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Rivian Trims Manufacturing Staff Ahead of R2 SUV Production

The EV maker is retooling its Normal plant to accommodate R2 production scheduled for early 2026.

Overview

  • Rivian laid off about 140 employees, roughly 1% of its workforce, mostly from its manufacturing team to streamline operations for the upcoming R2 SUV.
  • Chief Operations Officer Javier Varela confirmed a 1.1 million-square-foot expansion at the Normal, Illinois plant is on schedule for first-half 2026 R2 output.
  • Baird projects Rivian will deliver 9,900 vehicles in Q2 versus a 10,600-unit consensus, citing a one-month factory shutdown to install R2 tooling.
  • The company has cut U.S. lease rates for its R1T and R1S models and lowered full-year delivery guidance to 40,000–46,000 vehicles as it faces higher tariffs and production costs.
  • Construction is underway on a second U.S. factory in Stanton Springs, Georgia, which is planned to assemble over 400,000 vehicles annually.