Lucid will sell up to 100,000 EVs in deal with Saudi Arabia

Lucid Group will sell as many as 100,000 electric vehicles to the Kingdom of Saudi Arabia over the next decade, ranking among the largest-ever purchases of plug-in models.

The automaker reached a deal with Saudi Arabia’s Ministry of Finance for 50,000 EVs over that span, with the option for another 50,000, according to a statement Tuesday. Lucid said it would start delivering the vehicles by the second quarter of 2023.

Saudi Arabia owns roughly 61 per cent of Lucid through its sovereign wealth fund.

Lucid recently started production of its first model, the Air sedan, at its factory in Casa Grande, Arizona, though it announced in February that it plans to build a second automotive factory in Saudi Arabia. The purchase agreement announced Tuesday is for the Air and other “future models.”

The deal initially calls for 1,000 to 2,000 EVs annually, increasing to between 4,000 and 7,000 annually starting in 2025.

Lucid shares climbed 4 per cent at 5.01pm in New York.