The facility will produce mid-sized electric SUVs, price-competitive with gas-powered vehicles.
U.S. electric vehicle manufacturer Rivian announced Monday that it has received conditional approval for a $6.6 billion loan from the Department of Energy to construct a new manufacturing facility in Georgia. At the plant in Stanton Springs North, Rivian plans to produce mid-sized electric SUVs that are “price-competitive” with comparable gas-powered vehicles, according to the company. The facility will be constructed in two phases. The first phase will launch in 2028 and have the capacity to produce 200,000 vehicles annually. The second will double the capacity and is expected to be finalized in 2030.
Less than two weeks ago, Rivian launched a $5.8 billion joint venture with German carmaker Volkswagen. Under the cooperation, the companies aim to profit from each other’s expertise—Rivian seeks to scale up its production capacities more effectively while Volkswagen gains access to crucial EV technology.
Besides the need to scale up production, Rivian faces multiple challenges: increasing competition at home and from abroad, as well as incoming President-elect Donald Trump, who repeatedly called to end tax credits for the purchase of electric vehicles under President Joe Biden’s landmark Inflation Reduction Act.
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