Rivian says it’s going to construct fewer autos this 12 months than it did in 2023, the results of a provide chain drawback that popped up within the third quarter that has “change into extra acute in latest weeks.”
The corporate didn’t specify what particular part is impacted. It solely stated that it’s one shared by its R1 platform (which powers its pickup and SUV) and the RCV industrial van, and that it’s situated within the electrical motors. The result’s that Rivian now expects to complete 2024 having constructed between 47,000 and 49,000 autos, a giant step down from the objective of 57,000 it was selling as lately as July.
The corporate additionally delivered fewer EVs within the third quarter than it did within the second. Solely 10,018 Rivian autos made it into prospects’ palms in Q3, down from 13,970 in Q2. It didn’t provide an evidence for why deliveries fell, however Rivian says it nonetheless believes it may hit its full-year goal of transport between 50,500 and 52,000 autos.
The difficulty comes at a precarious time for Rivian. Broadly the corporate has its eyes set on the launch of its lower-cost R2 SUV in 2026. However Rivian was already coping with the truth that 2024 was prone to be a comparatively flat 12 months of development in comparison with 2023. It’s due to this fact been in a cost-saving push. It laid off 10% of its workforce in February, and put plans to construct a model new facility in Georgia on maintain. It additionally lately revamped its R1T pickup and R1S SUV, making them easier in design to be able to lose much less cash on every sale.
