Company: REE
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001628280-25-025661
Chunk: 40

Company: REE Automotive Ltd.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 3
Chunk 40
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 production of EVs by REE’s competitors, geopolitical risk, including tariffs by certain countries, and other economic and political factors. Additionally, if our suppliers do not accurately forecast and effectively allocate production or if they are not willing to allocate sufficient production to us, or face other challenges such as insolvency, it may reduce our access to components and require us to search for new suppliers. The unavailability of any component or supplier could result in production delays, idle assembly facilities, product design changes and loss of access to important technology and tools for producing and supporting our products, as well as impact our ability to fulfill our obligations under customer contracts. Any such increase, supply interruption or shortage could materially and negatively impact REE’s business, prospects, financial condition and operating results.

If and when we resume manufacturing, REE’s production plan would likely relate to producing a certain number of vehicles in the U. S. Such production plan targets will be subject to a variety of risks, including the completion of REE’s production tooling investment plan, sourcing materials and components from REE’s suppliers on its agreed upon deadlines, securing sufficient funding, and global macroeconomic conditions.

If and when we resume manufacturing, REE’s business plan would likely relate to producing a certain number of vehicles in the U. S. However, such production plan would rely on our ability to complete our production tooling investment plan, securing materials from REE’s suppliers on its agreed upon deadlines and securing sufficient funding primarily for

Table of C ontents

working capital purposes. If REE is unable to complete its production tooling investment plan, if its suppliers face delays in delivering materials to REE from its expected timelines, or other delays occur, REE may not meet its production plan timing. In addition, REE’s production plan relies on its ability to finance the required working capital needs by raising sufficient funds, and therefore if we are unable to secure sufficient funding, we may not meet any of our production targets. Not meeting these production targets could materially and negatively impact REE’s business, prospects, financial condition and operating results and may cause us to wind down our business, restructure our business, and/or seek protection from creditors.

Risks Related to REE’s Future Sales

We invest significant effort and money seeking customer, including OEM, selection of our products and there can be no assurance that these efforts will result in the selection of our products, including for use in production models. If we fail to enter obtain a purchase order or achieve a design win after incurring substantial