Nikola says that a vehicle was seen in the vicinity of its Arizona facility shortly before the start of a fire that damaged four of its trucks
June 23, 2023 at 13:50
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A fire at Nikola’s Phoenix, Arizona, facility is suspected to have been a result of foul play, the company announced Friday morning. Details remain scant, but the automaker did say that no people were injured in the blaze.
The Phoenix Fire Department stated that hazardous materials crews were on hand to deal with the fires, which started early in the morning. The trucks in question were made by Nikola, which produces electric and new energy semi trucks with lithium-ion batteries, which has made the fire difficult to manage.
Officials noted that the fires caused thick plumes of black smoke and strong chemical smell in the area, per Fox 10. The fire department has asked that the public avoid the area surrounding the fire, which occurred near 40th Street and Broadway Road and damaged at least four vehicles, reports ABC 15 Arizona.
Read: Autonomous Jaguar EV That Caught Fire At Phoenix Waymo Facility
The department has not yet determined the cause of the fire, and Nikola has said that it is awaiting the results of an investigation before sharing more details. In a tweet, it said that a vehicle was seen in the vicinity of the trucks shortly before the fire started, leading it to believe that the fire may have been caused intentionally.
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Fortunately, the buildings near the truck do not appear to have been damaged, but the fire is just the latest blow to Nikola. The incident comes just over a week after the company announced plans to cut 120 employees at its Arizona facility, in addition to another 150 at its locations in Europe.
The cuts were part of a reorganization plan that Nikola hoped would help it save $50 million per year. A response to financial difficulties, its shares were trading so low earlier this month that it said it was considering reversing its stock split, in order to continue to be listed on the Nasdaq exchange.
This fire is unlikely to help with that situation, as the company’s shares fell by as much as 10 percent on Friday, following the announcement of the fire, Marketwatch reports.
