Rivian R2 Targets Model Y
Rivian aims to deliver 20,000-25,000 R2 SUVs in 2026 starting in Q2, competing with the Model Y at a mid-$40K price point, with the Launch Edition at $47K https://x.com/i/status/2030884371335692585, https://x.com/i/status/2030454427769806988. The R2 is expanding in Illinois with $827M in investments and a $6.6B DOE loan https://x.com/i/status/2031070772194599087, https://x.com/i/status/2030970207628308868.
The R2 aims to compete in the popular mid-size SUV market, challenging the Tesla Model Y, Hyundai Ioniq 5, and Ford Mustang Mach-E. Rivian is targeting a fast production ramp-up, mirroring Tesla's Model Y. The R2 will come in single-motor (rear-wheel drive), dual-motor (all-wheel drive), and tri-motor (all-wheel drive) configurations. The dual-motor launch edition is expected to deliver 656 horsepower and a 0-60 mph time of around 3.5 seconds. A tri-motor variant is expected to be even faster. Rivian is expanding its Normal, Illinois plant by 1.1 million square feet to accommodate R2 production. The expansion will house the body shop, general assembly, and end-of-line operations. The expanded plant is expected to have a total capacity of 215,000 units per year. Rivian is also investing $120 million in a supplier park near the Normal plant to reduce supply chain costs. The DOE loan will support the construction of a 9 million-square-foot facility in Georgia, capable of producing up to 400,000 EVs annually. The Georgia plant will initially produce the R2 and R3 models. The loan requires Rivian to restart construction of the Georgia facility.
