DETROIT / WASHINGTON, July 22 (Hfrance.fr) - Amazon.com Inc (AMZN.O) -supported by electric vehicle start-up Rivian Automotive plans to build a second plant for assembly in the United States that will also include the production of battery cells, according to four of those familiar with the matter.
" While at the start of an evolving process, Rivian is exploring locations for a second manufacturing facility in the United States, "Rivian spokesperson Amy Mast said. said Thursday. She declined to provide further details.
Several US states have made an offer for the plant - dubbed "Project Tera " in the documents - to be announced in a few months and pave the way early next year, said the sources, who asked not to be identified. The timeline could still change given the coronavirus pandemic , which has already delayed the expected summer announcement, the sources said.
"We look forward to working with a community of support and at the forefront of technology to create a partnership as strong as the one we have with Normal "said Mast.
Rivian 'The American factoryexisting one is in Normal, Illinois.
The typical cost of a new vehicle assembly plant is currently $ 1 billion dollars or more, while a factory battery cell output is at least 2 billion dollars. Other car makers have partnered with battery manufacturers for the production of cells. Samsung SDI Co Supplies (006400.KS) battery cells in Rivian.
Automakers struggle to develop electric vehicles as China, Europe and he other countries and regions impose lower carbon emissions. In the United States, traditional automakers like General Motors Co (GM.N) and FordMotor Co (FN) renovate factories for the production of electric vehicles, while Tesla Inc (TSLA.O) , Taiwanese subcontractor Foxconn (2317.TW) , and startups including Lucid and Canoo (GOEV.O) have existing factories or are in the process of adding more.
Rivian based in California, also supported by Ford and T. Rowe Price (TROW.O) , aims to compete when it deploys its R1T pickup and R1S SUV, as well as a delivery for Amazon. Rivian is looking forra valuation of over $ 50 billion in a potential public listing later this year, according to another source familiar with the matter.
DELAYS CAUSED BY THE COVID
Rivian, who has raised $ 8 billion since early 2019, had a valuation of $ 27.6 billion in January after a funding round of $ 2.65 billion led by T. Rowe Price. Other investors in Rivian include Soros Fund Management, Fidelity, BlackRock Inc (BLK.N) and Saudi automotive distributor Abdul Latif Jameel Co (ALJ). learn more
2021 has been difficult for Rivian, however, as managing director RJ Scaringe said in a letter to clients the selast month that COVID-19 delayed the launch of its vehicles. The first deliveries of the R1T, previously scheduled for July, have been pushed back to September, while the R1S has been delayed in the fall. learn more
A second US plant will expand the company's capacity and include a 50 gigawatt hour (GWh) battery cell production operation built in phases, as well as 'a product and technology center, according to documents consulted by Hfrance.fr which were submitted to the state's economic development officials. Although the documents do not mention Rivian, sources told Hfrance.fr that Tera and Rivian were one and the same.
The proposal indicated the spring 2021 as the period in which states would be ainvolved in the company's decision, with a probable "mobilization " in the summer, then the start of work in the fall. However, the pandemic has delayed that timeline, the sources said.
The project requires around 2,000 acres of land and the site is reportedly looking to reach net zero . carbon emissions as soon as possible, according to the proposal.
The launch editions of Rivian's pickup and SUV are priced at $ 73,000 and $ 75,500, respectively, with 2022 models available for pre-order at $ 67,500 for the R1T and $ 70,000 for the R1S. Amazon has ordered 100,000 electric vans from Rivian through 2024, with production scheduled to begin in the fall of this year.
Scaringe told Hfrance.fr last November that Rivian planned to follow the first three vehicles with smaller models destined for China and Europe. Reportage by Paul Lienert and Ben Klayman in Detroit, and David Shepardson in Washington Additional reporting by Anirban Sen in Bengaluru Editing by Matthew Lewis
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