Latest news with #R2SUV
Yahoo
01-07-2025
- Automotive
- Yahoo
Scout Exec Sees Opportunity In Rivian Layoffs
Scout Exec Sees Opportunity In Rivian Layoffs originally appeared on Autoblog. Rivian last week laid off 140 employees, representing about 1% of its workforce, prompting Jacopo Marzetti, head of logistics at Scout Motors, to encourage them to apply at the Volkswagen Group brand, which aims to launch its first electric vehicles in 2027. "Sympathy and support to the employees impacted by the latest Rivian layoffs," Marzetti wrote Monday in a LinkedIn post. "Have a look to the Scout Motors career website and apply directly to join our team." The post included a link to the Scout career site, which listed 127 job openings at the time of publication covering areas ranging from sales and management of parts supplies, to software development and vehicle engineering. TechCrunch reported last week that most of the Rivian layoffs affected the automaker's manufacturing team, and that employees were being encouraged to apply to other open positions within the company. Both Rivian and Scout are in the midst of production ramp-ups. Rivian is looking to start manufacturing its R2 electric SUV in 2026. First shown in 2024, the R2 is a smaller model with a targeted base price of $45,000 that could open up a wider audience for Rivian, making it key to the automaker's continued development. Scout, meanwhile, is trying to get its first products to customers. A revival of the classic International Harvester Scout name and ethos under the Volkswagen Group aegis, Scout plans to offer an SUV called the Traveler and a pickup truck called the Terra with a choice of all-electric or plug-in hybrid powertrains. The latter, dubbed Harvester, will use a naturally-aspirated four-cylinder engine to extend total range from the estimated 350 miles of all-electric Scout models to about 500 miles. Concept versions of both the Traveler and Terra were shown in late 2023, with designs expected to mostly carry over to production, which would create the closest rivals to the Rivian R1S and R1T we've seen so far. In addition to completing development work on the vehicles themselves, Scout must complete construction of a $2 billion South Carolina factory, which targets up to 200,000 vehicles a year, the brand has said. True to its name, Scout will take a different approach to Rivian—and other VW Group brands—with a body-on-frame platform for maximum authenticity. But Scout will have access to Rivian's zonal electrical architecture and software under a $5.8 billion joint venture between Rivian and the VW Group announced in late 2024. It's still unclear which production vehicles will benefit from this partnership, but Rivian's tech will be in the toolbox Scout can rummage through as it looks to complete development of its rugged new vehicles. Scout Exec Sees Opportunity In Rivian Layoffs first appeared on Autoblog on Jun 30, 2025 This story was originally reported by Autoblog on Jun 30, 2025, where it first appeared.
TechCrunch
26-06-2025
- Automotive
- TechCrunch
Rivian cuts dozens on manufacturing team ahead of R2 launch
Rivian has laid off around 140 employees, or roughly 1% of its workforce, as it prepares for the launch of its more affordable R2 SUV in 2026, TechCrunch has learned. The cuts were mostly made to Rivian's manufacturing team and have been ongoing since Wednesday, according to multiple former employees who were granted anonymity to speak about the layoffs. Some employees were told that the company was eliminating roles that created 'process inefficiencies.' Rivian confirmed the cuts in an email to TechCrunch. 'We have made the difficult decision to reduce a small number of our salaried manufacturing employees as part of an ongoing effort to improve operational efficiency for R2,' a spokesperson wrote. The company said affected employees are being encouraged to apply to other open positions inside the company. Rivian began the year with more than 14,800 workers in North America and Europe, according to its annual filing with the Securities and Exchange Commission. The company has made multiple cuts over the last few years, including a 10% reduction in early 2024, and another layoff of around 1% of staff in April 2024.
Yahoo
30-05-2025
- Automotive
- Yahoo
Rivian secures $1B infusion from VW after meeting Q2 profit goal
This story was originally published on Automotive Dive. To receive daily news and insights, subscribe to our free daily Automotive Dive newsletter. Electric vehicle maker Rivian achieved its second consecutive quarterly gross profit in Q2, which triggered a $1 billion cash infusion from partner Volkswagen Group, CEO and founder RJ Scaringe said during a call with analysts May 6. The funds, which executives expect to receive by the end of June, will aid Rivian in deploying its technology and software stack to a wide array of vehicles by capitalizing on VW's scale as it pushes for broader EV adoption, according to Scaringe. 'The relationship there continues to progress really well,' Scaringe said of the partnership. 'At this point, we're very focused on executing a lot of programs across the Volkswagen Group.' In addition to financial support from VW, Rivian's efforts to scale production has also been bolstered by a $6.6 billion Department of Energy loan finalized in January to revive the company's stalled Georgia EV factory project, which is expected to start production by 2028. The company is also investing $120 million in Normal, Illinois, where it is constructing a supplier park meant to create an electric vehicle manufacturing ecosystem next to its production plant where it is building the R2 SUV. However, like other automakers, Rivian also faces tariff-fueled headwinds necessitating plans to offset higher duties on automotive parts, especially battery components. CFO Claire McDonough said on the call that the company expected 'per unit direct impact from tariffs to be a couple thousand dollars for 2025 based off of the currently announced tariffs in place.' Rivian's chief concern is rising cost for battery materials. McDonough said while the company's stockpile of batteries is sufficient to carry its production through early 2026, it continues to monitor export restrictions on rare earth minerals from China. 'We are actively monitoring these developments and working to mitigate potential risks through a variety of initiatives, including strategic sourcing and proactive engagement with policymakers,' she said. Higher component costs due to tariffs moved Rivian to raise its capital expenditure guidance to between $1.8 billion and $1.9 billion. Uncertainty fueled by economic policies also led the company to revise its delivery outlook to 40,000 to 46,000 vehicles, down from 46,000 to 51,000 announced April 2. But Rivian believes higher production costs may be short-lived as it works with suppliers, including LG, to secure domestically produced batteries. Scaringe said the R2 uses the 4695 cell format currently sourced from Korea, but that will soon change. 'We've been for a while now working very closely with our partner on this, which is LG, to localize that into the United States and starting in 2027 those cells will be produced in Arizona,' he said. Recommended Reading Rivian investing $120M in Illinois to strengthen domestic supply chain Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Car and Driver
09-05-2025
- Automotive
- Car and Driver
Rivian R2 Remains on Track for $45,000 Price and 2026 Production
Rivian said on its earnings call this week that the electric R2 SUV will still begin production in the first half of 2026 and will still start at around $45,000. The company has started assembling "validation builds" of the R2 and has completed the extension that will house R2 production at its facility in Normal, Illinois. While the LG Energy Solution batteries that will be used in the R2 will initially come from South Korea, Rivian says the batteries will be sourced from a new factory in Arizona starting in 2027. While Rivian's electric R1T truck and R1S SUV have had a successful four years on sale, the California-based startup is banking on the more affordable R2 SUV to secure the brand's future. Revealed last March, the R2 promises over 300 miles of range, an optional all-wheel-drive tri-motor performance model, and a starting price of around $45,000. Since the R2's debut, a lot has changed in the automotive landscape, from slowing EV growth to uncertainty surrounding tariffs. But on Rivian's earnings call this week, CEO R.J. Scaringe asserted that the R2's development is "well underway" and that the compact electric SUV remains on track for production in the first half of 2026, as first reported by InsideEVs. On the call, Scaringe stated that Rivian had begun putting together "validation builds" of its competitor to the Tesla Model Y and that the assembly line for these prototypes was utilizing "mostly production tooling." This is solid progress given that production of customer-ready units isn't expected to start for at least another seven months. While Rivian originally planned to start production of the R2 at a new factory in Georgia, the company will now—at least initially—assemble the R2 at its existing facility in Normal, Illinois. The Georgia factory is still being built and will begin churning out new Rivians in 2028, the company said after it was approved last fall for a $6.6 billion loan from the U.S. Department of Energy. The Normal plant will be expanded to handle a capacity of up to 155,000 R2s per year, and Rivian COO Javier Varela stated that the new extension, which will house the assembly line and paint shop, has already been completed. Rivian will now begin installing production equipment inside, and Varela also said the company has already sourced all of the new manufacturing equipment needed for the R2, which it is now testing and calibrating. Sticking to $45,000 While the Rivian R2 will be built in the United States, the recently imposed tariffs will still affect imported automotive parts, which are found within almost every car built in the U.S. Regardless, Scaringe said on the earnings call that Rivian is not planning to raise the $45,000 starting price for the R2 despite these challenges. Rivian Rivian did admit that the uncertainties regarding trade regulations could lead to lower demand for its vehicles, as the company adjusted its 2025 forecast from 46,000–51,000 vehicles down to 40,000–46,000 vehicles. But Rivian is committed to maintaining the planned $45,000 starting price for the R2 and says it has enough time before production starts to brainstorm ways to deal with increased costs from the tariffs. One key factor will be the R2's batteries. Last fall, Rivian signed a deal with LG Energy Solution to use its advanced 4695 cylindrical cells for more than five years, which the battery supplier says are more energy-dense and space-efficient. While the initial supply of batteries will come from LGES's facilities in South Korea, Scaringe said that in early 2027 it will begin to source the same batteries from a new facility in Arizona, helping reduce costs from tariffs. A Game-Changer for Rivian If Rivian can keep the R2's starting price to $45,000 as promised, the compact electric SUV could be a pivotal model for the nascent company. While Rivian still expects to lose between $1.7 and $1.9 billion this year, the company believes the mainstream R2 will put it on a path toward profitability. Rivian's deliveries seem to have plateaued at around 50,000 units per year, and the $70,000-plus required to buy an R1T or R1S limits its future growth. The R2's lower entry point could vastly expand Rivian's customer base, and the increased scale that higher volume brings will help the company diffuse its costs across more product lines. Rivian aims to expand even further downmarket with the subcompact R3 and sporty R3X, which are due to arrive in 2027. Caleb Miller Associate News Editor Caleb Miller began blogging about cars at 13 years old, and he realized his dream of writing for a car magazine after graduating from Carnegie Mellon University and joining the Car and Driver team. He loves quirky and obscure autos, aiming to one day own something bizarre like a Nissan S-Cargo, and is an avid motorsports fan.
CBS News
06-02-2025
- Automotive
- CBS News
Electric vehicles expected to be the stars of the 2025 Chicago Auto Show
CHICAGO (CBS) -- The 2025 Chicago Auto Show opens on Saturday at McCormick Place, and while fan-favorite manufacturers will be showing off some major debuts at the nation's largest and longest-running car show, the buzz appears to be everything electric. Whether it's luxury you're looking for, or something along the sporty side, the Chicago Auto Show has you covered. Nearly 1,000 vehicles from over two dozen manufacturers are pulling out all the stops, showcasing their latest models with all the bells and whistles. If there is one encompassing theme at this year's show, it's electric vehicles. A slew of electric vehicles will not only be on display at this year's show, but guests will be able to hop in the driver's seat on two test tracks inside the showroom. Rivian's R2 SUV, made in Normal, Illinois, is one of the many EVs already drawing crowds It's all part of a push toward eco-friendly vehicles that has become a statewide initiative to get consumers on board. As the auto show kicks off, ComEd has announced $100 million in new funding for state rebate programs for drivers who go electric. "This funding is across the board; so whatever vehicle, whether it's a medium, heavy-duty weight class vehicle, also buses," said ComEd senior vice president of customer operations Melissa Washington. The program also will prioritize low-income and under-served communities, with 50% of the funds going toward specific zip codes. With more than 126,000 EVs already registered in Illinois, the state's long-term goal is to have 1 million on the road by 2030, but the new Trump administration's threat to eliminate tax credits for electric vehicle buyers might serve as a roadblock. Advocates think otherwise. "State and local governments have adopted clean standards, and have adopted standards that would help increase the number of electric vehicles in their own jurisdictions," said Susan Mudd, senior policy advocate for the Environmental Law & Policy Center. The Chicago Auto Show opens at 10 a.m. on Saturday, and runs through Feb. 17. For more information on the show, visit
