It appears that Lucid is adopting a pretty deliberate strategy in its efforts to ramp its operations in Saudi Arabia. As per comments from Lucid global vice-president Faisal Sultan, the automaker is now assembling Lucid Air sedans in its Saudi Arabia factory. So far, almost 800 cars have already been assembled in the facility.
Lucid opened its Saudi Arabia plant in September, with a target production rate of 5,000 vehicles per year. The facility was built following the Saudi Arabian government’s pledge to purchase up to 100,000 Lucid vehicles over a decade. To accomplish this target, Lucid would need a workforce in Saudi that could build its cars according to the company’s standards.
In a comment to Reuters, Sultan noted that the nearly 800 Lucid Air sedans that have been built in the Saudi plant were actually already fully assembled in the company’s Arizona plant. The completed vehicles are simply disassembled, shipped to the Saudi plant as a kit, and reassembled at the Middle Eastern facility.
“The car is fully built in Arizona… then it gets de-assembled… then the car gets shipped here as a kit, and that kit is then put back together,” the Lucid executive said. Workers in the Saudi facility, which is located in Jeddah, are tasked to re-attach the battery, put the trims back on, and reinstall the tires, among others. Each reassembled Lucid Air is also retested.
While Lucid’s current setup at its Saudi plant seems quite inefficient, it should be noted that the automaker is focusing on training its local staff for now. Thus, while the facility could only really finish a few vehicles at a time due to its current setup, Lucid’s Saudi facility would likely improve its output as its workforce becomes more familiar with the production of the luxury electric sedan.
Sultan highlighted this idea in a comment. “It (the Saudi factory) is a small operation for us. The reason why we have kept it this way is that we want to take baby steps in our approach of training people. You are doing roughly 16, 17 to 20 vehicles a day, rather than an hour, you can spend time with them to really train them,” he said.
Ultimately, Lucid is looking to prepare its Saudi staff for a more ambitious project. Plans are underway to open a complete build unit (CBU) facility in Saudi, which should be capable of fully manufacturing a car. The construction for Lucid’s CBU has already started, and the company is aiming to start vehicle production in the facility in 2026.
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Armored Tesla Cybertruck “War Machine” debuts at Defense Expo 2025
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Tesla Megapacks chosen for 548 MWh energy storage project in Japan
Tesla plans to supply over 100 Megapack units to support a large stationary storage project in Japan, making it one of the country’s largest energy storage facilities.
Tesla’s Megapack grid-scale batteries have been selected to back an energy storage project in Japan, coming as the latest of the company’s continued deployment of the hardware.
As detailed in a report from Nikkei this week, Tesla plans to supply 142 Megapack units to support a 548 MWh storage project in Japan, set to become one of the country’s largest energy storage facilities. The project is being overseen by financial firm Orix, and it will be located at a facility Maibara in central Japan’s Shiga prefecture, and it aims to come online in early 2027.
The deal is just the latest of several Megapack deployments over the past few years, as the company continues to ramp production of the units. Tesla currently produces the Megapack at a facility in Lathrop, California, though the company also recently completed construction on its second so-called “Megafactory” in Shanghai China and is expected to begin production in the coming weeks.
READ MORE ON TESLA MEGAPACKS: Tesla Megapacks help power battery supplier Panasonic’s Kyoto test site
Tesla’s production of the Megapack has been ramping up at the Lathrop facility since initially opening in 2022, and both this site and the Shanghai Megafactory are aiming to eventually reach a volume production of 10,000 Megapack units per year. The company surpassed its 10,000th Megapack unit produced at Lathrop in November.
During Tesla’s Q4 earnings call last week, CEO Elon Musk also said that the company is looking to construct a third Megafactory, though he did not disclose where.
Last year, Tesla Energy also had record deployments of its Megapack and Powerwall home batteries with a total of 31.4 GWh of energy products deployed for a 114-percent increase from 2023.
Other recently deployed or announced Megapack projects include a massive 600 MW/1,600 MWh facility in Melbourne, a 75 MW/300 MWh energy storage site in Belgium, and a 228 MW/912 MWh storage project in Chile, along with many others still.
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Tesla highlights the Megapack site replacing Hawaii’s last coal plant
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Elon Musk responds to Ontario canceling $100M Starlink deal amid tariff drama
Ontario Premier Doug Ford said, opens new tab on February 3 that he was “ripping up” his province’s CA$100 million agreement with Starlink in response to the U.S. imposing tariffs on Canadian goods.
Elon Musk company SpaceX is set to lose a $100 million deal with the Canadian province of Ontario following a response to the Trump administration’s decision to apply 25 percent tariffs to the country.
Starlink, a satellite-based internet service launched by the Musk entity SpaceX, will lose a $100 million deal it had with Ontario, Premier Doug Ford announced today.
Starting today and until U.S. tariffs are removed, Ontario is banning American companies from provincial contracts.
Every year, the Ontario government and its agencies spend $30 billion on procurement, alongside our $200 billion plan to build Ontario. U.S.-based businesses will…
— Doug Ford (@fordnation) February 3, 2025
Ford said on X today that Ontario is banning American companies from provincial contracts:
“We’ll be ripping up the province’s contract with Starlink. Ontario won’t do business with people hellbent on destroying our economy. Canada didn’t start this fight with the U.S., but you better believe we’re ready to win it.”
It is a blow to the citizens of the province more than anything, as the Starlink internet constellation has provided people in rural areas across the globe stable and reliable access for several years.
Musk responded in simple terms, stating, “Oh well.”
Oh well https://t.co/1jpMu55T6s
— Elon Musk (@elonmusk) February 3, 2025
It seems Musk is less than enthused about the fact that Starlink is being eliminated from the province, but it does not seem like all that big of a blow either.
As previously mentioned, this impacts citizens more than Starlink itself, which has established itself as a main player in reliable internet access. Starlink has signed several contracts with various airlines and maritime companies.
It is also expanding to new territories across the globe on an almost daily basis.
With Mexico already working to avoid the tariff situation with the United States, it will be interesting to see if Canada does the same.
The two have shared a pleasant relationship, but President Trump is putting his foot down in terms of what comes across the border, which could impact Americans in the short term.
Armored Tesla Cybertruck “War Machine” debuts at Defense Expo 2025
Tesla Megapacks chosen for 548 MWh energy storage project in Japan
