Rivian’s plans to construct a $6.6 billion electric vehicle (EV) manufacturing facility in Georgia may have hit a roadblock following the Trump administration’s decision to freeze federal loans. The fate of the loan, which was secured during the final months of the Biden administration, is now uncertain, raising concerns over the project’s future.
Georgia Governor Brian Kemp, who was instrumental in bringing Rivian to the state, has expressed doubts over the federal funding’s status. “You know, they secured that loan at the tail end of the Biden administration and, you know, I think there’s no secret that the Trump administration is taking a look at all those things. So I don’t really know where that stands right now,” Kemp stated in an interview. (via WSB Atlanta)
The uncertainty stems from a spending freeze issued by the U.S. Office of Management and Budget, which initially halted multiple forms of federal assistance, including student loans and business grants. While the freeze was lifted after two days, the brief suspension has already created confusion and left Rivian’s funding in limbo.
Despite the funding uncertainty, Rivian remains optimistic about moving forward. The company says that the Georgia factory project is still on track and anticipates accessing the loan when needed.
The factory, located 40 miles east of Atlanta, is projected to create 7,500 direct jobs and an additional 2,000 construction positions. Once up and running, the plant is expected to produce up to 400,000 EVs annually, focusing on the new R2 and R3 models, which will be more affordable than Rivian’s existing lineup. The R2 will start production in Normal, Illinois following a delay to the start of construction of the Georgia factory.
