Rivian Secures $6.6B DOE Loan for Georgia EV Factory, Targets 2028 Launch
Rivian Secures $6.6 Billion DOE Loan for Georgia Factory Restart
Electric vehicle manufacturer Rivian has obtained a $6.6 billion loan from the U.S. Department of Energy (DOE) to resume construction of its factory in Georgia. The loan, part of the DOE’s Advanced Technology Vehicle Manufacturing Loan Program, will help Rivian move forward with its delayed production plans.
The Georgia facility, now slated to begin operations in 2028, represents a significant shift from the company’s original 2024 target. Rivian projects that the factory will create 7,500 jobs by 2030, aligning with an incentives package from Georgia’s Department of Economic Development.
Initially announced in December 2021, the Georgia factory was intended to double Rivian’s production capacity. The original plans outlined an annual production capacity of 400,000 vehicles and the commencement of next-generation EV production in 2024. Rivian had secured a $1.5 billion incentive package from Georgia to support the factory’s construction.
However, financial constraints led Rivian to pause construction and reassess its production strategy. The company pivoted to produce its R2 midsize SUV at its existing Normal, Illinois, factory instead. This strategic shift was anticipated to save Rivian $2.25 billion.
To support the R2 production at the Normal plant, Rivian received $827 million in incentives from Illinois. The DOE’s loan program has a history of supporting EV-related projects, including a $465 million loan to Tesla in 2009, $9.2 billion to a Ford joint venture for battery factories, and $2 billion to Redwood Materials for expansion in Nevada.
The substantial federal loan and state incentives underscore the government’s continued commitment to supporting the growth of the electric vehicle industry in the United States.
