AYRO and Karma Automotive to Produce $300M Worth of Vehicles in Moreno Valley

By: Sharjeel Sohaib


Sep 16, 2021



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The UN Environment Program estimates that we will have 2.5 billion vehicles in 2050 compared to 1 billion, given the current growth rate in cars, pick-ups, and delivery vans. But, to keep the global temperature increase to below 2°C needs us to have least 20% (approximately 300 million vehicles) of all road transport vehicles to be electrically driven by 2030″, according to the International Energy Agency.  

To help fulfill this demand for light electric vehicles (EVs), AYRO Inc. and Karma Automotive have teamed up to produce $300 million worth of more than 20,000 vehicles through 2023, the company announced in September last year.

KYRO is a producer of light-duty, urban and short-haul electric vehicles (EVs). Through this partnership with Karma Automotive, it will use Karma Automotive’s Innovation and Customization Center’s (KICC) design, engineering resources, and manufacturing expertise to produce 20K+ units of EVs.

Partnership of Equals

AYRO has an intimate knowledge of end-user preferences and market engineering needs. KICC has vast manufacturing, development, and global supply chain capabilities. This makes it an equal-footed partnership.

AYRO will use KICC’s factory in Moreno Valley, CA., where KICC has complete control of all stages of EV production, from frame/chassis build, fabrication center, and body shop to the robotic paint shop and powertrain integration. This makes it easy to save costs as a back-and-forth between outside suppliers is minimized.

AYRO’s CEO Speaks About the Partnership

Speaking of the partnership, AYRO’s CEO said:

“Both teams will draw upon the diverse skill sets of both companies to provide customizable vehicles that address market-specific needs. AYRO is committed to delivering purpose-built EV solutions that reflect the real-world needs of users. Our partnership should allow us to rapidly expand on this promise to serve a larger and more diverse set of commercial fleets. Karma’s manufacturing base in southern California has the potential to put AYRO’s production and fulfillment operations near the top in the industry and should give us a strategic advantage in the multibillion-dollar purpose-built EV market.”

AYRO CEO Rod Keller

Karma Automotive’s Innovation Center at the Moreno Valley

It was in March 2019 that Karma Automotive launched its customization and innovation hub in Moreno Valley. Digging through Karma’s strategy, what it calls ‘The Value Forward business strategy behind this innovation center, it appears the company will tap two markets simultaneously.

One is the luxury electric vehicle niche, and it launched Revero EV in this niche with two variants (GS-e6 and GS-6L).

Source: AutoMotoTV

We have covered it in our Weekly Wire Round up

Inland Empire and the Rise of Electric Vehicles

We reported last week that the Inland Empire has 40K+ electric vehicles and was ranked the 10th best metro in adopting EVs. Apart from a rapid adopter of EVs, the region is home to companies innovating in the EV infrastructure space.

Companies like karma Automotive, AYRO, Ontario-based KIGT, and Phoenix Motor Cars (manufacturer of all-electric medium-duty vehicles) are companies making the region a leader in EV infrastructure and vehicle manufacturing.

A Mesh of Growing Industries

If you take a 30,000 feet view of how the Inland Empire’s economy is growing, two sectors will stand out. One is the logistics and distribution sector, powering the country’s supply chain. The other is the property and real estate market, and there’s much to be desired in terms of innovation in the sector.

However, apart from these two sectors, you will come across many mini-industries or clusters around cyber security, quantum computing, and emerging tech startups throughout the region.

Our goal at Startempire Wire is to act as a megaphone to connect the dots between the best startups, events, and people in the Inland Empire. Don’t forget to subscribe to our YouTube channel, and like/follow us on FacebookTwitter, and Instagram.


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