In an agreement announced on Monday, the Saudi Arabian government will purchase up to 100,000 Lucid electric vehicles over a 10-year period, with initial deliveries scheduled to begin in the second quarter of 2023.
The deal includes an initial commitment of 50,000 vehicles, with an option to purchase an additional 50,000, including the Lucid Air and “other future models,” according to a Lucid press release.
The cars will be manufactured at Lucid’s existing factory in Arizona, and a future assembly facility in Saudi Arabia was announced earlier this year. It is scheduled to open in 2025 with a potential production capacity of 150,000 vehicles per year.
Order cadence is expected to range between 1,000 and 2,000 vehicles per year, increasing to between 4,000 and 7,000 vehicles per year from 2025 onwards, according to Lucid.
Purchase prices will be based on the “lowest standard retail price for the applicable vehicle in Saudi Arabia and the standard retail price for the applicable vehicle in the United States,” along with shipping, import, and homologation costs, said Lucid.
This partnership builds on a relationship that began in 2018 when the Saudi Public Investment Fund took a stake in the U.S. electric vehicle company, providing the necessary capital to cross the finish line in developing the Air and establishing its assembly plant in Arizona.
That plant began building the Lucid Air in September. The Air has received positive press overall, including the Green Car Reports Best Car To Buy 2022.
A second model codenamed Project Gravity is planned for 2024 and promises to be an “ultra-high efficiency” electric SUV like none before. It could be one of the “future models” included in the Saudi agreement.
