Rivian has cut the US Department of Energy loan for its Georgia factory to $4.5 billion, yet boosted the plant's initial capacity to 300,000 vehicles a year. The company said it will begin drawing the funds in early 2027, sooner than previously planned, and that some of the output will make R2 robotaxis under a deal with Uber that includes an initial $300 million investment and an order for 10,000 autonomous vehicles ahead of a planned 2028 rollout in San Francisco and Miami. The shift is aimed at lowering per-unit costs and leaving room for later expansion.

Loan rework and timing

Rivian and the Department of Energy rewrote the original loan agreement. The revised figure is $4.5 billion, down from $6.6 billion under the previous plan. Rivian said it will start drawing the funds in early 2027 rather than later.

The change coincided with Rivian's first-quarter 2026 financial report.

Why the loan shrank

Rivian didn't give a detailed public explanation for the smaller loan in the announcement. The company tied the update to its first-quarter 2026 results released the same day. Those results showed $1.38 billion in revenue, with $908 million coming from vehicle sales.

Georgia plant ramp and economics

Rivian said the initial phase of the Georgia factory will target 300,000 vehicles a year. That's a 50 percent rise over the 200,000 it originally planned. The company said the larger capacity will lower per unit costs. It also leaves space for more output in later phases.

Uber tie and robotaxi production

Some of the Georgia plant's capacity will make R2 robotaxis for Uber. Uber agreed an initial $300 million investment and plans to buy 10,000 fully autonomous R2 SUVs ahead of a planned 2028 rollout in San Francisco and Miami. Rivian said the initial $300 million payment will probably close in the second quarter, with another $250 million investment planned later this year. Uber has the option to buy up to 40,000 more R2 SUVs from 2030. Uber said it will invest up to $1.25 billion in Rivian through 2031 if the automaker meets a series of milestones.

Rivian broke ground on the Georgia site late last year and is starting vertical construction. The site sits outside Atlanta. Rivian expects to start making vehicles there by the end of 2028. Until then, the company will build R2 SUVs at its factory in Normal, Illinois. Rivian recently began production of the R2 at Normal despite damage to the plant from a tornado. The company said it has made initial deliveries to employees and that customer deliveries are expected in the weeks ahead.

Mastheads

Rivian said the larger initial capacity will help lower its per unit costs. Lower per unit costs typically matter for automakers because they can improve margins on each vehicle sold. The extra output could also absorb fixed costs across more vehicles as the plant moves into later phases. Those dynamics matter while Rivian ramps its new model and scales production beyond the Normal plant.

Rivian gets a smaller, sooner loan and a larger initial production plan. Uber secures a production pipeline for its autonomous fleet and a staged investment schedule. The DOE retains a role as lender for a scaled project but at a reduced loan size.

Auto manufacturing typically rewards scale because fixed costs spread over more units. A jump from 200,000 to 300,000 cars in the initial phase is a clear move toward that scale. Rivian's plan keeps production at Normal while the Georgia plant is built, so it can ship R2s sooner.

Drawing the DOE loan in early 2027 shifts the timing of when federal funds flow to the project. That may speed work on vertical construction while Rivian continues R2 production at Normal. Uber's $300 million initial payment is due to close in the second quarter and provides immediate capital under that partnership.

Allocating factory output for robotaxis ties a portion of volume to Uber's commitments. That creates a predictable demand stream for at least 10,000 vehicles initially. A steady order helps when scaling a new model and a new plant. Rivian will still carry the risk of bringing up larger capacity while also running production at Normal.

Investors are likely to track execution on several fronts. They will watch whether Rivian hits its timeline to start Georgia production by end-2028. They will also follow the arrival of the DOE funds in early 2027 and Uber's scheduled payments. Rivian's first-quarter 2026 revenue and vehicle sales provide a baseline for comparison.

The Uber agreement links product demand to staged capital injections through 2031 if milestones are met. That structure spreads some financial risk across a partner rather than leaving all demand and capital with Rivian. At the same time, Rivian must coordinate plant buildout, loan draws and robotaxi production to meet its schedules.

Vertical construction has begun at the site outside Atlanta. Rivian is keeping R2 production at Normal as it builds the Georgia plant.

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Rivian said it will start drawing on the DOE loan in early 2027.

This article was created with AI assistance.