Georgia state court rejects incentive plan for Rivian $5-billion plant
Georgia court decides the deal wasn't peachy after all.
Rivian beats Tesla, Ford, GM to build first EV pickup
FoxNews.com automotive editor Gary Gastelu discusses the startup Rivian.
Georgia state officials said on Monday they were disappointed after a local court rejected a joint proposal to secure local incentives for Rivian Automotive Inc's $5-billion manufacturing plant in the state.
"We remain undeterred in our efforts to bring high-paying, American manufacturing jobs to Georgia, and are currently assessing all legal options," the Joint Development Authority (JDA) of Jasper, Morgan, Newton, and Walton counties and Georgia Department of Economic Development said in a joint statement.
Republican gubernatorial candidate for Georgia, former U.S. Sen. David Perdue steps off stage after speaking at a rally to oppose a proposed Rivian electric vehicle assembly plant Tuesday, March 1, 2022, in Rutledge, Ga. The state announced on Monday (AP / AP Images)
RIVIAN, MERCEDES-BENZ ANNOUNCE PARTNERSHIP TO PRODUCE ELECTRIC VANS
Morgan County Superior Court Judge Brenda Trammell on Thursday rejected the agreement between the local development authority and the Amazon.com Inc-backed EV company on grounds that the proposal did not appear feasible and failed to establish that it would promote the welfare of local communities.
A Rivian spokesperson declined to comment.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| RIVN | RIVIAN AUTOMOTIVE INC. | 8.84 | -0.20 | -2.21% |
| AMZN | AMAZON.COM INC. | 176.59 | -2.92 | -1.63% |
Rivian had announced in December its plans to set up the Georgia plant and had said at the time that it would be commissioned in 2024. The company has a plant in Normal, Illinois.
Large crowds turned out to look at Rivian Automotive's R1S prototype during a public rollout of the company's new vehicles in Normal, Illinois, Sunday, Oct. 13,2019. (David Proeber/The Pantagraph via AP) ( (David Proeber/The Pantagraph via AP) / AP Newsroom)
ELON MUSK CLAIMS CYBERTRUCK CAN FLOAT AHEAD OF TESLA AI DAY
The Georgia plant, with a proposed capacity to produce 400,000 vehicles a year and an expected workforce of more than 7,500, would gain incentives of $1.5 billion from the state, Georgia's Department of Economic Development had said in May.
The development comes as Rivian faces hurdles to secure tax incentives for many of its current models under the new energy and climate bill passed by the U.S. Senate.
RJ Scaringe, founder and chief executive officer of Rivian Automotive Inc., unveils the R1T electric pickup truck, left, and R1S electric sports utility vehicle (SUV) during a reveal event at AutoMobility LA ahead of the Los Angeles Auto Show in Los (Patrick T. Fallon/Bloomberg / Getty Images)
CLICK HERE TO GET THE FOX BUSINESS APP
The company said in August that it expected a wider-operating loss this year, but kept its target to produce 25,000 vehicles.