California electric-vehicle maker Lucid Group Inc. opened its first retail location in Saudi Arabia, where it intends to make a play for EV sales in the Middle East.
The U.S. startup also plans to open a plant in Saudi Arabia that initially will perform final assembly of its Air sedan, then later shift to full assembly.
Saudi Arabia’s Public Investment Fund owns just more than 60 percent of the luxury EV group, according to Bloomberg. The Saudi government signed an agreement with Lucid to buy up to 100,000 vehicles over a 10-year period, the automaker said.
“The launch of our first Studio in the Middle East marks yet another step towards Lucid’s mission to inspire the adoption of sustainable energy on a global scale,” Lucid CEO Peter Rawlinson said in a press release Monday.
“Saudi Arabia recognizes the seismic transition toward automobile electrification and it looks to the future to secure a better world for generations to come,” he added.
The Riyadh Lucid Studio is in a shopping mall. The retail location replicates similar spaces the automaker has opened in the U.S., Canada and Europe, showing off not only Air sedans but the technology behind them, including their motors, inverters and battery pack.
“Our in-depth knowledge of the region and our strategic partnerships enable us to deliver products catered to our customer base in the Middle East, and we’re delighted to be able to meet their growing demands for electric cars,” said Faisal Sultan, managing director of Lucid Middle East.
Lucid’s plan for local production of its Air and future electric vehicles is to start with partial assembly at a facility in King Abdullah Economic City, originally targeted for some time this year. Lucid did not respond to an inquiry about the current timeline.
The vehicles will come partially assembled from Lucid’s plant in Casa Grande, Ariz.
Lucid said once a full Saudi assembly plant is completed, it expects production to peak at 155,000 vehicles a year for local sales and export.
In April, Lucid said the Saudi government agreed to an initial commitment to purchase 50,000 vehicles and an option for an additional 50,000 vehicles over 10 years.
Lucid has not said what models the Saudis will purchase beyond the Air sedan. The company is also working on an electric SUV, the Gravity, for 2024, and said it is also working on a second-generation platform for more inexpensive vehicles.
The Air sedan has a starting price of $89,050, with shipping, for the Air Pure model, which has not started production. The most expensive trim is the Air Sapphire at $250,650, planned for delivery sometime next year. Lucid hasn’t revealed prices for the Gravity.
