Rivian's R2 autos can be powered by batteries manufactured domestically within the US by South Korea's LG Power Resolution, the corporate introduced in its third-quarter earnings report.
Rivian first revealed the brand new batteries in March when it introduced the R2 as its extra reasonably priced electrical SUV, which might begin at $45,000. (It additionally introduced the sportier R3 car.) The cell is known as the “4695” due to its 46-millimeter diameter and 95-millimeter top—greater than Tesla's 4680 cells.
The battery packs Rivian at present makes use of within the R1T and R1S autos are assembled at its Regular, Ailing., plant. utilizing cells manufactured in South Korea by Samsung SDI. The cells will now be produced within the US to higher adjust to the tax credit score necessities of the Inflation Discount Act. In a letter to shareholders, Rivian mentioned the cells can be manufactured of their first 12 months at LG's plant in Queen Creek, Arizona.
The following-generation battery pack can be lighter, much less complicated and cheaper to provide than present batteries, Rivian mentioned. The corporate additionally expects a “vital greenback per kilowatt hour (kWh) discount on the bundle stage in comparison with the R1 platform.” And since it’s bigger than R1 batteries, the brand new packs will comprise fewer cells, making the manufacturing course of extra environment friendly. Rivian says it expects the meeting course of to enhance by 45 %.
For the reason that passage of the IRA, automakers have scrambled to shift EV battery manufacturing to the U.S. to adjust to guidelines requiring home manufacturing to qualify for beneficiant subsidies. And with Donald Trump again in workplace, they must work even sooner to keep away from the tough tariffs on imported items that the incoming president has promised to enact.
Rivian mentioned the R2 will go into manufacturing within the first half of 2026. However with Trump additionally promising to remove Joe Biden's electrical car subsidies, the query stays whether or not EV-only firms like Rivian will have the ability to keep afloat. floating within the midst of what’s anticipated to be. a extra unsure market.