Rivian sees record sales with R2 SUV amid minor battery recall

Rivian has achieved record electric vehicle sales in the third quarter, driven largely by the introduction of its more affordable R2 SUV. The company aims to sell between 20,000 and 25,000 R2 units by the end of the year, potentially making it one of the fastest-selling EVs in U.S. history. Rivian expects total annual sales to reach between 65,000 and 70,000 vehicles, including its R1 line and commercial vans.

Despite the sales momentum, the company is managing a small-scale recall for the R2 model. The recall affects approximately 14 vehicles due to loosely tightened connectors in the high-voltage battery pack, which could lead to power loss during driving. The issue was traced to an automated station at the Normal, Illinois, manufacturing facility. There have been no reports of accidents, injuries, or deaths related to this defect.

To support increased production, Rivian has expanded its Illinois plant and is constructing a new facility near Atlanta, Georgia, with a projected capacity of 300,000 vehicles annually. Additionally, the company has entered an agreement with Uber to produce R2 versions for use as robotaxis.