In 2018, fledgling EV maker Arrival partnered with UPS to construct a brand new era of electrical supply vans, starting with a pilot fleet of 35 autos, to be used in each the US and Europe. The firm rapidly expanded its scope from there, engaged on plans for an electrified bus, an EV rideshare car for Uber and an $11.5 million battery plant. However, on Thursday the corporate abruptly introduced that it has determined to shutter its bus and automotive initiatives to as a substitute “refocus its resources on the US market while further advancing its enabling technologies.”
In a press launch Thursday, the corporate said that “scaling production in the Bicester [UK] microfactory requires significant further investment in hard tooling and working capital and the Company has determined that the benefits of such an investment would be best directed to the US market.” As such, the corporate will restructure and focus its efforts on the Van and the underlying tech that makes it run.
Arrival cites the US EV tax credit score as a significant affect on its choice, noting that the Inflation Reduction Act is, “expected to offer between $7,500 to $40,000 for commercial vehicles, [a] large addressable market size, and substantially better margins.” Unfortunately, the corporate should (ugh, their phrases) “right size” the UK workforce, as in layoffs.
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