Following its mammoth initial public offering last year, upstart EV maker Rivian has thus far struggled to produce a significant number of vehicles over the past few months, a problem that it attributes to ongoing supply constraints including the semiconductor chip shortage. At the same time, it’s been nearly four years since the automaker revealed the R1T pickup and R1S SUV and began taking reservations for each, which is akin to an eternity in the automotive world, without taking any sort of price increase. That is no longer the case, however, as Rivian has announced substantial price increases for both the R1S and R1T as rising costs and supply shortages continue to plague the automotive world, according to Bloomberg.
Previously, the R1T started out at $67,500, but will now cost at least $79,500, while the R1S – formerly priced at $70,000 – will rise all the way to $84,500. However, the automaker will offer a cheaper, de-contented version of the R1T that will continue to start at the previous $67,500 price. While the more expensive R1T features four electric motors and the large battery pack that offers up to 310 miles of range, the new version – expected to launch in 2024 – will come equipped with dual motors and a standard battery pack good for 260 miles of range.
This means that the cheapest 2022 Ford F-150 Lightning equipped with FoMoCo’s extended range battery pack available to retail customers – an XLT trimmed pickup that offers an estimated 300 miles of range – is cheaper than the current base R1T with a $72,474 price tag, which includes destination and delivery.
Meanwhile, Rivian continues to work to expand its production capacity with plans to build a second plant in Georgia, though it has faced heavy local opposition in recent weeks. Regardless, the company believes that it can achieve a 10 percent EV market share by 2030, and Ford plans to keep its rather large stake in the upstart automaker for the foreseeable future, even after the two canceled plans to build a Ford EV on Rivian’s Skateboard platform.