Really good article on Reuters about Rivian actually showcasing their supply issues. I wonder if Lucid is facing the same issues and if so, is experiencing production in stops and starts like Rivian is.
Scaringe thinks suppliers are holding back, wondering if Rivian is using semiconductor shortages as an excuse to cover up more serious production problems… Now a top priority for Scaringe and other Rivian executives is convincing supplier executives that the Normal plant and its workforce are ready to accelerate…. Low volume manufacturers are up against skepticism - "are you guys for real?" - while larger players are willing and able to pay for a year's worth of chips in one transaction.
Bursts of production at the factory stop when parts run out, executives said…. "I'd love to run a full five-day shift," Scaringe said. Rivian vehicles have about 2,000 parts, he said. "One half of one percent of those are challenged."
With $18B in the bank, one would think Rivian wouldn’t have trouble buying the parts it needs, but the article makes it sound more like suppliers aren’t willing rather than aren’t able to sell to Rivian. Nevertheless, you have to wonder if Lucid is in the same boat. They’ve said chips aren’t the issue but a small number of commodities are, and we’ve seen how those can delay option availability. I wouldn’t be surprised if Lucid takes a cue from Rivian and gives additional media tours of Casa Grande if they continue to experience production hell.
Scaringe thinks suppliers are holding back, wondering if Rivian is using semiconductor shortages as an excuse to cover up more serious production problems… Now a top priority for Scaringe and other Rivian executives is convincing supplier executives that the Normal plant and its workforce are ready to accelerate…. Low volume manufacturers are up against skepticism - "are you guys for real?" - while larger players are willing and able to pay for a year's worth of chips in one transaction.
Bursts of production at the factory stop when parts run out, executives said…. "I'd love to run a full five-day shift," Scaringe said. Rivian vehicles have about 2,000 parts, he said. "One half of one percent of those are challenged."
With $18B in the bank, one would think Rivian wouldn’t have trouble buying the parts it needs, but the article makes it sound more like suppliers aren’t willing rather than aren’t able to sell to Rivian. Nevertheless, you have to wonder if Lucid is in the same boat. They’ve said chips aren’t the issue but a small number of commodities are, and we’ve seen how those can delay option availability. I wouldn’t be surprised if Lucid takes a cue from Rivian and gives additional media tours of Casa Grande if they continue to experience production hell.
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