Rivian is nearing the launch of the mid-sized SUV R2. The company confirmed on Tuesday that the first deliveries of the model are on track for the first half of 2026.
The company founded and led by RJ Scaringe is pinning its hopes on the new, more affordable model, with the entry-level variant planned to start at $45,000.
Last month, founder and CEO RJ Scaringe admitted that manufacturing operations of the model would be a “structural cost challenge” in the beginning, only becoming an advantage once they “add volume.”
Commenting on the R2 launch, Scaringe revealed on Tuesday that Rivian will host a dedicated event “in the early part of next year” where it will disclose all the SUV’s variants and their respective pricing.
The chief executive said the EV maker will be limiting the number of variants in an initial phase as part of the production ramp up process.
“This is a classic challenge because of the thousands and thousands of people that are excited for R2, some will want the most base version, the lowest price version,” he noted. “Others are going to want the highest-end version. Some will want something in the middle.”
Scaringe said the company has spent “a lot of time really thinking around what’s the right version to launch with.”
Without revealing pricing for the first variant to be produced, the CEO said it will be a dual-motor, while hinting that it will be a mid-level trim of the R2 lineup.
“I’ll say that it’s a dual-motor variant, and that’s well-appointed, but it’s not intended to be our most expensive version, but it is intended to be a very nicely set up vehicle, which we think will make the most people the most happy, which is really the goal we had in selecting our launch configuration,” the CEO stated.
Sales Expected in First Half
Rivian has already manufactured “hundreds of production-intent builds” of the upcoming SUV, which are currently road-testing in preparation for full-scale production at its Normal plant.
Until the end of this year, Rivian will continue running vehicles through its plant using full production equipment and processes.
Then, and according to the CEO, “in the early part of next year, we’ll transition from non-saleable units, (…) which we consume internally, to then units that are saleable to consumers.”
In early October, RJ Scaringe shared new images of the facility on X, stating that the “R2 body shop [is] almost ready!”
By then, Rivian‘s main factory had temporarily halted operations as it retooled to accommodate R2 production.
Normal Production Capacity
Scaringe said that the EV maker has raised its planned production capacity for the upcoming R2 model at its Normal facility to “up to 175,000” units per year, while beginning at about 50,000.
Rivian originally projected in 2024 that the Normal plant would produce 155,000 R2 vehicles, alongside 85,000 R1S and R1T vehicles and 65,000 electric delivery vans (EDVs) in 2026.
Last month, however, both Scaringe and Claire McDonough reiterated that Rivian‘s Illinois plant only has a yearly capacity of 215,000 units, 90,000 vehicles below the 2024 projections.
McDonough also stated during a Reuters automotive conference in late October that the company remains “on track” to launch production in the first half of 2026.
According to the CFO, Rivian‘s operating profit target will be hit in 2028, once its main plant in Normal, Illinois, reaches full production capacity of 200,000 vehicles a year.
Upcoming Georgia Plant
Rivian‘s plant in Georgia, which is supported by both a $6.6 billion federal loan and over $1.5 billion in state incentives, is expected to begin partial operations in the third quarter of 2027 and start sales of its production in 2028.
The upcoming facility will support R2 and R3 production, and is expected to add a production capacity of 400,000 R2s once it is operational.
Last month, McDonough announced that Rivian plans to delay using the Department of Energy’s $6 billion loan until 2028 — just before production begins at the new plant.
