News Summary
Lucid Group Inc. has unveiled new facilities in Phoenix and Coolidge, Arizona, enhancing its manufacturing and development capabilities. The expansion marks a pivotal moment for the company as it aims to create 500 new jobs and boost vehicle production. Following the acquisition from Nikola Corp during its bankruptcy auction, Lucid’s total presence in Arizona now spans nearly 4 million square feet. Local officials anticipate this development will further bolster Arizona’s reputation as a hub for clean technology and advanced manufacturing.
Phoenix, Arizona — Lucid Group Inc. has expanded its operations in Arizona by opening a new facility in Phoenix and a manufacturing plant in Coolidge, marking a significant step in the company’s growth strategy. This expansion follows the acquisition of the properties, initially owned by Nikola Corp, during the company’s bankruptcy auction. The grand opening event took place on June 11, 2025, showcasing Lucid’s ambition to enhance its production and development capabilities in the state.
The new facilities add over 884,000 square feet of space dedicated to manufacturing, product development, and warehousing, which will greatly enhance Lucid’s operational capacity. Senior Vice President of Operations indicated that the Phoenix hub and the Coolidge site will significantly support advanced manufacturing and continuous innovation in product development. Additionally, these new facilities integrate within Lucid’s existing ecosystem, including its established manufacturing hub in Casa Grande, Arizona.
The acquisition from Nikola Corporation, completed in April, not only included the new facilities but also various assets, increasing Lucid’s total presence in Arizona to nearly 4 million square feet. The amenities at the new sites encompass advanced development equipment, battery and environmental testing chambers, a full-size chassis dynamometer, and machining technology which will facilitate the production of Lucid’s upcoming models, including the Lucid Gravity and preparations for a new midsize vehicle platform.
As part of this expansion, Lucid plans to create around 500 new jobs in Phoenix over the next three to five years. Currently, Lucid employs approximately 2,800 individuals in Arizona and aims to significantly increase vehicle production, setting a goal to scale up to tens of thousands of vehicles annually. The company is working towards introducing a new model priced around $50,000, which aims to compete with the popular Tesla Model Y, enhancing its market presence in the electric vehicle sector.
In a move to consolidate its resources and enhance efficiency, Lucid is also considering relocating some engineering functions from California to Arizona. This strategy comes in light of the company’s challenging financial history, which includes a staggering $3 billion loss last year and prior workforce reductions. Despite these struggles, company leadership expresses optimism about future growth prospects in the rapidly evolving electric vehicle market.
The grand opening is viewed as a significant win for the city of Phoenix, bolstering Arizona’s reputation as a burgeoning hub for clean technology and advanced manufacturing. Local officials, including Phoenix Mayor Kate Gallego, anticipate that Lucid’s expansion will attract further investment and innovation to the area, contributing to the local economy.
This development follows the notable decline of Nikola Corp, which faced a market valuation of $30 billion in 2020 but ultimately filed for bankruptcy in February 2023. Lucid’s emphasis on cutting-edge innovation and robust manufacturing in Arizona is strongly supported by the Arizona Commerce Authority, signifying a positive trajectory for the company’s future in the state.
As Lucid Group Inc. ramps up its operations with these new facilities, the focus on advanced technology and sustainable manufacturing processes aligns with the increasing demand for electric vehicles, positioning Lucid to compete in the expansive automotive market.
Deeper Dive: News & Info About This Topic
HERE Resources
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Additional Resources
- Arizona Commerce Authority News
- ABC15 News
- AZ Family News
- Wikipedia: Electric Vehicle
- Google Search: Lucid Group expansion Arizona
Author: STAFF HERE PHOENIX WRITER
PHOENIX STAFF WRITER The PHOENIX STAFF WRITER represents the experienced team at HEREPhoenix.com, your go-to source for actionable local news and information in Phoenix, Maricopa County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Waste Management Phoenix Open, Cactus League Spring Training, and Arizona State Fair. Our coverage extends to key organizations like the Greater Phoenix Chamber of Commerce and Visit Phoenix, plus leading businesses in technology and healthcare that power the local economy such as Intel and Banner Health. As part of the broader HERE network, including HERETucson.com, we provide comprehensive, credible insights into Arizona's dynamic landscape.
