Canoo To Build Its EVs At Oklahoma Factory In USA

Canoo has pivoted from the original vision of the company which is resulting in two more EVs that it is developing.

By Sahil Gupta

1 mins read

Published on June 18, 2021

Highlights

Canoo managed to get a $300 million tax break from Oklahoma state
Oklahoma wanted to woo Tesla to build a factory
Canoo in the meanwhile, has a contract manufacturer on-board

Silicon Valley-based EV startup Canoo has announced that it will be building its EVs at a new factory that's outside Tulsa, Oklahoma in the US. The new facility is said to help create more than 2000 jobs and will become operational in 2023. The facility is being built at a 400-acre site in MidAmerica Industrial Park in Pryor, Oklahoma. It will include a paint shop, a body shop, a general seemly plan and in Canoo's words, it will be a mega micro-factory. This however doesn't mean that Canoo's first electric car, the Van will not arrive before 2023. It has hired a contract manufacturer from the Netherlands called VDL Nedcar which will be making the Van that was announced in 2019, by the end of 2022. VDL Nedcar will make up to 1000 vehicles which will be for both the European and US market. In 2023, it will target 15,000 vehicles. This comes after Canoo raised more than $600 million in the process of a SPAC merger which also resulted in its founders leaving the company. Canoo announced a new modular pickup truck that could be adapted for small businesses. It also plans on making an electric delivery vehicle. The new pickup truck as completely modular design Canoo's secret sauce is its platform which includes the battery pack, the electric motor and all the electronics. Canoo's skateboard is being viewed as being very innovative which is the reason why at a point Apple was interested in acquiring the company and Hyundai was interested in partnering with it. In Apple's case, it recently hired one of its co-founders - Ulrich Kranz, while Hyundai has developed its own EV platform that is being seen in vehicles like the IONIQ. Canoo had been looking for a state for its manufacturing facility. It managed to get Oklahoma after the state tried to woo Tesla unsuccessfully. Canoo CEO Tony Aquila revealed that Oklahoma has granted it an incentive package of $300 million and this may improve in the case Canoo exceeds its target of hiring military veterans to make up for 10 per cent of the workforce facility.