Rivian announced on Monday that it has received conditional approval for a $6.6 billion loan from the U.S. Department of Energy (DOE) to support the construction of its new production facility in Georgia. The facility is central to the electric vehicle maker’s plans to expand its lineup with the R2 SUV and R3 crossover, aimed at providing more affordable EV options. Operations at the Georgia plant are expected to commence in 2028.
“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,” said Rivian CEO RJ Scaringe in a statement. The DOE’s Advanced Technology Vehicles Manufacturing loan program, which has previously supported automakers like Tesla, Ford Motor, and General Motors, is providing the funding. Rivian must meet technical, legal, environmental, and financial conditions before the loan is finalized.
The Georgia facility, projected to cost $5 billion, is anticipated to employ approximately 7,500 people by 2030. Rivian paused the plant’s construction earlier this year to conserve cash and accelerate production of the R2 vehicles at its Illinois facility starting in 2026. However, the DOE’s loan approval reignites momentum for the project, aligning with Rivian’s broader goal to produce 400,000 EVs as outlined in an October DOE assessment.
The announcement comes as Rivian navigates significant challenges, including a 50% drop in its stock price this year, supply chain constraints, and increasing competition. The company is also working to close the loan before the anticipated policy changes under the incoming Trump administration, which is expected to scale back EV-related incentives.
