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Rivian Set to Unveil Midsize R2 Electric SUV: What We Know So Far”

Rivian, the electric vehicle trailblazer, is gearing up for the much-anticipated reveal of its midsize R2 electric SUV on March 7, 2024, as confirmed by the company’s recent social media post. With an emphasis on affordability, cutting-edge technology, and the benefits derived from the R1 platform, the R2 marks Rivian’s foray into a more budget-friendly segment. Here’s a sneak peek into the details we’ve gathered so far:

READ: OAS to Step in as Mediator in Guatemala’s Power Transition Crisis

Affordability and Rivian Pricing:

Scheduled for availability in 2026, the Rivian R2 midsize SUV is projected to be competitively priced in the range of $45,000-$50,000. Rivian CEO RJ Scaringe emphasized that this pricing range addresses a market gap with limited alternatives. A recent source code leak hinted at a starting price between $47,000 and $47,500, aligning with the CEO’s estimate. The leak also teased a potential 330-mile range, NACS and CCS charging support, a powered rear window, and a wheelbase of 115.6 inches, details expected to be confirmed at the official launch.

R2 Platform and Production:

Vehicles built on the R2 platform will roll out from a new production facility in Georgia, set to commence construction in early 2024. The plant is designed to operate with a significantly lower cost structure when it enters production in 2026, positioning Rivian to leverage lessons learned and optimize production efficiency.

R1 Platform Upgrades:

Prior to the R2 platform debut, Rivian has initiated substantial enhancements to its R1 platform. The manufacturing plant in Normal, Illinois, temporarily halted operations for a week of preparation in December, with a more extensive retooling scheduled for the second quarter of 2024. The R1T electric pickup truck and R1S SUV will receive technological upgrades, streamlined wiring harnesses (25% shorter), consolidated control units, and advancements in body structure and battery pack design. This redesign is projected to reduce costs by approximately 35%.

Expansion of R1 Platform:

The R1 platform is set to expand further, with the introduction of standard battery packs and new trim levels for the R1T and R1S next year. Rivian aims to enhance affordability through entry-level trims and introduce leasing options for select vehicles and regions.

Growing Service Fleet and Charging Network:

Rivian is actively expanding its mobile service fleet, anticipating that three-quarters of service calls will be handled on-site. The company is also committed to expanding its charging network, with 57 fast chargers currently in operation, and plans for further expansion.

Strategic Partnership with Amazon:

In addition to consumer-focused endeavors, Rivian has entered into a strategic partnership with Amazon, producing Electric Delivery Vehicles (EDV) at its Normal plant. The company, however, has amended its exclusive deal with Amazon, allowing Rivian to sell to other customers. With pilot programs in the pipeline, Rivian aims to facilitate large-scale orders from fleet owners by 2025.

Financial Outlook:

Rivian reported producing around 57,200 vehicles in 2023, exceeding initial projections. The upgraded Illinois plant is expected to have the capacity to manufacture 85,000 R1 vehicles annually, alongside 65,000 commercial vans, culminating in a total output of 150,000 vehicles per year. While supply constraints have eased and production costs are decreasing, the company reported a net loss of $1.4 billion in the third quarter of 2023, despite a substantial improvement in loss per vehicle compared to the previous year. Continued financial prudence and sustained production growth remain key focal points for Rivian’s future trajectory.

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