Rivian Shifts Strategy: Halts Georgia Plant Construction to Save Costs

Rivian, the electric vehicle manufacturer, has paused the construction of its $5 billion plant in Georgia to conserve funds. The R2 SUV, initially planned to be built in Georgia, will now be produced at Rivian’s existing plant in Normal, Illinois. This decision is expected to reduce the capital needed to launch the R2, decrease associated risks, and allow for an earlier market entry in the first half of 2026. The move will save Rivian $2.25 billion in short-term capital expenditure. Despite the halt, the Georgia plant remains a crucial part of Rivian’s strategy to scale production of the R2 and R3 models.