RIYADH: Lucid Group, in which Ƶ's Public Investment Fund holds a major stake, has signed a dealfor the construction of a plant in the Kingdom that will produce 150,000 electric vehicles per year.
The company signed agreementsonFeb. 28 with the Ministry of Investment of Ƶ,the Saudi Industrial Development Fund, and the Economic City at King Abdullah Economic City.
Lucid estimates its first international manufacturing plant in Ƶ may lead up to $3.4 billion of value over 15 years, it said in a statement.
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Once full manufacturing capacity is achieved, the firm plans to employ thousand of workers at its KAEC factory, the majority of whom will be Saudi nationals.
Lucid believes that Ƶ's initiatives to build an automotive ecosystem through its Saudi Vision 2030 would result in cost savings for the company as well as environmental benefit by reducing traditional transportation to customers.
“We are proud to partner withLucidto enable this new industry inƵ, which is one of the future’s most complex and technology-dependent industries, and a major contributor to the supply chain development of other related industries that intersect with auto manufacturing,” said Bandar Alkhorayef, Minister of Industry and Mineral Resources and Chairman of SIDF.
“Attracting a global leader in electric vehicles such as Lucid to open its first international manufacturing plant in Ƶ reflects our commitment to creating long-term economic value in a sustainable, enduring, and globally integrated way” saidKhalid Al-Falih, Minister of Investment, in a press release on Monday.
“The USgovernment welcomes Ƶ’s effort to diversify its economy and fight climate change,” said Martina Strong, the head of the USmission toƵ.
