Lucid Motors Confirms Full-Scale EV Production in Saudi Arabia for 2026 — 150,000 Cars by 2029

Breaking news: Lucid Motors is set to begin full-scale electric vehicle manufacturing at its Saudi Arabian factory in 2026, marking a major shift from its current partial assembly operations. The move signals a massive expansion for the EV maker in the heart of the GCC.

Here's what you need to know: Lucid's Advanced Manufacturing Plant-2 (AMP-2) in King Abdullah Economic City near Jeddah will transition from semi-knock-down (SKD) assembly to complete vehicle production starting next year. Production will ramp up gradually through 2027-2028 before hitting full annual capacity of 150,000 vehicles by 2029.

Why This Saudi Arabia EV Production News Matters

This isn't just another factory announcement. For GCC car buyers, this represents a potential game-changer in electric vehicle availability and pricing.

Lucid's interim CEO Marc Winterhoff confirmed the timeline at the Future Minerals Forum in Riyadh, stating: "We have already started moving in equipment and we are on track." He added that production will ramp up gradually in 2027 and 2028 before reaching that full 150,000-vehicle capacity in 2029.

But here's the context that makes this truly significant: Lucid's Arizona plant produced 18,378 vehicles in all of 2025. The Saudi facility's planned capacity represents an eight-fold increase over that global production number.

The Saudi Arabia EV Factory: From Partial to Full Production

The AMP-2 plant opened in September 2023 as Saudi Arabia's first car manufacturing facility. Initially, it handled partial assembly of imported vehicles. In October 2025, Lucid dispatched over 1,000 additional vehicles for final assembly there.

Now, the transition to full manufacturing means everything from stamping to final assembly will happen on Saudi soil. This aligns perfectly with Saudi Vision 2030's goal of achieving 30% EV adoption by 2030 and installing 5,000 fast chargers across the kingdom.

Lucid holds a unique position as Saudi Arabia's first and only local EV assembler. The Saudi Public Investment Fund (PIF) owns a 58.4% stake in Lucid, with total investments exceeding $8 billion since 2018. This includes $1 billion in March 2024 and another $1.5 billion in August 2024.

What Models Will Be Built in Saudi Arabia?

The Saudi factory will produce Lucid's current and upcoming lineup. This includes the luxurious 2026 Lucid Air sedan and the recently launched Gravity SUV.

The Gravity SUV is particularly noteworthy for GCC buyers: it offers 724 km of range, accelerates from 0-100 km/h in just 3.6 seconds, and seats up to seven passengers. That combination of performance, range, and practicality makes it ideal for regional driving conditions.

But that's not all. Lucid also plans to produce vehicles from its upcoming midsize platform at the Saudi facility. These more affordable models are projected to start around €43,000, potentially bringing Lucid technology to a much broader GCC market.

How This Affects GCC Car Buyers

Local production could significantly impact pricing and availability for GCC customers. Here's why:

First, manufacturing within special economic zones typically means 0% tax advantages. Second, it sidesteps import tariffs that add to the final price tag. Third, shorter supply chains mean faster delivery times.

Lucid already has studios in Riyadh, Jeddah, and Dubai. The Middle East region delivered 2,908 vehicles in 2025, showing strong initial demand. With local production, those numbers could skyrocket.

The competitive landscape is heating up too. Lucid will face competition from Ceer (Saudi Arabia's other homegrown EV brand), Hyundai, BYD, and Tesla. But being the first to establish full-scale manufacturing gives Lucid a significant head start.

The Bigger Picture: Saudi Arabia's EV Ambitions

This move isn't just about Lucid. It's about Saudi Arabia positioning itself as a major player in the global EV industry. The kingdom is creating an entire ecosystem, from raw materials to finished vehicles.

Saudi Arabia has been aggressively pursuing its Vision 2030 goals, and local EV manufacturing is a cornerstone of that strategy. With Lucid leading the charge, other manufacturers are likely to follow.

The timing is perfect too. Global EV adoption is accelerating, and regional demand is growing as infrastructure improves. Saudi Arabia's extreme climate makes range and cooling system performance critical factors—areas where Lucid has demonstrated expertise.

What's Next for Lucid in the GCC?

While no specific GCC pricing or availability dates have been announced for vehicles from the new production line, the implications are clear. GCC buyers can expect:

1. Potentially lower prices due to reduced logistics costs and tax advantages
2. Faster delivery times with vehicles produced locally
3. Greater model availability as production ramps up
4. Stronger after-sales support with manufacturing infrastructure nearby

The ramp-up timeline is ambitious but achievable. Starting in 2026, scaling through 2027-2028, and hitting full stride by 2029 gives Lucid time to perfect its processes while gradually increasing output.

The Bottom Line for GCC EV Shoppers

If you've been considering a 2026 Lucid Air or waiting for the Gravity SUV, this news should make you optimistic. Local production typically translates to better pricing, faster service, and stronger manufacturer commitment to the region.

The 150,000-vehicle annual capacity target by 2029 shows Lucid's confidence in both the Saudi market and its export potential. Given the PIF's substantial investment and Saudi Arabia's strategic vision, this factory is likely just the beginning.

As Winterhoff noted, the relationship with PIF remains strong, though no further major investments are expected in the near term. The focus now is execution—getting equipment installed, production lines running, and vehicles rolling off the line.

Source: AGBI, Electrek, Bike-EV

Stay tuned to DrivenArabia for the latest updates on Lucid pricing, availability, and test drive opportunities as Saudi production gets underway.