Rivian Eyes Scaling Up Production Capacity To 1 Million EVs A Year By 2030

Rivian Automotive Inc RIVN aims to build at least one million electric vehicles every year by 2030, Reuters reported on Wednesday, citing the company’s founder and CEO RJ Scaringe.

What Happened: Scaringe said the company plans to have four assembly plants across the world to meet the production target.

Rivian currently has a manufacturing plant in Normal, Illinois with an annual capacity of 150,000 electric vehicles. The​​ Tesla Inc TSLA rival has already revealed plans for a second U.S. plant in Texas where it could spend above $5 billion. 

The manufacturing plant, codenamed “Project Terra,” would have an annual capacity of 200,000 electric vehicles and is expected to create at least 7,500 jobs by 2027.

See Also: Why Jim Cramer Would Prefer To Sit 'On The Sidelines' With Rivian And Buy Ford Instead

The company has so far not revealed any timeline for setting up manufacturing plants in Europe and China. 

The company, backed by Amazon.com Inc AMZN and Ford Motor Co F, aims to ramp up capacity at the Illinois facility to 200,000 units by 2023.

Rivian plans to launch more vehicles and has sold out its R1 lineup, Scaringe said ahead of the startup’s stock listing on Wednesday.

Why It Matters: Rivian had last week in a filing said it has produced 180 R1Ts and delivered 156 R1Ts as of October. By the end of the year, it aims to make about 1,200 R1Ts and 25 R1Ss and deliver about 1,000 R1Ts and 15 R1Ss.

Rivian also has a contract to deliver 100,000 electric vans by 2025 to Amazon.

See Also: Rivian Raises $11.9B In Upsized IPO: What You Need To Know

The electric vehicle maker beat legacy rivals such as General Motors Co GM, Ford Motor Co F and Tesla in bringing electric sports utility vehicles and pickup trucks to the market.

The electric-vehicle maker raised $11.9 billion in its IPO, at $78 a share. The shares of the company started trading on Wednesday at an opening price of $106.75 a share, a jump of 36.8%.

Price Action: Rivian shares closed 29.14% higher at $10.73 a share on its debut trading day.

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