{"id":130334,"date":"2024-11-26T16:38:50","date_gmt":"2024-11-26T09:38:50","guid":{"rendered":"https:\/\/hotvideos24.online\/?p=130334"},"modified":"2024-11-26T16:38:50","modified_gmt":"2024-11-26T09:38:50","slug":"rivian-gets-6-6-billion-conditional-loan-approval-to-build-georgia-ev-plant","status":"publish","type":"post","link":"https:\/\/hotvideos24.online\/?p=130334","title":{"rendered":"Rivian gets $6.6 billion conditional loan approval to build Georgia EV plant"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<\/p>\n<div>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->By Abhirup Roy<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->SAN FRANCISCO (Reuters) -Rivian said on Monday it has received conditional approval for a loan of up to $6.6 billion from the U.S. Department of Energy to build the electric vehicle maker&#8217;s production facility in Georgia.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The announcement comes ahead of the inauguration of President-elect Donald Trump, who is expected to undo many of the Biden administration&#8217;s EV-friendly policies and incentives.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Operation of the Georgia plant, where Rivian plans to build future vehicles such as its smaller, less expensive R2 SUVs and R3 crossovers, will begin in 2028, the California-based startup said in a statement.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Rivian shares are down about 50% this year as the young company has struggled to produce its roomy electric SUVs and pickup trucks while grappling with a part shortage, and has pushed to slash costs.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->To conserve cash and hasten the production of R2 &#8211; seen critical to Rivian&#8217;s success amid a slowdown in EV growth &#8211; Rivian paused construction of the Georgia plant earlier this year.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->It instead decided to start building R2 in 2026 at its Normal, Illinois plant where it makes its flagship R1S SUVs and R1T pickup trucks.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->&#8220;This loan would enable Rivian to more aggressively scale our U.S. manufacturing footprint for our competitively priced R2 and R3 vehicles that emphasize both capability and affordability,&#8221; Rivian CEO RJ Scaringe said in the statement.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Rivian must satisfy certain technical, legal, environmental, and financial conditions before the energy department grants the loan, said the company.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->As part of the conditions for the loan, Rivian will not actively oppose union organizing efforts at the Georgia plant, a source aware of the matter told Reuters, adding that the loan approval will not guarantee unionization at the facility.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Rivian will work with the Energy Department to close the loan before the Trump administration takes over, the source said.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Rivian did not immediately respond to requests for comment.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->EV LOAN PROGRAM<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The loan comes from the government&#8217;s Advanced Technology Vehicles Manufacturing loan program that has previously provided low-cost loans to other automakers, including Tesla, Ford and General Motors.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The company had earlier forecast the cost of the Georgia plant at $5 billion.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Rivian said it expects the Georgia plant to employ about 7,500 operations staff through 2030.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->&#8220;Financially supporting the Project will help Rivian bring 400,000 electric vehicles (EVs) to market and into greater use,&#8221; the Department of Energy said in an October assessment as it considered the loan.<!-- HTML_TAG_END --><\/p>\n<p><button class=\"secondary-btn fin-size-large readmore-button rounded   yf-15mk0m\" data-ylk=\"elm:readmore;itc:1;sec:content-canvas;slk:Story%20Continues\" aria-label=\"Story Continues\" title=\"Story Continues\"> <span>Story Continues<\/span> <\/button> <\/p>\n<div class=\"read-more-wrapper\" style=\"display: none\" data-testid=\"read-more\">\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The loan includes $6 billion of principal and $600 million of capitalized interest, Rivian said on Monday.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The announcement of the loan comes less than two weeks after Rivian closed its $5.8 billion investment from German automaker Volkswagen as part of their technology joint venture.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The joint venture helps alleviate &#8220;a significant chunk of the capital concern&#8221; and likely establish the Rivian and Volkswagen venture as the platform of choice in the Western world apart from Tesla, said Canaccord Genuity analysts in a note at the time.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Rivian still faces daunting challenges including a lack of scale, increasing competition, high capital costs and Trump&#8217;s plans to end tax credits to buyers of electric vehicles.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->In 2022, the EV maker had secured a $1.5 billion in state and local incentives for the Georgia facility. In May, it said it had received $827 million in an incentive package from the State of Illinois to expand operations at its Normal facility.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Rivian earlier this month posted its first drop in quarterly revenue since going public three years ago, citing the significant shortage of a part used in the drive unit of its vehicles.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Still, the company stuck to its forecast of turning its first gross profit in the current quarter, reflecting cost cuts as Rivian renegotiated supplier contracts and revamped its manufacturing processes, and a sharp increase in green car credits.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->(Reporting by Abhirup Roy in San Francisco; Editing by Lincoln Feast and Peter Henderson)<!-- HTML_TAG_END --><\/p>\n<\/div><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<br \/><div data-type=\"_mgwidget\" data-widget-id=\"1660802\">\r\n<\/div>\r\n<script>(function(w,q){w[q]=w[q]||[];w[q].push([\"_mgc.load\"])})(window,\"_mgq\");\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/finance.yahoo.com\/news\/rivian-gets-6-6-billion-040531401.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Abhirup Roy SAN FRANCISCO (Reuters) -Rivian said on Monday it has received conditional approval for a loan of up to $6.6 billion from the U.S. Department of Energy to &hellip; <a href=\"https:\/\/hotvideos24.online\/?p=130334\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-130334","post","type-post","status-publish","format-standard","hentry","category-business","entry"],"_links":{"self":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/130334","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=130334"}],"version-history":[{"count":0,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/130334\/revisions"}],"wp:attachment":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=130334"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=130334"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=130334"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}