Rivian Automotive CEO RJ Scaringe and the thousands of workers at the automaker's Normal, Ill., factory are proud of the former Mitsubishi Motors plant that is now making the highly acclaimed R1T pickup, R1S SUV and electric delivery vans for Amazon.
But there's disappointment as well.
The assembly plant, with an annual capacity of 150,000 units a year, is running well behind its production goal of turning out 25,000 vehicles this year. In the first half of 2022, the facility made just 6,954 vehicles, mostly R1T pickups, because of supply-chain issues and growing pains.
Rivian is now hoping to take advantage of improved parts availability to fill the gap between its first-half results and its 2022 target, which it reiterated in its second-quarter earnings report on Thursday.
"There was a lot of the second quarter where we weren't able to fully utilize our [production] line," Scaringe said on the earnings call. At times, he said, "we weren't able to even run a full single shift because of component supply."
To turn the situation around, the plant will add a second shift later this quarter to further accelerate production in the final stretch of the year, the company said.
Its second-quarter output of 4,401 was already a big jump over the 2,553 vehicles in the first quarter.
"While we continue to manage supply-chain constraints, we are encouraged by the progress we are making," Scaringe said.