Rivian Expanding With New Factory in Georgia The Amazon-backed electric vehicle startup will invest $5 billion toward developing a carbon-conscious campus in Morgan and Walton Counties, located east of Atlanta.

By The Epoch Times

This story originally appeared on The Epoch Times

Electric transport startup Rivian will be setting up a second factory in Georgia, according to a company announcement on Thursday, indicating a positive outlook despite posting losses for the recent quarter after a disappointing Wall Street performance.

From the proceeds of its Nov. 10 initial public offering, the Amazon-backed electric vehicle startup will invest $5 billion toward developing a carbon-conscious campus in Morgan and Walton Counties, located east of Atlanta. Following months of speculation, construction is expected to start by summer next year and production is slated for 2024.

"The plant, which will eventually employ more than 7,500 workers, represents a key next step as Rivian scales aggressively toward higher-capacity production for our future generation of products. Once ramped, the Georgia facility will be capable of producing up to 400,000 vehicles per year," said the company in a statement.

The new factory is expected to enhance the production capability of Rivian. A battery production unit is also planned nearby. Rivian's existing unit in Normal, Illinois, can make around 150,000 cars on a yearly basis, which it expects to increase to 200,000 by 2023. The company is also hiring 800–1,000 employees in Normal by the second quarter, 2022.

After going public last month, Rivian posted a quarterly loss of about $1.2 billion, while shares fell 9.8 percent following an announcement regarding pre-order numbers and the company's lower expectation on vehicle production.

"Launching and ramping production of three different vehicles within a few months is an incredibly tough challenge," Chief Executive R.J. Scaringe said on a conference call, as reported by Reuters, citing issues related to the pandemic, labor shortages, supply chain disruptions, and some temporary difficulties concerning electric battery production.

Rivian launched its R1T electric pickup in September and the R1S electric SUV is scheduled for next year, after repeated delays. The company has delivered 386 vehicles out of its 652 unit inventory, and has a contract to build 100,000 electric delivery vans for major shareholder Amazon by 2025.

The California-based automaker has a market value of about $93 billion after raising around $14 billion in last month's IPO. Amazon owns a fifth of the company, and has invested, along with other partners, around $10.5 billion initially. Ford owns approximately 12 percent of Rivian.

The company considered renewable energy production and availability of quality talent among other deliberations on choosing the 2,000-acre site.

"We're happy to partner with Georgia on our new manufacturing site, which will build our next generation of products that are important for scaling our business … We're excited for Georgians to bring their creativity and ideas to Rivian. We're confident that, alongside Illinois, Georgia is the place for Rivian to continue to scale and thrive," said Rivian Chief People Officer Helen Russell in the press release.

The company's stock, RIVN, was trading at $108.87 on Friday, a decrease of 57 percent since a high of $172 in November.

By Naveen Athrappully

Naveen Athrappully is a news reporter covering business and world events at The Epoch Times.

The Epoch Times, founded in 2000, is headquartered in Manhattan, New York, with a mission to provide independent and accurate information free of political bias or corporate influence. The organization was established in response to censorship within China and a lack of global awareness regarding the Chinese regime's repression of the spiritual practice Falun Gong.

The Epoch Times is a widely read newspaper that is distributed in 33 countries and is available in 21 languages. The publication has been critical in providing balanced and detailed reporting on major global events such as the 2003 SARS pandemic and the 2008 financial crisis. Notably, the organization has played a key role in exposing corruption inside China.

Aside from its human rights coverage, The Epoch Times has made significant contributions in a variety of fields. It has received praise for its in-depth analysis and expert perspectives on business, the economy and U.S. politics. The newspaper has also received praise for its broad coverage of these topics.

A series of editorials titled "Nine Commentaries on the Communist Party" appeared in The Epoch Times in 2004. It asserts that freedom and prosperity in China can only be achieved by eliminating the Communist Party, which violated China's cultural and spiritual values. In addition, the organization led the Tuidang movement, which resulted in over 400 million Chinese citizens quitting the Communist Party. In spite of this, 90% of websites referring to the "Nine Commentaries" were blocked by the Chinese regime.

The Epoch Times has been at the forefront of investigating high-level corruption cases within the Chinese regime, with its reporters taking significant risks to uncover these stories. The organization has received several awards for its investigative journalism.

The organization has received several awards for its investigative journalism. For more, visit www.theepochtimes.com.

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