Inflation is hitting consumers hard this year, and automakers aren’t immune. Reuters is reporting that electric vehicle automaker Rivian is increasing prices of its two vehicles by more than $10,000 each; the automaker blames inflation for the hikes, specifically the rising costs of vehicle components.
The new base price for the R1T electric pickup truck is $79,500, up from $67,500 — an almost 18% increase. Meanwhile, the R1S SUV’s price jumps almost 21% to $84,500, up from $70,000. (These prices do not include destination charges.)
According to Reuters, Rivian said the price hikes will affect most of the customers who have already placed preorders for the vehicles, and many have taken to social media to complain.
Rivian is not the only automaker feeling the sting of rising prices for vehicle components and parts shortages. Rival Tesla announced earlier this year that its Cybertruck is delayed for similar reasons.
But there’s a bit of good news on the horizon, at least for Rivian. The automaker said it will introduce more affordable versions of the R1T and R1S models, with lower-range battery packs and dual motors instead of the vehicles’ current quad-motor setups. Those vehicles are slated for 2024, and pricing is set — for now — at the original $67,500 for the truck and $72,500 for the SUV.
Related Video:
Keyword: Rivian Hikes Prices in Response to Inflation Insanity