Image Credit: AlArabiya

Lucid Begins Installing Initial Equipment at Saudi Arabia Factory, Exec Says

Lucid Motors provided a rare update on its Saudi Arabia EV plant, saying initial equipment is being installed as the company transforms the assembly operation into a full vehicle production site amid a year of repeated output reductions.

Nick Twork, Lucid‘s vice president of communications, said Friday on social media platform X that all building structures are complete at the AMP-2 facility, the majority of floors are poured and equipment installation is underway.

The work will continue into next year, he said.

“All building structures are up, the majority of the floors are poured and initial equipment is being installed, which will continue next year,” Twork wrote in response to a question about the Saudi plant’s progress.

The update comes a week after Lucid reduced — for the second time — its annual production guidance in 2025.

The Newark, California-based company started the year planning to produce 20,000 vehicles.

In early August, it cut that target to a range between 18,000 and 20,000 vehicles. Earlier this month, when reporting third-quarter financial results, the company led by the interim CEO Marc Winterhoff said it now aims to produce 18,000 vehicles.

The second production cut came two months after Winterhoff said the internal target remained unchanged at 20,000 units despite the August reduction to a range of 18,000 to 20,000 vehicles.

Transition to Full Manufacturing

Lucid began transforming the Saudi plant into a Complete Build Unit facility in January 2024, upgrading from semi-knockdown assembly to full vehicle production.

In the first week of 2025, the company announced it had been recognized as a “Saudi Made” company under the kingdom’s industrial program.

The facility update came nearly six months after Lucid last released images from inside the AMP-2 plant.

The facility spans approximately 1.3 million square meters and is expected to reach an annual production capacity of up to 155,000 vehicles.

Full production is expected to start late next year, coinciding with the planned launch of the company’s first midsize platform vehicle, a crossover SUV with a $50,000 price point designed to compete with the Tesla Model Y market.

Saudi Arabia’s Public Investment Fund, the kingdom’s sovereign wealth fund, currently holds a stake of more than 60% in Lucid.

Arizona Factory Process

Twork’s comments about the Saudi facility came after he spent several days at Lucid‘s Arizona factory in Casa Grande.

On Friday, he shared observations from what he called one of his favorite moments in the manufacturing process.

“Spent the last few days in our Arizona factory and captured one of my favorite moments in the Lucid build process, the marriage point where body and chassis come together,” Twork wrote.

“Everything that defines Lucid performance, efficiency, and craftsmanship meets right here before each Air and Gravity rolls out to the world,” the VP added.

The Saudi plant will add to Lucid‘s existing Casa Grande, Arizona factory once the transformation to full manufacturing is complete.

Saudi Market Deliveries Begin

Last month, Lucid delivered the first units of its Gravity SUV in Saudi Arabia, nine months after opening orders in the country for its second model.

The first delivery was disclosed in a LinkedIn post by a brand sales advisor, Mohammed Moumena, though the company did not officially announce the start of deliveries until November 15.

The vehicle was delivered in Jeddah, where Lucid operates one of its two permanent studios in Saudi Arabia. The other location is in Riyadh, the country’s capital.

Lucid began accepting orders in Saudi Arabia for the SUV in January, with pricing starting at 487,715 Saudi riyals ($130,000) for the Grand Touring variant and 416,645 riyals ($111,100) for the Touring trim.

Cláudio Afonso founded CARBA in early 2021 and launched the news blog EV later that year. Following a 1.5-year hiatus, he relaunched EV in April 2024. In late 2024, he also started AV, a blog dedicated to the autonomous vehicle industry.