Electric car maker Arrival to build a microfactory in Charlotte

At the plant out near the airport, Arrival says it will be able to produce up to 10,000 electric delivery vans a year. These will be zero-emission vans, many of which will ultimately be used by UPS, Arrival said in a statement.

Arrival is spending approximately $41.2 million on the new facility. It will begin production sometime in the third quarter of 2022.

Why it matters: The west Charlotte factory is Arrival’s latest in a flurry of big investments in the Charlotte area. Last fall, the company announced it is opening a North American headquarters in South End. There, it’s adding a number of “white collar” jobs like engineering, procurement, marketing and finance.

• Also last year, the company said it’ll open its first U.S. microfactory in Rock Hill, where it’ll manufacture electric buses.

Zoom out: Arrival’s foray into Charlotte comes at a time when the city is working to advance its own sustainability goals. Charlotte’s Strategic Energy Action Plan outlines strategies for clean energy in areas like transportation and building construction.

• The city, for instance, plans to power buses and facilities with 100% zero-carbon sources by 2030.
• Last year Arrival signed a memorandum of understanding with the city to collaborate on shared sustainability goals. Arrival is consulting with Charlotte on energy-saving efforts in municipal buildings, collaboration on educational campaigns, and partnering on workforce development programs

“The company’s commitment to create more clean energy jobs demonstrates their confidence in North Carolina’s talented and resilient work force and commitment to a clean energy future,” Governor Roy Cooper said in a statement.

Arrival is receiving the following incentives from the city and county, assuming it meets its job-creation goals:

• From the city of Charlotte: $657,094, paid out over a term of up to 7 years.
• From Mecklenburg County: $906,824, paid out over a term of up to 5 years.

It’s not clear whether Arrival is receiving any incentives from the state for the project. A Commerce Department representative did not respond to a question about incentives.