Arrival’s second Microfactory in the US will initially produce zero-emission vans for UPS
CHARLOTTE, N.C. – Arrival, the global company creating electric vehicles (“EVs”) using its game-changing technologies, announced Wednesday that it will be building its second US Microfactory in Charlotte, North Carolina. This Microfactory will produce electric delivery vans, and is expected to bring more than 250 new jobs to Charlotte and Mecklenburg County. The Microfactory is expected to begin production by Q3 2022.
Arrival, founded in 2015, with North American Headquarters in Charlotte, is accelerating the transition to zero-emission commercial vehicles by creating best in class products that are comparable in price with fossil fuel equivalents, offering a substantially lower Total Cost of Ownership (TCO) for operators. The new Microfactory in Charlotte exemplifies this approach, bringing to the region fully electric Vans that excel across both payload and cargo volume.
Arrival’s ability to create vehicles with a competitive price point to fossil fuel equivalents and lower Total Cost of Ownership, stems from their pioneering new method of design and production. Arrival’s vertically integrated approach uses in-house developed hardware and software and combines it with assembly in Microfactories. The Microfactories are low CapEx, have a smaller footprint than conventional factories, have the ability to create significant unit economics and can be placed all over the world to serve local communities, bolstering local communities and economies.
The new Microfactory will be located in West Charlotte, North Carolina, near Charlotte Douglas International Airport, at Meadow Oak Commerce Center. Arrival is investing approximately $41.2 million in the modern production center that can assemble up to 10,000 electric delivery vans each year. Last fall, Arrival announced it would be opening a Microfactory facility for its electric buses in Rock Hill, SC and in December 2020, announced it would establish its North American headquarters in South End, creating over 650 jobs in the Charlotte region.
“Arrival is excited to expand its presence in Charlotte and we look forward to playing an even bigger role in contributing to the local community and bringing onboard the region’s local talent. Our newest Microfactory will be producing two different classes of EV Vans for our US customers, expanding the zero-emissions options for fleet operators and accelerating the mass adoption of electric vehicles. We are pleased to increase our investment as we extend our partnership with the City of Charlotte and believe we will continue to see strong demand for our vehicles as more operators transition to electric,” said Michael Ableson, CEO, Arrival Automotive. Many of the vehicles produced at the Charlotte Microfactory are expected to enter UPS’s North American fleet as part of its commitment to purchase up to 10,000 vehicles from Arrival in the US and Europe.
“We’re excited by this significant milestone that will enable UPS to economically deploy electric vehicles throughout our global operations at an increasing pace,” said Luke Wake, vice president of maintenance and engineering, UPS Corporate Automotive. “At UPS, we’re laser focused on finding operational efficiencies. Establishing factories that can quickly serve both the European and North American markets is a masterful use of logistics. We can’t wait to see UPS’s new electric vehicles roll out of this factory as this is also one of many paths UPS is taking to reduce its CO2 emissions.”
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In the short few months since Arrival came to Charlotte, the company has forged strong partnerships with the City and community leaders in clean energy. In December, the City of Charlotte and Arrival unveiled a signed memorandum of understanding that demonstrates their shared vision, guiding principles, and goals to improve sustainability efforts and reduce greenhouse emissions. This MOU builds on the City of Charlotte’s Strategic Energy Action Plan that outlines strategies for clean energy focused on transportation, buildings, energy generation, and workforce development/equity.
“We are so excited to see that Arrival is already expanding in Charlotte. Their decision to locate their Microfactory in West Charlotte will have a major impact on our residents, bringing new, well-paying career opportunities to the neighborhood, in a high-tech environment that is rooted in sustainability,” said Mayor Vi Lyles. “These are the jobs of the future and we couldn’t be happier they choose to bring these opportunities to our residents.”
“We are pleased to partner with Arrival to bring new employment opportunities to the County, specifically to the West Charlotte area. As a County we have worked to build a thriving manufacturing sector to help bridge the economic mobility gaps in our community. Arrival’s forward-thinking leadership in the electric vehicle sector positions them for long-term growth and the ability to offer great entry level jobs with growth potential for our residents,” said George Dunlap, Chair of the Mecklenburg County Board of Commissioners. “Additionally, we look forward to partnering with Arrival to advance the goals of the County’s Environmental Sustainability Plan.”
The project was a collaborative effort between the City of Charlotte, Mecklenburg County, North Carolina Department of Transportation, North Carolina Department of Commerce, University of North Carolina Charlotte, North Carolina Community College System, Duke Energy, the Charlotte Regional Business Alliance and the Economic Development Partnership of North Carolina.