- U.S. electric vehicle manufacturer Rivian has announced that it has received another $1 billion worth of investment from Volkswagen Group, after it revealed its Q2 production and delivery figures.
- The investment counts as another part of the total $5.8 billion Volkswagen Group has committed to invest into Rivian, last summer.
- It comes at a crucial time for the manufacturer, as it gears up for new model launches and new production facilities.
Rivian receives fresh investment from Volkswagen to further its EV ambitions
The new investment comes as part of $5.8 billion that Volkswagen Group has committed to investing in Rivian. The first billion of that was granted last June, and Volkswagen is now topping that up with yet another $1 billion, which will be key to helping Rivian further expand in the years to come. The total investment of up to $5.8 billion is expected to be completed by 2027 at the latest.
We interviewed Rivian’s Chief Financial Officer, Claire McDonough, last month, and from that it was clear that Rivian’s future plans look significant, particularly when it comes to its collaboration with Volkswagen Group. McDonough noted that the joint venture will bring ‘huge advantages’ to both Volkswagen, Rivian, and the wider EV industry, with Volkswagen providing its global scale prowess and Rivian providing its industry-leading EV architecture and software. From this, we’ll also see future Volkswagen-branded EVs containing Rivian’s own EV software underneath.
However, the next few years won’t be entirely plain sailing for Rivian. These Q2 delivery results reported a decline in its vehicle deliveries, with 10,661 Rivian EVs delivered in Q2, a 23% decline compared to Q2 of 2024. The manufacturer is also set to face increasing competition in the EV space, from newcomers such as Slate Auto and Lucid Motors’ new electric SUV, the Gravity. Rivian will be hoping to fight this competition, and boost its delivery and production numbers further, with more affordable models on the horizon, such as the R2 and R3. These two models are also pinned to be the first passenger Rivian EVs to arrive on the European market, later this decade.
It’s not just Volkswagen Group assisting Rivian financially in its ambitions. Earlier this year, the U.S. Department of Energy also finalised a $6.6 billion loan for Rivian, helping it to create a new EV plant in the state of Georgia – which is expected to become operational in 2028.
