Rivian R2 to debut in 2024, aiming for $40,000

The Rivian R2 program is three years away from production, but is already beginning to come into focus.

On Thursday, Claire McDonough, Rivian's chief financial officer, spoke with Deutsche Bank's Emanuel Rosner at an automotive industry conference about the R2's price and public release date.

McDonough said the R2 will go public in early 2024. The executive spent time in the design studio with his team to evaluate the clay model; Rivian CEO RJ Scaringe and design boss Jeff Hammond previewed the R2 clay model that was under the sheets during an Instagram Q&A in May.

It is clear that the clay model represents the R2S SUV, as it features a boxy profile like the R1S SUV, albeit covered by a cover; the R2S is expected to be about the size of a Jeep Grand Cherokee. Rivian has not indicated any other body styles for the R2, but has trademarked the name R2T, which also indicates the possibility of a pickup truck.

Rivian is aiming for a wider market with the R2 and trying to attract more units; McDonough said prices will span the $40,000 to $60,000 range, with the R1S starting at about $78,000.

CFO McDonough said the company will seek to improve the cost base of the R2 from manufacturing to the supply chain. Automakers will start in a different position when setting up supplier contracts than they were when starting out in 2018 with no R1 product.

Originally, Rivian planned to begin production of the R2 platform in 2025, but in 2022 the company said the smaller, less expensive model would be delayed a year until 2026.In 2019, Scarling said it planned to have six models in its lineup by 2025 The company said.

The R2 will be built at Rivian's new car plant under construction near Atlanta, Georgia. Rivian lost tax incentives related to the plant that would have allowed it to avoid paying property taxes. The Georgia plant is expected to have a production capacity of 400,000 vehicles per year