Hyundai & Kia backed electric van maker Arrival could open sales in India [Update]

English electric van maker Arrival has moved into a new plant in Bicester, Oxfordshire in the UK, according to a report on PESMedia.com. The facility has a floor space of 120,000+ square feet and will manufacture vehicles for the European market. Interestingly Arrival has not purchased the facility, but is operating on a lease. Production is to start at the facility in 2021.

Arrival has secured an order of 10,000 vans worth about USD 440 million from US logistics company UPS for which the company intends to build ‘micro-factories’ near Los Angeles and New York that will deliver purpose-built vehicles suiting the needs of the local market.

Arrival is based out of London and has offices in the UK, Germany, USA, Netherlands, Russia and Israel.

25 February 2020 –

Arrival, a technology company based in London, could be opening shop in India to sell its commercial electric van as part of its larger ambition to make electric vehicles mainstream. Arrival recently secured a €100M investment from Hyundai Motor Company and Kia Motors Corporation.

Though there are no firm plans today, India could offer great potential for companies like Arrival to come in and take on the market early on. ElectricVehicleWeb reached out to Arrival regarding their plans for India and we were told that they have a flexible mode of manufacturing to easily enter a new market and they would consider entering the country in the long-term:

We have an exceptionally flexible and rapidly deployed mode of manufacture so that we can easily enter new markets. Additionally our ambition is to make electric vehicles mainstream for the masses which means entering as many markets as possible with solutions that match that market’s exact requirements.

Arrival’s idea is to create a new product category that will overcome barriers generally associated with electric vehicles – cost, design and efficiency. The company is aiming to produce Generation 2.0 electric vehicles for the same price as petrol and diesel counterparts. Arrival’s autonomous ready platform has been built ground-up and is light and modular. Looking to go into full-scale production in 2021 in the commercial vehicle segment, the electric vans are supposed to have a range of up to 300 miles and a 50 per cent reduced cost of ownership.

The investment from Hyundai and Kia will be used to accelerate the global adoption of electric vehicles in the commercial segment. Hyundai and Kia will use Arrival’s technologies and its skateboard platform to develop purpose-built electric vehicles (PBVs) in several categories. The partnership will also use Arrival’s micro-factories that are located in areas of demand for the development of the new vehicles.

The eco-friendly vehicle market in Europe is expected to grow rapidly due to the reinforcement of environmental regulations. Through the joint development of commercial electric vehicles with Arrival, we will be able to gain a competitive advantage and progressively establish our leadership in the global eco-friendly vehicle market.

Albert Biermann, President & Head of Research and Development Division, Hyundai Motor Group

Arrival is also undergoing trials with several companies like DHL, UPS, Royal Mail, etc. Arrival will be using Blackberry’s QNX SDP 7.0 operating system in the development of the company’s autonomous-ready commercial vehicle platform.

Specific to India, Hyundai is working on the ‘Smart Electric Vehicle’ project that will result in the launch of electric vehicles in the Indian market at a price of below Rs. 10 lakh in 2022, starting with a compact SUV. The low-cost electric cars are not related to Hyundai’s partnership with Canoo or the investment in Arrival Ltd.

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