Posted 2/22/2024, 1:03:00 PM
Rivian Blames Fed Rate Hikes for Layoffs and Zero Growth Forecast Despite New SUV Reveal
- Rivian CEO RJ Scaringe blames Federal Reserve interest rate hikes for lower EV demand and the company's layoffs of 10% of staff
- Rivian predicting zero sales growth in 2023 despite strong broader economy; relying on wealthy early EV adopters
- Hopes hinge on new mid-size R2 SUV reveal on March 7 to compete with Tesla's Model Y
- Major production shutdown planned to cut costs but will limit output growth this year to 57,000 vehicles
- Despite stagnant sales amid continued losses, Scaringe forecasts a "modest" 4Q gross profit