Jason Ford

Investment in Arrival will see rise of Microfactories

News

London-based Arrival has raised $118m from funds managed by BlackRock to support the company’s ramp-up of commercial electric vehicle production through its so-called Microfactories.

Arrival said its Microfactories require low capital expenditure and are rapidly scalable so can be placed anywhere in the world to serve the regions they are located in.

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Mike Ableson, CEO Arrival Automotive said: “One of the advantages of our Microfactory model is that we don’t need to build new factories from scratch. Instead, we can quickly get our production cells up and running in existing warehouses. Unlike traditional OEM factories that can take up to 36 months to build, Microfactories can be ready to begin operations within six months. This flexibility drives down costs and allows us to scale production quickly based on local demand.”

The Microfactories employ a new cell-based assembly method rather than a traditional automotive production line, allowing the production of any vehicle from Arrival’s portfolio – including electric vans and buses - using proprietary in-house developed components, materials, and software.

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