Lucid To Enter Chinese Market, Said To Consider Local Production

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Lucid's head of China operations Zhu Jiang confirmed to Reuters that the company is preparing to enter the Chinese market.

, the company said the funding would help it"bring the advanced EV technology and product experience to the industry and users globally at a faster pace." As it turns out, part of the funds will be used for the expansion to China."China is also looking forward to it," Zhu toldLucid is currently struggling with increasing losses and dwindling cash reserves amid recession fears and a price war sparked by Tesla.

Last month, the EV startup posted a first-quarter net loss of $780 million and a lower-than-expected first quarter revenue of almost $150 million. It alsofrom its previous estimate of 10,000-14,000 vehicles. Another sign of waning demand is that Lucid delivered only 1,406 vehicles in Q1 despite building 2,314 units during the same period. The discrepancy between production and deliveries has been going on pretty much since Lucid manufactured its first Air EV in September 2021.sell some of its surplus inventory of Air EVs, but a lot will depend on the pricing strategy in the highly competitive market.

 

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