EV maker Rivian halts production of Amazon delivery vans amid parts shortage

RIVIAN has temporarily suspended production of its commercial delivery vans used by retail giant Amazon.com due to a shortage of parts, a spokesperson for the electric vehicle manufacturer said on Friday (Aug 16).

The production halt is the latest in a series of supply chain challenges for Rivian, which, like other EV makers, has grappled with significant production issues over the past two years due to supplier shortages.

Amazon, Rivian’s largest investor with a 16 per cent stake, has ordered 100,000 electric delivery vans to be deployed by 2030. Last year, sales to Amazon represented approximately 19 per cent of Rivian’s revenue.

“A part shortage has temporarily impacted our electric delivery van (EDV) production. We expect to recover all missed production,” the spokesperson said in an e-mailed statement.

The part shortage would not affect the production of other Rivian vehicles, including its R1S sport utility vehicle and R1T pickup models.

Earlier this month, Rivian had maintained its production forecast and said that deliveries would be slightly lower in the current quarter after it shut down its factory in April for retooling and modifications. REUTERS