Rivian suspends plans to make electric vans in Europe with Mercedes-Benz

Rivian said on Monday that it was suspending plans to manufacture electric utility vans in Europe and that it would “no longer pursue” the agreement it had reached with Mercedes-Benz just three months ago.

“We have decided to suspend discussions with Mercedes-Benz Vans regarding the memorandum of understanding we signed earlier this year for the joint production of electric vans in Europe,” Rivian CEO RJ Scaringe said, noting that the company was pursuing “the best risk-adjusted approach”. returns” on its capital investments.

“At this time, we believe that focusing on our consumer businesses, along with our existing commercial businesses, represents the most attractive near-term opportunities to maximize value for Rivian,” he added.

The company said it remains open to exploring future work with Mercedes-Benz “at a more appropriate time for Rivian.” The companies signed their original memorandum of understanding in September.

Mercedes-Benz said Rivian’s decision would not impact the timing of its electrification strategy or the planned ramp-up of its new electric vehicle manufacturing site in Jawor, Poland.

This is breaking news and will be updated shortly.