Rivian intends to allocate a sum of $10 million towards establishing a remanufacturing facility in Kentucky, as part of its efforts to increase the production of its fully electric vehicles.
Governor Andy Beshear of Kentucky disclosed that Rivian plans to invest $10 million in upgrading its existing plant. Currently, the facility primarily serves as a storage space for replacement parts. However, the company will now transform it into a complete remanufacturing operation to provide support for warranty, repair, and service of its electric trucks and SUVs.
This investment of $10 million will facilitate the expansion of the site’s capabilities and capacity, focusing on remanufacturing electrical hardware, drive units, and battery systems. This strategic move aims to help Rivian address the growing backlog of orders it has been experiencing.
Governor Beshear expressed his enthusiasm, highlighting the unprecedented growth of Kentucky’s manufacturing and electric vehicle industries. He emphasized the significance of continued investment in these key sectors for the state’s immediate and long-term economic success. Recognizing Rivian as a prominent company in the state’s manufacturing and electric vehicle sectors, he welcomed this expansion as an exciting milestone for the company in the Commonwealth.
According to Beshear’s office, the revamped plant will create 218 new full-time job opportunities.
Kentucky has emerged as a notable hub for electric vehicle investments, particularly in terms of large-scale manufacturing projects. Over the course of less than three years, the Commonwealth has witnessed the announcement of EV-related projects totaling over $10.6 billion.
Rivian has faced challenges in scaling up its production, which is common for electric vehicle manufacturers in their early stages. Nonetheless, the company exceeded delivery expectations in Q1 and expressed confidence in its ability to achieve its target of delivering 50,000 vehicles this year.
