According to Bloomberg, Arrival is planning to construct numerous micro-factories in the United States in order to comply with the newly modified EV tax incentives, which require cars to be manufactured in North America. It will take a lot more money to make that happen, with Sverdlov predicting that a facility would cost $50 million, plus another $50 million for operating capital.
Due to the liquidity constraint, Arrival has had to restructure its business, cutting its employees and postponing expenditure on its bus project. The firm is one of several EV companies that went public by combining with SPAC in order to access massive amounts of money that have been accessible in recent years.
