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Rivian seeks new loan to kick-start $5 billion Georgia project

The brand’s CEO said the Georgia factory is “an extremely important part of our strategy”

                                                                            

go through Brad Anderson

October 8, 2024 13:11

 Rivian seeks new loan to launch $5 billion Georgia factory
  • The automaker said it could be ready to start producing electric vehicles in Georgia in the fourth quarter of 2028.
  • Rivian has previously received $1.5 billion in state and local incentives for the plant.
  • Rivian said it would save more than $2.25 billion by initially producing R2 at its Illinois plant.

Rivian is making progress toward restarting its long-planned manufacturing facility in Georgia and is applying for a federal loan to help facilitate further work at the plant.

The electric carmaker originally planned to use the $5 billion Georgia plant to build its R2 series of models. However, it has since been decided that the R2 will initially be produced at the plant in Normal, Illinois in the first half of 2026, before moving to the Georgia plant. Rivian CEO RJ Scaringe said bringing R2 to market faster through the Illinois factory will save the company more than $2.25 billion.

Read: Rivian sales plunge 27% in Q3 2024, production targets slashed due to supply issues

Rivian said in a recent filing with the U.S. Department of Energy that it hopes to break ground on the Georgia facility in the second quarter of 2026 and have the first store ready by the third quarter of the same year. It will continue construction from 2026 to 2027, with final workshops completed in the second quarter of 2027 before manufacturing validation begins in the fourth quarter. Electrek noted that the company plans to start production at the facility in the fourth quarter of 2028.

Financial details of the loan sought by Rivian were unclear. The electric car maker did, however, receive $1.5 billion in state and local incentives for the Georgia plant in 2022.

 Rivian seeks new loan to launch $5 billion Georgia factory

Earlier this year, RJ Scaringe wrote in an op-ed in The Atlanta Journal-Constitution that despite the delays, the Georgia plant “remains an extremely important part of our strategy to expand R2 and R3 production.”

“We will take care of the (Georgia) site prior to construction to minimize any inconvenience this delay may cause,” Scarinch added. “To be clear, we are absolutely committed to bringing our Georgia facility back to life , creating good jobs, economic development, and products to be proud of. Georgia is critical to bringing the R2 and R3 to the international stage, and it will be very satisfying to see our future vehicles ‘assembled in Georgia.’ “

 Rivian seeks new loan to launch $5 billion Georgia factory

Brad Anderson

Deputy Editor

Brad Anderson’s lifelong passion and fascination with cars began at a young age. Before graduating from high school,…
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