Tesla rival Lucid Motors wants to build factory in Saudi Arabia

California-based Lucid Motors is developing its first model, the Air, which it hopes to sell for more than $100,000 - the firm also wishes to open a factory in Saudi Arabia
Updated 21 February 2019

Tesla rival Lucid Motors wants to build factory in Saudi Arabia

  • Lucid Motors eyes production plant in Kingdom after raising more than $1bn from the Public Investment Fund
  • California-based electric-car maker hopes to sell first vehicles for more than $100,000 

LONDON: A US-based electric-vehicle company that raised more than $1 billion from Saudi Arabia wants to build a factory in the Kingdom, and says its mission to build “the best car in the world” is well underway. 

The California-based Lucid Motors is developing its first model, the Air, which it hopes to sell for more than $100,000 when it enters production in less than two years’ time. 

Financial backing from Saudi Arabia’s Public Investment Fund (PIF), announced last year, will allow Lucid to proceed with the development of the all-electric sedan, as well as fund the $240 million cost of building the first phase of its factory in the US.

Peter Rawlinson, chief technology officer at Lucid Motors — and a former engineer at rival Tesla — said the company wants to eventually build a production plant in Saudi Arabia, and sees a “long-term” partnership with the Kingdom.

“I can see a really bright future, with a tangible manufacturing facility or facilities,” Rawlinson told Arab News.

“We’d love to do that … We’re currently in a period where we are investigating all these options. 

“There is a vision that there will be some sort of production facility in the future.”

Rawlinson added that it is “early days” for such a plan, but said he sees many opportunities for electric vehicles in Saudi Arabia — not least, because of the abundant sunshine and potential for solar power.

“We are undertaking the appropriate studies, but I’m really excited about the potential of this. This partnership is huge for us; we can benefit the Kingdom of Saudi Arabia in a significant, meaningful and long-term manner,” he said. 

“One of the great assets of the Kingdom is its endless reserves of sunshine, and how that can be harvested with solar energy. We’re a battery-storage technology company; that’s a way we could contribute. We’re exploring a number of avenues along those lines.”

Lucid is positioning itself in the luxury market, and Rawlinson said its Air model is looking to compete with the likes of the Mercedes-Benz S-Class. The Lucid Air is the company’s first car, but Rawlinson said an initial public offering (IPO) could be on the cards to develop future models.

The engineer brushed off the idea of a competitive threat from Elon Musk’s Tesla, where he once worked as chief engineer for the Model S.

“We don’t see Tesla as a key, direct competitor. We see the German gasoline cars — the petrol engine cars … as our core competitive set,” he said. 

“I’ve spoken to many people … who would gladly buy an electric car but say they’re not going to give up their Mercedes-Benz to buy a Tesla because of the interior. You’ve only got to step inside a Tesla to realize it’s not true luxury.”


UK PM raises visas in pitch for post-Brexit trade with Africa

Updated 17 sec ago

UK PM raises visas in pitch for post-Brexit trade with Africa

  • Boris Johnson told leaders including presidents Abdel Fattah El-Sisi of Egypt and Uhuru Kenyatta of Kenya that he wanted to make Britain their investment partner of choice
  • Boris Johnson: By putting people before passports we will be able to attract the best talent from around the world, wherever they may be

LONDON: Prime Minister Boris Johnson told African leaders Monday that Britain would be more open to migrants from their continent after Brexit as he hosted a summit intended to boost trading ties.

He also promised an end to direct UK state investment in thermal coal mining or coal power plants overseas, saying London would focus on supporting a switch to low-carbon energy sources.

Johnson was speaking at the start of the first UK-Africa Investment Summit in London, a clear pitch for business less than two weeks before Britain leaves the European Union.

He told leaders including presidents Abdel Fattah El-Sisi of Egypt and Uhuru Kenyatta of Kenya that he wanted to make Britain their “investment partner of choice.”

After highlighting all that Britain has to offer, he said Brexit would mean an end to preferential treatment for EU migrants.

“Our (immigration) system is becoming fairer and more equal between all our global friends and partners, treating people the same, wherever they come from,” he said.

“By putting people before passports we will be able to attract the best talent from around the world, wherever they may be.”

The Duke of Sussex, Prince Harry, was also in attendance where he met with leader from Malawi, Mozambique and Morocco.

 
 
 
 
 
 
 
 
 
 
 
 
 

This morning at the UK-Africa Investment Summit, hosted by the UK Government, The Duke of Sussex met with leaders from Malawi, Mozambique and Morocco - touching on investment in renewable energy, jobs, tourism, and environmental issues. The Duke has been involved in various causes in Africa for over a decade, and has helped to initiate a number of key projects in the region surrounding conservation and tourism, the threat posed by landmines and the HIV/AIDS epedemic. During their recent visit to Southern Africa last September, The Duke and Duchess met with project teams working to encourage youth employment, entrepreneurship, education and health. Through their roles as President and Vice President of The Queen’s Commonwealth Trust, The Duke and Duchess have worked to support a growing network of young change-makers across the Commonwealth and will continue to do so, especially in the run up to CHOGM 2020. The Duke of Sussex’s love for Africa is well known - he first visited the continent at the age of thirteen and more than two decades later, the people, culture, wildlife and resilient communities continue to inspire and motivate him every day. Photo © PA

A post shared by The Duke and Duchess of Sussex (@sussexroyal) on

Nigeria’s President Muhammadu Buhari, who also attended the summit, said Brexit offered an opportunity for increased free trade across the Commonwealth — and said visas were a key issue.

“While many in the African diaspora enjoy considerable benefits from life in the West, they do not always feel at the heart of the community,” he wrote in an article for The Times on Monday.

“A renewed sense that there are ties that bind us through the Commonwealth, and a concerted effort to grow those links through trade, could act as a spur to encourage togetherness and the certainty of belonging.”

Johnson, whose country hosts the next UN climate change summit in Glasgow later this year, also announced a shift in investment strategy to help combat global warming.

Sub-Saharan African faces a number of environmental challenges, particularly the effects of climate change, water and air pollution, desertification, deforestation and over-fishing.

On fossil fuels, Johnson said: “There’s no point in the UK reducing the amount of coal we burn, if we then trundle over to Africa and line our pockets by encouraging African states to use more of it, is there?“

“We all breathe the same air, we live beneath the same sky. We all suffer when carbon emissions rise and the planet warns.”

He added: “Not another penny of UK taxpayers money will be directly invested in digging up coal or burning it for electricity.

“Instead, we’re going to focus on supporting the transition to lower and zero carbon alternatives.”

The British government’s export agency reports providing £2 billion ($2.6 billion) in financing for UK company exports to Africa in the past two years. The agency says it now wants to “increase its risk appetite” in Egypt and the emerging economies in Nigeria and Rwanda.

The UK government said the London summit will see British and African firms announce commercial deals worth £6.5 billion.

It did not spell out whether these were all firm commitments or included memorandums of understanding that do not always result in actual deals.

Britain will leave the EU on January 31, although ties will remain the same for 11 months while the two sides thrash out a new trading relationship.

The UK has said it will be leaving the bloc’s single market and customs union.

Johnson wants the freedom to strike trade deals with other countries, even at the expense of some of its producers facing trade tariffs and quotas as a result.