Rivian receives $1,5 billion in incentives to open a factory in Georgia
American electric vehicle (EV) manufacturer Rivian is granted the largest incentive package ever offered by the state of Georgia to open a new factory and contribute to employment.
The $1,5 billion tax incentive package includes establishing an EV factory in the south of Atlanta and creating 7,500 jobs by 2028. The plant, which will cost $5 billion to build, will have a production capacity of 400,000 EVs per year.
Rivian plans to start construction of the plant this year and begin manufacturing in 2024. Despite sparking much controversy in the state on environmental concerns, Georgian officials see the deal as an opportunity to thrive local economy.
Out of the shadows
Established in 2009, Rivian spent almost a decade in the shadows until it revealed R1S SUV and R1T electric truck. In November, the EV maker went public on NASDAQ and raised $13 billion.
Rivian has struggled with manufacturing issues, producing 1,015 vehicles in 2021, falling behind the planned 1,200. With the new plant, Rivian plans to mass-produce the R1T truck, mainly for Amazon, among the EV maker's investors.
Rivian also plans to establish a nationwide fast-charging network to enhance its customer base, the Rivian Adventure Network. According to the last earnings report, Rivian plans to manufacture 25,000 EVs in 2022.