Rivian starts R2 production after Illinois tornado

Summary

Rivian said tornado damage at its Illinois plant will not delay R2 production or its planned 2026 rollout.

Why this matters

The R2 is Rivian’s lower-cost SUV and a central part of its production and pricing plans. Updates on timing, factory disruptions, and pricing help readers assess the company’s path to broader sales and profitability.

Rivian said it rolled the first customer-ready R2 sport utility vehicles off the production line at its factory in Normal, Illinois, days after an EF-1 tornado damaged part of the plant.

Founder and Chief Executive RJ Scaringe told Bloomberg Television on Wednesday that the company did not expect the storm to delay the R2 rollout. “The tornado went through the south end of the plant, and ripped the roof off the building, and knocked down some of the plant as well, and so the last 72 hours have been around the clock,” he said.

Scaringe said Rivian had changed how and where it brought some materials into the factory to keep building the R2. But “we’re not making any changes to the plan,” he said, referring to the company’s production roadmap.

The R2 is a key product for Rivian because it costs less than the company’s current R1 electric vehicles and is expected to broaden its customer base. Rivian also has said the vehicle is expected to help the company move toward profitability after years of losses on each vehicle sold.

Rivian is launching the R2 at a higher price than the $45,000 figure it had promoted for years. The launch edition starts at $57,990, and a $53,990 variant is due by the end of this year. Rivian has said it will not sell an R2 for less than $50,000 until the first half of 2027, and a base model starting “around $45,000” will arrive in late 2027.

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