Rivian’s Deliveries Fell in 2025—Now Its Next EV Has to Succeed

A Promising Start Meets a Tougher Market

When the Rivian R1T arrived on the scene in 2021, the California-based EV maker appeared poised to continually raise the bar for the future of electric vehicles. However, like many EV brands, Rivian was hit hard by a sudden market shift – an impact that has since been reflected in its 2025 delivery figures.

Rivian, which currently sells EVs only in North America, said on Friday that it delivered 42,247 vehicles last year, representing an 18% decline from its record 51,579 deliveries in 2024. The company also reported 9,745 deliveries in the fourth quarter, roughly 3,500 fewer than in Q3. While the decline may appear concerning at first glance, it was largely expected following the loss of federal EV tax credits last September.

Rivian’s Next Move

With EV models becoming increasingly expensive, Rivian appears to need its upcoming R2 to regain momentum and broaden its appeal. The R2 is a mid-size electric crossover positioned to rival the Tesla Model Y, with its deliveries expected in the first half of this year. The model represents one of several attempts by automakers to address growing demand for relatively affordable EVs, alongside forthcoming offerings such as the Slate Truck.

Pricing will be a critical factor in the R2’s success. The model is expected to start at around $45,000, placing it squarely in the same price range as a Tesla Model Y Premium RWD.

At present, Rivian sells just two passenger EVs: the R1T and the R1S. The all-electric R1T pickup starts at $72,990, while its range-topping Quad variant – priced from $115,990 – offers an EPA-rated range of 374 miles and a quad-motor powertrain producing 1,025 horsepower. The R1S SUV, which competes with EVs such as the Tesla Model X and Hyundai Ioniq 9, carries a small price increase over the pickup, with base pricing starting at $76,990.

The Rules Have Changed

Looking ahead, Rivian – along with other EV-focused brands – will be competing in a market without the incentives that once made widespread EV adoption seem inevitable. Several automakers have already begun rolling back their all-electric strategies. At the same time, combustion-powered models appear to be regaining traction, highlighted by the return of vehicles such as the Ram 1500 TRX, which now delivers 777 horsepower from its supercharged 6.2-liter Hemi V8.

While the impact of the shifting market on EV-focused brands remains unclear, Rivian said it will release its Q4 earnings report next month.

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