Lucid Group CEO on new Saudi Arabia factory: 'This technology is ideal for this part of the world'

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Lucid Group is launching a factory in Saudi Arabia. | Facebook | Lucid

Lucid Group has confirmed plans to open a new factory in Saudi Arabia, serving as the company’s first-ever overseas launch, CNBC reported.

“This technology is ideal for this part of the world. Because remember, when the oil runs out, the sun will keep shining,” CEO Peter Rawlinson said. 

The purpose of the new establishment is to fulfill recently accelerated demands. The company hopes to add onto the operations taking place at its Arizona-based factory, which has the capability of producing 350,000 units a year.

According to a CNBC report, the Newark-based vehicle maker has confirmed a production target goal of 150,000 vehicles per year. The product will first be distributed locally, and later on a global scale.

“That means we can accelerate plans to produce half a million cars a year from what was going to be 2030, to mid-decade,” Rawlinson said. “And that’s really important because the planet can’t wait.”

Saudi Arabia is considered the world's second largest producer of oil as of 2021. According to Saudi Arabia’s minister of investment, Khalid al-Falih, the kingdom’s green initiatives depend on its shift from traditional fuels to cleaner energy.

The expert confirmed that similar efforts from other EV companies are in the works.

“I believe it unleashes the whole industry of electric vehicles here in the kingdom, our intent is not to stop with Lucid,” al-Falih said.