Lotus has committed to continuing production at its UK Hethel plant, a year after threatening to cease operations there. CEO Feng Qingfeng unveiled a dramatic strategic shift, slashing sales targets from 150,000 vehicles by 2028 to just 30,000 annually. The struggling brand, controlled by China's Geely, acknowledged its previous strategy moved too fast and now prioritizes profitability over expansion.

The company faces substantial challenges with $3.3 billion in liabilities and a market valuation that has plummeted from over $9 billion to less than $800 million. Lotus is pivoting toward plug-in hybrids, with its first hybrid supercar, the Type 135, expected in 2028. The Eletre X hybrid has already received 1,000 orders since its March launch in China, with European sales planned for later this year.

The Hethel facility is being positioned as an export hub following a US-UK trade deal, though Feng called for additional government support to bolster cost competitiveness. Lotus is seeking additional investors to strengthen its finances while maintaining its commitment to the UK plant.