Rivian blames the dispute between Russia and Ukraine, together with the continuing pandemic and inflation, for disruptions to and delays in operations.
Electric-vehicle maker Rivian Automotive Inc. says Russia’s invasion of Ukraine is including to provide chain pressures and prices, turning into one of many first U.S. automakers to quote the war in Eastern Europe as a danger and headwind.
In a regulatory submitting Thursday, Rivian blamed the dispute between Russia and Ukraine, together with the continuing pandemic and inflation, for “disruptions to and delays” in operations. The Irvine, California-based company also listed the conflict as a factor in higher component costs — including battery metals, which it said have risen “considerably.”
(Also learn | Fire breaks out inside Rivian’s electrical automobile plant, cause unknown)
The Amazon.com Inc.-backed EV upstart has struggled to ramp up manufacturing of its debut battery-powered autos. The company had an embarrassing U-turn on elevating costs earlier this month, a transfer it initially attributed to a provide chain crunch and worth pressures. It additionally gave a tepid manufacturing forecast of 25,000 autos, half of what the company’s Normal, Illinois, plant is able to constructing.
Rivian shares fell 3.4% to shut at $50.24 in New York on Thursday. The stock is down greater than 50% within the first three months of this year.
(Also learn | EV maker Rivian delays deliveries of autos with huge battery packs to 2023)
“There have been very sizable will increase in current months in the price of key metals, together with lithium, nickel, aluminum, and cobalt with volatility in pricing anticipated to persist for the foreseeable future,” Rivian mentioned within the submitting, with out explicitly linking the value pressures to the war.
In complete, Rivian made 13 references to Ukraine within the submitting. The company hadn’t beforehand made any express references to the war as a danger issue or headwind, however had acknowledged rising commodity costs and ongoing components procurement challenges.
First Published Date: 01 Apr 2022, 06:52 AM IST