (EVs) annually, the plant supports the Saudi government’s commitment to purchasing up to 100,000 vehicles from Lucid over the next decade. Sultan explained that the cars are completely built in Arizona before being disassembled and shipped to Saudi Arabia as kits. The Jeddah factory then reassembles the vehicles by reattaching the battery, adding trim and tires, and conducting thorough testing.
The Role of Saudi Arabia’s Public Investment Fund
Saudi Arabia’s sovereign wealth fund, the Public Investment Fund (PIF), holds a majority stake of over 60% in Lucid. The PIF has made significant investments in Lucid as part of the government’s broader strategy to establish an electric vehicle industry hub in the country.
Limited Scope and Future Plans
Considering the current focus on training, Sultan emphasized the modest scale of the Saudi factory operations, producing roughly 16 to 20 vehicles per day. This deliberate approach allows Lucid to provide comprehensive training to the workforce. Approximately 50% of the staff members are Saudi nationals. Construction for a complete build unit (CBU) factory, capable of independently manufacturing vehicles, has already commenced. However, its opening hinges on supply chain development and workforce readiness, ensuring it aligns with Lucid’s business objectives.