Company: REE
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001628280-25-025661
Chunk: 1

Company: REE Automotive Ltd.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 3
Chunk 1
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 uncertainty.

• Our significant shareholders have influence and may be able to exert substantial influence over REE, including over decisions that require the approval of shareholders, and their interests may conflict with the interests of other shareholders, which could materially adversely impact REE.

Table of C ontents

• If the market for SDVs does not develop as REE expects or develops slower than REE expects, its business prospects, financial condition, and operating results may be adversely affected.

• REE’s future sales and operations in international markets may expose it to operational, financial and regulatory risks, including unfavorable regulatory, political, tax and labor conditions, which could negatively impact us.

• Adverse conditions in the automotive industry and adverse global conditions, including macroeconomic, protectionist trade policies and tariffs, geopolitical uncertainty, and other events may negatively impact our financial results and/or operations. Our business could also be harmed by increases in costs, disruption of supply or shortage of materials.

• Our reservations include both binding orders and non-binding reservation and such non-binding reservations may not result in definitive purchase orders and/or agreements and the majority of our reservation value is dependent upon our March MOU customer. REE is also subject to others risks associated with our strategic partners.

• There is no guarantee that our potential customers will purchase our SDV products in any certain quantity or at any certain price even after we achieve design wins, and there may be significant delays between the time we achieve a design win until we realize revenue from the vehicle model.

• REE’s products are in various stages of development and there are risks with developing such products into marketable products. If and when REE resumes manufacturing, its ability to induce follow-on sales following the initial sale of vehicles to our customers depends, in part, on its ability to prove that REE’s products are to the full satisfaction of such customers and to establish and maintain confidence in REE’s business prospects among such customers.

• Our market is both highly competitive against a large number of established competitors and new market entrants, and, with respect to EV in particular, one that is viewed more cautiously overall by the target customer-base.

• REE is subject to risks associated with the anticipated timing of REE’s initial commercial production and subsequent increased commercial production. We currently do not have extensive experience servicing products.

• REE’s development of an outsourced manufacturing business model, if and when REE resumes manufacturing, may not be successful, which could harm its ability to deliver its vehicles and recognize revenue.

• With respect to manufacturing, REE