In a matter of days, Rivian will have its long-awaited debut in Europe. However, it will not be with its R1S and R1T models, available for some time in the United States, but with Amazon’s electric trucks.
As reported BloombergIn the next weeks Amazon to Deploy a Fleet of 300 Rivian Electric Trucks in Germany. Specifically, in the cities of Munich, Berlin and Düsseldorf. Everything indicates that it will be the first step for a broader adoption of these delivery vehicles in the region.
Rivian’s landing on European territory is a crucial step to move forward with the large-scale plan developed together with the e-commerce giant founded by Jeff Bezos. Recall that Amazon purchased 100,000 electric trucks as part of its strategy to become a net zero carbon company by 2040.
The firm run by Andy Jassy has been using these Van’s electricity to make deliveries in different parts of the United States. Although Rivian’s production pace has been far from what was originally projected. The electric car maker was expected to have 10,000 units available to Amazon in North America by the end of 2022. However, only reached 3,000.
The latter makes the decision to expand the deployment outside the United States, before completing vehicle deliveries there, somewhat striking. Nonetheless, it is clear that the public exposure of Amazon’s electric trucks can serve as a a means of promotion for Rivian in Europe. Especially in Germany, a country with such a deep-rooted automotive industry.
Rivian will have its European premiere with Amazon electric trucks
The arrival of Amazon’s electric trucks in Europe may also be a show of strength, despite some recent stumbles for Rivian. Let us remember that the manufacturer of electric vehicles had signed a memorandum of understanding with Mercedes-Benz to invest in and jointly operate a medium and large electric van factory. The vehicles in question would be produced in the Polish city of Jawor and would hit the market from 2025.
However, the original September 2022 announcement was short-lived. In December, Rivian announced that it would ultimately not go ahead with the deal with the German automaker. The US firm argued that focusing on its existing commercial and consumer businesses were the most attractive to maximize value in the short term.
At the beginning of February of this year, meanwhile, Rivian announced the layoff of 6 percent of its employees. It is worth clarifying that the measure, which impacted some 840 employees, had no effect on the electric vehicle production line. This, because none of those affected by the staff cut worked at the Normal, Illinois plant, where the brand’s models are manufactured.
Over the course of 2022, Rivian’s share value fell by more than 80%. And while the downtrend has also carried over to 2023, the company aims to reverse it. Yesterday, those of Irvine, California, announced the production of 13,992 electric vehicles during the second trimester; a higher figure than estimated by analysts.
Those led by RJ Scaringe maintain their projection produce 50,000 vehicles this year, counting both the R1T and R1S models, as well as Amazon’s electric trucks. If it does, it would more than double the units manufactured in 2022. The news has had a good impact on the market, with the stock rising more than 15% in New York.