Amazon-backed electric vehicle startup Rivian Automotive on Thursday said it will build a US$5-billion plant in Georgia, its second U.S. assembly plant, as it looks to expand production.
In its first publicly reported quarterly results since it went public last month, Rivian also reported a third-quarter loss.
The new plant will employ more than 7,500 people, is scheduled to open in 2024, and will eventually build 400,000 vehicles a year, largely confirming plans previously outlined in documents filed with other states.
With a market value of almost US$93 billion, Rivian made its Nasdaq debut last month in the world’s biggest initial public offering of 2021. Rivian raised almost US$14 billion in the IPO to fund future growth on top of the US$10.5 billion it had raised privately from such investors as Amazon.com and Ford. Amazon owns 20 per cent of Rivian and Ford owns about 12 per cent.
The Irvine, California-based company has struggled with the launch of its R1T pickup , R1S SUV, and delivery van for Amazon as supply-chain constraints, including chip shortages, hit automakers globally. The pickup launched in September and the SUV in December.
Rivian’s Georgia plant will join the one in Normal, Illinois. The company intends to eventually open plants in Europe and China. Chief Executive R.J. Scaringe previously said Rivian plans to build at least 1 million vehicles a year by the end of the decade.
The Illinois plant currently has an annual capacity of 150,000 vehicles and Rivian has said it intends to increase that to 200,000 by 2023 as it adds new vehicles. Scaringe has said the company has sold out its R1 lineup into 2023.
Keyword: EV startup Rivian to build US$5-billion plant in Georgia