Rivian halts production of Amazon vans amid parts shortage

Rivian has temporarily suspended production of its commercial delivery vans used by retail giant Amazon.com due to a shortage of parts, a spokesperson for the electric vehicle manufacturer said on Friday. Shares of the Irvine, California-based company were down marginally in early trading.

The production halt is the latest in a series of supply chain challenges for Rivian, which, like other EV makers, has grappled with significant production issues over the past two years due to supplier shortages.

“A part shortage has temporarily impacted our Electric Delivery Van (EDV) production. We expect to recover all missed production,” the spokesperson said in an emailed statement.

The company did not disclose any information about the specific part and supplier in question and also declined to comment on when the production stoppage began and if it has resumed.

Rivian produces all its vehicles at its factory in Normal, Illinois, with a second assembly plant planned in Georgia. The part shortage would not affect the production of other Rivian vehicles, including its R1S SUV and R1T pickup models.

Amazon did not immediately respond to a Reuters request for comment.

Amazon, Rivian’s largest investor with a 16% stake, has ordered 100,000 electric delivery vans to be deployed by 2030. Last year, sales to Amazon represented approximately 19% of Rivian’s revenue.

Earlier this month, Rivian had maintained its production forecast and said that deliveries would be slightly lower in the current quarter after it shut down its factory in April for retooling and modifications.