Rivian to begin R2 deliveries with $58,000 launch variant this spring

Core Insights - Rivian will begin deliveries of its R2 line of SUVs this spring, starting with a launch variant priced at $57,990, aiming to compete with Tesla's Model Y [1][1] - The R2 launch variant features 656 horsepower and a range of approximately 330 miles, with plans for cheaper variants, including a $45,000 model expected by late 2027 [1][1] - Rivian anticipates a 53% increase in deliveries this year, projecting between 62,000 and 67,000 total deliveries, with around 23,000 expected from the R2 line [1][1] Pricing and Variants - The R2 line includes a Premium trim priced at $53,990 available late this year and a rear-wheel-drive Standard model at $48,490, with deliveries starting in the first half of 2027 [1][1] - Rivian's pricing strategy positions the R2 against Tesla's Model Y, which has Premium variants starting at $44,990 and Standard versions at $39,990 [1][1] Production and Delivery Expectations - The R2 was initially planned for production at Rivian's new Georgia plant but will now be produced at the existing facility in Normal, Illinois, with expansion to Georgia expected by 2028 [1][1] - Rivian has over 100,000 orders for the R2, although analysts note that many orders were placed with the expectation of the $7,500 EV tax credit, which is no longer available [1][1] Technology and Features - All R2 trims will include hardware for Rivian's Autonomy+ driver assistance system, with a subscription service priced at $49.99 per month or a one-time fee of $2,500 [1][1] - Rivian has also teased a smaller, more affordable compact crossover called the R3, expected to complement the R2 lineup [1][1]