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Rivian to build new car at Illinois plant (Updated x3)

Thursday, Mar 7, 2024 - Posted by Rich Miller

* Rivian’s CEO just said that the company plans to start deliveries of its new R2 in the first half of 2026. How will they do that? By building the car at their plant in Normal.

More in a bit.

…Adding… Full remarks

I’m excited to say that we’re going to be pulling the timing in to allow R2 to start deliveries in the first half of 2026. And we’re able to do that, we’re able to achieve that accelerated time by leveraging our production capabilities in Normal using our Illinois site to launch R2 and get that in the market as quickly as we can.

Now our Georgia site remains really important to us. It’s core to the scaling across all these vehicles between R2, R3, R3X. And we’re so appreciate of all the partnership we’ve had there. But being able to leverage the team, the skill, the passion we have in our Illinois facility to get that into the market, to get customers [the car] as quickly as possible. We are just ecstatic about that.

…Adding… Gov. JB Pritzker…

Once again, Rivian has reaffirmed a message I have been championing since day one of my administration—Illinois is one of the best places to do business in the country. I want to congratulate Rivian on the newest additions to their growing line of vehicles and look forward to seeing them on the roads very soon. Rivian’s latest announcement and related expansion will add more economic investment and job growth to the Bloomington-Normal community on top of the thousands of jobs they have already created. I’m pleased that Rivian is an important partner in building Illinois’s rapidly-growing manufacturing sector, and I look forward to working with them to continue to build the clean energy economy of the future.

Notice the word “expansion.” The plant is apparently getting bigger.

…Adding… Atlanta Journal-Constitution

BREAKING: Rivian pauses plan to build $5B Georgia factory […]

“Rivian’s Georgia plant remains an extremely important part of its strategy to scale production of R2 and R3,” the company said in a statement. “The timing for resuming construction is expected to be later to focus its teams on the capital-efficient launch of R2 in Normal, Illinois.”

The decision to pause the factory will save Rivian more than $2.2 billion in comparison to waiting to launch R2 production in Georgia, the company said in a news release.

       

25 Comments
  1. - Shytown - Thursday, Mar 7, 24 @ 12:38 pm:

    More good news for Illinois. Fantastic.


  2. - Thomas Paine - Thursday, Mar 7, 24 @ 12:41 pm:

    Pritzker is killing it.


  3. - hisgirlfriday - Thursday, Mar 7, 24 @ 12:45 pm:

    Glad to see some good news against the backdrop of Rivian recently eliminating one of their 3 shifts.


  4. - Rich Miller - Thursday, Mar 7, 24 @ 12:46 pm:

    ===backdrop of Rivian recently eliminating one of their 3 shifts. ===

    Except there are no layoffs. What appears to be happening is that Rivian is streamlining its production to make way for R2.


  5. - Former Downstater - Thursday, Mar 7, 24 @ 12:53 pm:

    This comment to yesterday’s story did not age well:

    “R2 will be manufactured in Georgia. Sadly, I don’t think they will be bringing those jobs back…especially to Illinois.”


  6. - Rich Miller - Thursday, Mar 7, 24 @ 12:58 pm:

    ===This comment to yesterday’s story did not age well===

    More than that one, but yeah. Some Illinoisans just live to dump on their own state.


  7. - @misterjayem - Thursday, Mar 7, 24 @ 1:01 pm:

    “Some Illinoisans just live to dump on their own state.”

    I’m very glad that Illinois no longer has a governor who does so.

    – MrJM


  8. - Grandson of Man - Thursday, Mar 7, 24 @ 1:09 pm:

    More positive economic news for Illinois, after winning second place again for most expansion projects. As the state continues to be steered in a better fiscal direction and current funding priorities remain (education, infrastructure, etc.), all the better for the business climate.


  9. - We’ll See - Thursday, Mar 7, 24 @ 1:18 pm:

    What MrJM said - a thousand times over.


  10. - Original Rambler - Thursday, Mar 7, 24 @ 1:24 pm:

    This is good news. Well done though it is unclear to me what JB’s part in this announcement was. We may be in the market for such a vehicle right about 2026. Still baffles me how Rauner whiffed on Rivian.


  11. - Bruce Rauner's Up Day - Thursday, Mar 7, 24 @ 1:27 pm:

    I tell ya, it’s a shame no one wants that vacant Mitsubishi plant in Bloomington-Normal. Can’t even give it away. Sad. /s

    https://www.sj-r.com/story/news/state/2018/05/16/rauner-again-claims-no-company/12205207007/


  12. - Pundent - Thursday, Mar 7, 24 @ 1:29 pm:

    Good move on the part of Rivian. They need to get the R2 to market ASAP if the company is going to survive. Hopefully the BN plant can make it happen.


  13. - Chicago Blue - Thursday, Mar 7, 24 @ 1:33 pm:

    This is good news, but recent headwinds have been against new EV adoption. Hopefully, that changes and they don’t get squeezed out by more Tesla or Ford EV pricecuts.


  14. - Baloneymous - Thursday, Mar 7, 24 @ 1:33 pm:

    ===I tell ya, it’s a shame no one wants that vacant Mitsubishi plant in Bloomington-Normal. Can’t even give it away. Sad. /s===

    I changed my capfax username to Baloneymous for a reason. I never want to forget that baloney of a governor we once had and how many opportunities he used in 4 years to constantly dump on our great state.


  15. - Rich Miller - Thursday, Mar 7, 24 @ 1:38 pm:

    ===but recent headwinds have been against new EV adoption===

    Sales are projected to grow 20-30 percent this year. Slower growth than last year, but still pretty darned robust growth.

    https://www.nytimes.com/interactive/2024/03/06/climate/hybrid-electric-vehicle-popular.html


  16. - RNUG - Thursday, Mar 7, 24 @ 1:41 pm:

    just had a relative send me a link to the Atlanta Journal Constitution newspaper reporting Rivian is pausing their plans for the Georgia facility as a cost cutting measure.

    Hmm …


  17. - Steve Rogers - Thursday, Mar 7, 24 @ 1:56 pm:

    I’m curious to see how IPI will spin this to maintain their gloom and doom narrative.


  18. - Cool Papa Bell - Thursday, Mar 7, 24 @ 2:22 pm:

    I’m still not all in on EV’s. I’d much rather have a PHEV or Hybrid. But I understand where a big chunk of the auto market is going. And EVs are only getting better.

    But this is very good news for Illinois and the workforce in Normal. It bothered me when Rivian picked Georgia for that new plant, I’ll be hopeful that Illinois will always be the best place for Rivian to build their vehicles.


  19. - PublicServant - Thursday, Mar 7, 24 @ 3:01 pm:

    Once the batteries get to 400+ miles range, and I mean a real range of 400+ miles, that’d be a big step in the right direction. If they forced EV makers to post winter temps (below freezing), that’d be great. I just don’t believe the mileage estimates now.


  20. - TheInvisibleMan - Thursday, Mar 7, 24 @ 3:10 pm:

    “I’m curious to see how IPI will spin this”

    probably just like this;

    “but recent headwinds”

    Taking advantage of the general populations inability to understand how mathematical derivatives work, is a common tactic to make something which is still a gain, look like a loss.

    We saw it for years with state finances.

    There’s sales growth, which is positive. Then there’s change in sales growth. Then there’s the change in the change of sales growth. Two out of three of those metrics can be used to make a strong positive, suddenly seem like a negative.

    Think of it like this. There’s speed, velocity, and acceleration.
    Speed is the rate of change of distance.
    Velocity is the rate of change of displacement.
    Acceleration is the rate of change of velocity.

    Letting up a little bit on the gas pedal would lead to a negative change in acceleration. But velocity would still be increasing.

    99% of most news is written this way to arrive at a certain outcome, and once you see it you will never un-see it. It’s everywhere.

    Rich is one of the few people who publicly point this out.


  21. - New Day - Thursday, Mar 7, 24 @ 3:40 pm:

    This is such a huge win for Team JB and for Illinois. Gov promised he’d be the salesman in chief for our state and he’s certainly delivered that.


  22. - City Zen - Thursday, Mar 7, 24 @ 3:44 pm:

    The R3 looks promising. Looks like a Dodge Omni or Lancia Delta on steroids in a good way.


  23. - Overbay - Thursday, Mar 7, 24 @ 3:50 pm:

    IL just punked GA??? Love it.


  24. - Proud Sucker - Thursday, Mar 7, 24 @ 4:49 pm:

    “Sales are projected to grow 20-30 percent this year. Slower growth than last year, but still pretty darned robust growth.

    https://www.nytimes.com/interactive/2024/03/06/climate/hybrid-electric-vehicle-popular.html”

    And a reminder of Charles Thomas’ selling out - a twofer.


  25. - Cool Papa Bell - Thursday, Mar 7, 24 @ 5:24 pm:

    @cityzen

    An Omni - Loved mine as a teenager. And now that you mention it - the similarities are striking


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