Rivian stated Monday it was pausing plans to fabricate electrical business vans in Europe and would “no longer pursue” the settlement it made with Mercedes-Benz simply three months in the past.
“We’ve decided to pause discussions with Mercedes-Benz Vans regarding the Memorandum of Understanding we signed earlier this year for joint production of electric vans in Europe,” Rivian CEO RJ Scaringe stated, noting the corporate was pursuing “the best risk-adjusted returns” on its capital investments.
“At this point in time, we believe focusing on our consumer business, as well as our existing commercial business, represent the most attractive near-term opportunities to maximize value for Rivian,” he added.
The firm stated it stays open to exploring future work with Mercedes-Benz “at a more appropriate time for Rivian.” The firms signed their unique memorandum of understanding in September.
Mercedes-Benz stated Rivian’s determination wouldn’t impression the timeline of its electrification technique or the deliberate ramp-up of its new electrical automobile manufacturing website in Jawor, Poland.
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