Auto seat supplier opening $8 million Normal facility near Rivian's EV plant

Chicago Tribune

4 days ago

As Rivian gears up to build the new midsize R2 SUV next year, the EV automaker is also building up its supply chain near its Normal plant to assist increased production.
Adient, a leading global manufacturer of auto seats, is investing more than $8 million to repurpose an existing 85,000 square-foot-warehouse adjacent to the Rivian plant to make front and rear seats for the EVs.
The Plymouth, Michigan-based company plans to create at least 75 new jobs within four years at the plant to qualify for a state tax credit, with an estimated value of about $4 million.
'Adient's new facility in Normal is a critical investment in our state's growing EV ecosystem and supply chain,' Gov. JB Pritzker said in a news release Monday. 'With yet another global company choosing to locate in Illinois, we're creating more jobs, opportunities and bolstering economic development for the people of Illinois.'
Beyond proximity to Rivian's plant, Adient was incentivized to build its first Illinois facility through the state's Reimagining Energy and Vehicles In Illinois (REV Illinois). The 2021 legislation offers up to a 75% credit on state income tax for EV manufacturers for meeting agreed upon investment and job creation targets.
In May, Rivian announced it is building a separate $120 million supplier park near its Normal plant to support increased production. The 1.2 million-square-foot supplier park is expected to add an additional 100 jobs to the expanding production operation of the California-based EV automaker, which manufactures its entire fleet in the college town about 130 miles south of Chicago.
Construction on the supplier park is under way and expected to be completed in 2026, in time for the rollout of the much-anticipated R2. Adient will not be in the new supplier park.
'Having suppliers like Adient located near our plant in Normal will be a key enabler when we increase production next year to build R2,' Carlo Materazzo, Rivian's vice president of manufacturing operations, said in the news release. 'Integrating suppliers on site reduces costs and improves manufacturing efficiency.'
Rivian began building its full-size electric R1T pickup truck, R1S SUV and commercial delivery vans in a former Mitsubishi auto plant on the outskirts of Normal in September 2021. In March 2024, Rivian revealed that the R2 will also be made in Illinois, putting plans to build a $5 billion Georgia plant on hold.
Down the road, Georgia is still integral to Rivian plans, however.
'Since announcing the pause in construction of our Georgia site, we've continued development activities necessary for a rapid transition to vertical construction in 2026, ahead of the start of production in 2028,' a Rivian spokesperson said in a statement Monday.
In addition, Rivian announced last week it plans to open an East Coast headquarters in Atlanta later this year, with office expansion slated for 2026 as construction at the new Georgia manufacturing site accelerates.
Backed by $827 million in state incentives, Rivian is also expanding its 4.3 million-square-foot auto plant in Normal by an additional 1.1 million square feet and creating more than 550 assembly jobs over five years to build the midsize R2 SUV, which is expected to begin rolling off the production line in 2026.
Rivian is seeking to lure new buyers at price points well below its first-generation SUV and truck, which cost upward of $80,000. The R2 will be priced starting at $45,000.
The Normal plant had about 7,000 assembly workers in April 2024, when it streamlined operations and went from three to two shifts. Rivian had 14,861 employees across North America and Europe at the end of 2024, but declined Monday to update the current number of employees in Normal.
Last year, Rivian produced 49,476 and delivered 51,579 EVs from its Normal plant, with slightly lower production guidance at 40,000 to 46,000 vehicles for 2025.
During the second quarter, Rivian built 5,979 vehicles at its Normal plant and delivered 10,661, with production limited by retooling in preparation for the rollout of 2026 model year vehicles, which are expected to launch later this month, the automaker said.
Meanwhile, customers looking to buy an EV may be motivated to take the plunge this summer by President Trump's 'One Big Beautiful Bill,' which was signed into law July 4. The bill eliminates the $7,500 federal tax credit on new EVs and $4,000 on used EVs as of Sept. 30.
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