Rivian Developing $45,000 Electric SUV to Attract Mainstream EV Buyers
-
Rivian CEO RJ Scaringe is developing a smaller, cheaper SUV called the R2 to attract more mainstream EV buyers, likely priced around $45,000.
-
Rivian's current models, the R1T pickup and R1S SUV, start around $70,000, while the average US vehicle price is $48,000 - a "sweet spot" the R2 aims to hit.
-
The R2 will be revealed on March 7th and go into production by 2026, expanding Rivian's lineup as EV demand growth slows industry-wide.
-
Rivian has struggled with production issues but delivered 50,000 vehicles in its second year, faster growth than Tesla, and is building a new Georgia plant to boost capacity.
-
Scaringe wants Rivian to keep improving quality and sees the cheaper, smaller R2 as key to make the brand "relevant to a much broader set of consumers."