Rivian has received final approval to build a $5 billion electric vehicle factory in Georgia
The American company’s second factory will build affordable electric cars based on the R2 platform.
November 14, 2023 in 8:40 a.m. ET
Rivian, maker of the R1S SUV, R1T pickup, and electric commercial vans (ECV), has received final approval for its second electric vehicle factory from Georgia officials, two years after announcing the facility.
Construction on the $5 billion plant east of Atlanta was supposed to begin in the summer of 2022, but a legal battle over some provisions of a massive $1.5 billion incentive package from the state of Georgia has delayed the company’s plans to begin construction of its second manufacturing facility next year.
This summer, the Georgia Supreme Court acquitted Rivian in the case against it, and now state officials have given the project final approval to become a reality, according to WSB-TV.
According to the source, the manufacturer of the all-electric R1S SUV has entered into a deal with the state of Georgia stating that it has long-term rights to the land on which the Stanton Springs North project will be built. Rivian has entered into a bond agreement and executed a 50-year lease for the upcoming plant, officials said.
“It’s a great day in Georgia as we close and issue bonds for the Rivian project. Leasing the site to Rivian is the next step in delivering this opportunity for generations, and for Georgians in Jasper, Morgan, Newton and Walton counties,” the Jasper, Morgan, Newton and Walton Counties Joint Development Authority and the Georgia Department of Economic Affairs said. The development said in a joint statement, according to what was reported WSB-TV.
The Stanton Springs North facility east of Atlanta will be Rivian’s second electric vehicle plant after its regular plant in Illinois that currently manufactures all vehicles in its portfolio.
Rivian R2 covered clay model
In Georgia, Rivian will manufacture its own R2-based electric vehicles that are set to be smaller and more affordable than the currently available R1S and R1T. Currently, Rivian’s two passenger cars start at over $70,000, while upcoming R2 EVs are expected to have an MSRP of around $40,000 while being comparable in size to a combustion-powered Ford Bronco.
Assembly of the R2 vehicles should begin in 2026 after the Georgia complex comes online. When fully operational, Rivian’s second factory will produce 400,000 vehicles per year and employ 7,500 people by 2028. It will also create approximately 8,000 indirect jobs.
Rivian says the site’s top plate is 95 percent graded and is almost ready to begin construction, with an official groundbreaking scheduled for early 2024.