The British company Arrival is not in its best economic moment. The value of its shares has been falling significantly in recent months and, just a few weeks ago, the company’s decision to face the dismissal of almost 800 workers, 30% of its total workforce, was made public. Now him Financial Times has published that the company will park two of the three projects with which it worked to devote himself entirely to the launch of his electric delivery van.
From the electric vehicle company they have not yet given an official response in this regard, however, since Financial Times have mentioned three people familiar with the company’s own project who stated that this significant reduction would be reflected in the economic and personal amount dedicated to completing the electric van and start its subsequent serial production, which is expected to happen in the coming months, specifically during the fall season.
Among the open projects, in addition to the aforementioned electric van, there was an electric bus, which it had even scheduled tests to be carried out by its clients and had the certification of the European Union; and also an electric car developed jointly with Uber and of which they promised a greater interior space than a Rolls-Royce. This demonstrates, once again, Arrival’s total commitment to its electric delivery van and the medium-term economic possibilities that this vehicle promises.
There are already many companies focused on the creation of this type of vehicle as an alternative to the classic diesel vans, since according to different reports, these have a good part of the responsibility for pollution in large cities, an effect that would be suppressed with the launch of electric models.
Rivian and its ADV for Amazon will be one of the main rivals for the Arrival vehicle, even more so when the North American company extends this model to other clients beyond the internet commerce giant. However, there are also variants by Stellantis, Volkswagen, Ford, Canoo or Volta, the latter with its smaller size model.
From the source of this information they state that the paralysis of the rest of the projects was carried out after a decision last July, which came along with the need to reduce its workforce. Arrival is expected to present its financial results over the next few days, where the vicissitudes that the company has gone through during the first half of this 2022 can be observed.
Arrival has lost more than 90 percent in the value of its shares since March 2021when it announced its IPO, which they attribute to the current economic slowdown, as well as the significant increase in manufacturing costs and the volatility of many stock markets.