Inventory

12 Months Ended

Dec. 31, 2023

Inventory Disclosure [Abstract]

Inventory

Inventory

Inventory consists of the following as of December 31, 2023 and 2022 (in thousands):

	As of December 31,
	2023		2022
Raw materials	$	183,754	$	698
Work in progress	2,825		—
Finished goods	219,926		3,578
Total	$	406,505	$	4,276

Inventory is comprised of raw materials, work in progress related to the production of vehicles for sale and finished goods inventory including new vehicles available for sale. Expenditures related to services performed subsequent to the start of production of salable vehicles in the second quarter of 2023 are expensed when sold in Cost of goods sold in the Consolidated Statements of Operations.

The Company writes-down inventory for any excess or obsolete inventories or when the net realizable value of inventories is less than the carrying value. The Company recorded an excess and obsolescence reserve on inventories of $1.2 million and recorded a write down of total inventory to net realizable value totaling $232.7 million for the year ended December 31, 2023. Fixed production overhead costs are allocated to inventory based on the estimated normal level of production.