An Amazon Rivian electric delivery van at the company’s manufacturing facility in Normal, Illinois, USA, Monday, April 11, 2022.
Jamie Kelter Davis | Bloomberg | Bloomberg | Getty Images
Rivian CEO RJ Scaringe said: “We have decided to suspend discussions with Mercedes-Benz Vans regarding the Memorandum of Understanding we signed earlier this year to co-manufacture electric vans in Europe. ,” said the company, “providing the best risk-adjusted capital investment return.”
“At this time, we believe that focusing on our consumer facing business, rather than just our existing commercial business, is the most compelling near-term opportunity to maximize the value of Rivian,” he added. I was.
The US-based electric car maker said it remained open to exploring future work with Mercedes-Benz “at a more opportune time for Rivian”.The two companies signed an initial memorandum of understanding in September. signed.
Mercedes-Benz said Rivian’s decision will not affect the timeline of its electrification strategy or plans to launch a new electric vehicle manufacturing site in Žavor, Poland.
Matthias Geisen, head of Mercedes-Benz Vans, said: “Exploring strategic opportunities with the Rivian team in the future remains an option.
According to the Department of Energy, the IRA “represents a historic $369 billion investment in modernizing America’s energy system.”
Among other things, the IRA includes a tax credit for electric vehicles who’s final assembly will be held in North America, which could pose a major challenge for European automakers going forward.
The EU, a major political and economic bloc of 27 countries, is planning Phase out sales of new diesel and petrol cars and vans.
— CNBC’s Silvia Amaro contributed to this report
https://www.cnbc.com/2022/12/12/rivian-pauses-plans-to-make-electric-vans-in-europe-with-mercedes-benz.html Rivian suspends plans to jointly build electric vans in Europe with Mercedes-Benz