Rivian reservation holders received some disappointing news today, as the automaker announced not one, but several significant price increases for the R1T electric pickup truck and R1S Electric SUV.
For EV fans who had a reservation for either vehicle, this update could mean a cost increase of more than US$12,000. Presumably, this price hike can be attributed to supply chain challenges and material costs, as Rivian struggles to ramp up production and make its EV division profitable.
In 2018, Rivian unveiled the R1T and the R1S at a base price of US$69,000 before incentives; however, after Tesla revealed the highly anticipated Cybertruck (with similar specs at a lower cost), Rivian promised to lower its price. Following that announcement, the automaker changed the base price of the R1T Explore version to US$67,500 in 2020, with the Launch Edition starting at US$75,000.
In the announcement today, Rivian justified the price increases with mention of newly added options. “Vehicle base pricing and the cost of certain options, upgrades and accessories have increased,” the email read. “On R1T Adventure and Explore packages, the tonneau cover is now a selectable upgrade. We’re in the process of updating your Rivian Account page to reflect these adjustments and we will send you an email notification when the update is complete. Until then, all product and pricing updates can be viewed in our configurator.”
While Rivian customers might be delighted to see that the company added a new dual-motor option, they also might notice that the quad-motor option is still the only one currently in production, and it has become US$6,000 more expensive. Moreover, although the new battery pack offers increased range, the standard battery pack is currently unavailable with the quad motor, which results in another US$6,000 increase.
Apparently, only customers whose order is “far along in the delivery process” have their prices locked in; otherwise, reservation holders simply have to accept the additional costs, or cancel their order. According to Rivian, the price increases are the result of “inflationary pressure on the cost of supplier components and raw materials across the world.”