Despite VW JV and New Cargo Van, Rivian Expects a Challenging 2025
Rivian produced 49,476 vehicles in 2024 and delivered a total of 51,579 but is forecasting a slight decline in 2025 owing to multiple factors.
The EV maker expects a "challenging demand environment" in 2025, also citing changes to government regulations and policies, which are expected to include the demise of the $7,500 tax credit.
Rivian is getting ready for the start of R2 production in 2026, which will consume some financial resources and factory prep time later this year.
Rivian is one of just a handful of EV startups from the 2010s that have survived into the present day, making the perilous journey from concept to mass production. But surviving into 2025 does not necessarily mean smooth sailing.
The EV maker revealed its fourth quarter results a few days ago, hitting generally positive notes headlined by achieving a gross profit of $170 million. The EV maker also saw record revenues in 2024, and it cited the sale of regulatory credits along with higher average selling prices of its R1 models, among other factors.
The automaker said it produced 49,476 vehicles in 2024 and delivered 51,579.
"In 2024 more than 1 billion packages were delivered by Amazon in the Rivian Electric Delivery Van (EDV) in the US alone," the EV maker noted, adding that it had begun to offer its smaller Rivian Commercial Van (RCV) to non-fleet commercial buyers earlier this month, such as small businesses.
Rivian also entered into a joint venture with VW in 2024, with a deal worth up to $5.8 billion that will bring Rivian tech to Volkswagen's Scout brand, in addition to other goals.
But there are still a few clouds on the horizon when it comes to repeating this feat this year.
"We believe external factors could impact our 2025 expectations, including changes to government policies and regulations, and a challenging demand environment," the automaker said in a letter to shareholders. "While uncertainties persist, we remain focused on executing against our key value drivers and are confident in electrifying the world in the long term."
It's not too hard to guess just what regulatory challenges Rivian expects to see this year, with the fate of the $7,500 tax credit being just one of the factors.
That credit is still expected to depart, perhaps quite abruptly, though the specific timing of its demise remains uncertain. Other automakers are already factoring in the loss of federal incentives sometime in 2025 in their outlook for this year.
In citing a challenging demand environment, Rivian is referring to the slowdown in EV sales that began in late 2023, prompting quite a few automaker to drop prices repeatedly over the course of several weeks and months, as the EV adoption rate in the US showed signs of plateauing.
Rivian has not been immune to this trend, though it has navigated it better than some other, much larger automakers.
But as a result, Rivian cautions that it expects to deliver 46,000 to 51,000 vehicles in 2025, just a bit south of the number delivered in 2024.
"Rivian's guidance represents management's current view on potential adjustments to incentives, regulations, and tariff structures," the automaker noted, hinting at the remaining uncertainty in regards to tariffs that could produce one of the most consequential shake-ups in the EV industry's short history.
The Trump administration has indicated in recent days that tariffs of approximately 25% will be levied on imported automobiles as soon as April 2, 2025, but is expected to clarify the matter sometime prior to or on that precise date.
Rivian does not have a manufacturing footprint outside the US, but it could easily suffer various downstream effects of the imposed tariffs that will affect vehicle component suppliers.
Rivian also expects to see expenses relating to the planned start of R2 production in 2026, which will affect its financial resources later this year, though should pay healthy dividends in 2026 when deliveries start.
"We recently completed our first tooling trials for some of the key stamped body panels," the automaker noted. "The R2 body has been heavily optimized around cost with a focus on minimizing complexity. For example, the R2 utilizes a number of large high-pressure die castings to eliminate parts and connection points."
In preparation for the start of production, the EV maker's plant in Normal, Illinois, is expected to see some preparatory work and some footprint expansion.
Ahead of the R2 launch, Rivian will also grow its service network with plans to open 30 new service locations through the course of the year.
Rivian is certainly not alone in expecting a rocky 2025, but we have a feeling that some of the more consequential events for the EV industry will be ones not anticipated by automakers at the moment.
Will the departure of the $7,500 tax credit affect purchasing decisions for buyers of EVs priced above the $60,000 mark? Let us know what you think in the comments below.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


CNET
29 minutes ago
- CNET
Save Up to to $1,000 on Our Favorite Pool Cleaners Thanks to Aiper Day Deals
Summer is almost here and so is Father's Day weekend. That means if you own a pool, you're probably ready for a summer of get-togethers, daily swimming and good fun. However, anyone who owns a pool knows they require upkeep, especially if you use it frequently, have pets or need to get rid of any debris the wind might blow in. But not to worry, one of our favorite pool cleaner brands, Aiper, is offering savings of up to $1,000 off right now thanks to this year's Aiper Day. If you have Amazon Prime, you'll also have your choice of deals on select Aiper pool cleaners at Amazon, though offers vary. Aiper Day deals last until the end of this month, giving you plenty of time to look for the right pool cleaner for you. Every Aiper robot pool cleaner is waterproof, effortless to use and ensures your pool stays free of dirt, debris and other unwelcome items. Aiper Day deals include this Scuba S1 and Aiper Pilot H2 for just $750, down from its regular price of $1,000. The Scuba S1 works best in in-ground pools and can clean the bottom and sides of your pool so you can spend time relaxing. Other cool pool cleaner deals include the Aiper Scuba X1 is now down to $990 at Aiper, saving you $510 over its usual price. Amazon Prime members can also grab this deal for the same price. The Scuba X1 includes 16 sensors and has a battery life of up to 180 minutes. It also includes a wireless charging dock so you can be prepared for your next cleaning session. If you need more power, the Aiper Scuba X1 Max and caddy bundle is now $1,199 off, which brings the price down to $2,100 at Aiper. Amazon Prime members can also score this bundle for the same price. This pool cleaner can clean your surface for up to 12 hours, or your pools floor and sides for up to 5.5 hours at a time. The Scuba X1 Max can park on your surface so you can easily remove it from the pool whenever guests are around. The entire list of deals at Aiper and Amazon are worth looking at if you want a better way to keep your pool clean all summer long. We've also compiled a list of the best vacuum pool cleaners if you want to check out what else is out there. Why this deal matters Aiper's robot pool cleaners include powerful filters, smart features that park these robot pool cleaners on the surface for easy retrieval and a long battery life to ensure every last bit of debris is removed. Though robot pool cleaners aren't known for being cheap, Aiper Day deals can help you save up to $1,000 and provide massive savings on bundles. If you prefer to shop at Amazon, Prime members can also save on some equipment for a limited time right now. These deals last until the end of June, but we suggest acting fast to ensure you get your first choice.


The Verge
30 minutes ago
- The Verge
Posted Jun 11, 2025 at 4:44 PM EDT
A pretty fascinating look under the hood of the Rivan R2. Rivian just posted an interesting video about the design and engineering work that goes into its upcoming R2 vehicle. The best part is when they take us into the garage where they work on their engineering test vehicles and we get to see the 'Mule 3.2,' which is basically an x-ray version of the car with all the wiring and electrical components completely exposed. I promise, it's SFW.

Miami Herald
33 minutes ago
- Miami Herald
ID.Buzz Could Get Compact Sibling As VW Evaluates New EV Plans
The Volkswagen is one of the most cheerful new family vehicles you can buy, but its starting price of $59,995 limits its appeal. That's still far more expensive than conventional gas or hybrid minivans like the Chrysler Pacifica. However, it looks like a smaller, cheaper sibling could be on the way, based on a new report by Autocar. The report suggests that the new VW would replace the Touran, an MPV that has never been sold in the United States, given our market's preference for SUVs. Currently being internally reviewed by Volkswagen, the potential Touran replacement could draw inspiration from one of the brand's most exciting concepts. The Budd-E was the first VW model to be based on the MEB modular platform that now underpins models like the ID.4, ID.7 and The electric minivan concept still looks ultra-modern today, with its wraparound windshield, two-tone body, and bold face with sleek lighting. It's this concept that could inspire the Touran replacement, but this is just one of several older MPV concepts VW is reviewing. The minimal overhangs and flat floor will maximize interior space but keep the proportions tight, which is exactly why this type of vehicle excels. According to insiders, new sliding door and seat designs are being considered to make this vehicle as versatile as possible. Powering the Touran replacement could be a choice of single or dual electric motors. To keep the price low enough, an output of around 200 to 250 hp seems reasonable, given that the larger manages between 282 and 335 hp. The and ID.4 are rear-wheel drive as standard, but its smaller sibling may rely on front-wheel drive as standard. Battery capacities of 60 to 80 kWh have been suggested as likely. EVs of this size would be expected to have a range of at least 240 miles or so to be competitive. At this point, it seems unlikely that a smaller version of the would be sold here. Such a vehicle would clash with the ID.4 in terms of price - the priciest ID.4 starts at just below the price of the Besides this, few Americans choose SUVs over minivans or MPVs. The smaller and cheaper is expected to be launched by 2027 at the earliest, assuming Volkswagen does decide to put it into production. If it has the same nostalgic styling and clever versatility of the but at a lower price, it'll be one of VW's top EVs. Copyright 2025 The Arena Group, Inc. All Rights Reserved.