Workflow
Rivian cuts delivery guidance because of Trump's tariffs and trade wars

Core Viewpoint - Rivian is likely to deliver fewer electric vehicles (EVs) in 2025 than previously forecasted due to the impact of President Trump's tariffs and regulatory changes, reflecting broader challenges faced by the automotive industry under the current administration [1][2]. Group 1: Delivery Forecast - Rivian expects to deliver between 40,000 and 46,000 EVs by the end of 2025, a reduction from the earlier estimate of 46,000 to 51,000 vehicles [1]. - This marks a setback for Rivian, which has already been experiencing no volume growth for three consecutive years, having delivered 51,579 vehicles in 2024 and 50,122 in 2023 [4]. Group 2: Financial Performance - In the first quarter of 2025, Rivian generated a gross profit of $206 million from 8,640 deliveries, marking the second consecutive quarter of gross profit [5]. - However, the company reported a net income loss of over $540 million for the same quarter, with automotive revenue decreasing to $922 million from $1.12 billion in the first quarter of 2024 [6]. Group 3: Industry Context - Rivian's announcement follows Ford and General Motors withdrawing their guidance for the year due to economic uncertainty linked to Trump's tariffs, with Ford estimating an additional $2.5 billion in costs and GM around $5 billion [2]. - Rivian has previously warned that changes in government policies and a challenging demand environment could threaten vehicle demand, particularly if the $7,500 federal tax credit for EVs is eliminated [3].