Dive Brief:

• The Department of Energy announced last week that it has closed a $6.57 billion loan to electric vehicle manufacturer Rivian for an electric vehicle plant that previously had been put on pause.
• The loan will support the construction of the 9 million-square-foot manufacturing facility near the city of Social Circle, Georgia, near Atlanta. The project anticipates will create 2,000 full-time jobs through construction, according to the announcement.
• Rising costs caused the firm to pause construction of the plant in the spring of 2024. The EV manufacturer — which selected Chicago-based Clayco as the general contractor — said at the time it remained committed to the project.

Dive Insight:

When work first paused, Irvine, California-based Rivian said Clayco would maintain a “presence” at the jobsite and that the company would continue performing limited site development activities.

Rivian anticipates that construction will begin in 2026 with production of the company’s R2 SUVs and R3 crossover vehicles starting in 2028.

The firm said it has already begun hiring for construction and management roles, with multiple open positions statewide, and it anticipates ramping up recruitment.

The loan — which includes $5.975 billion of principal and $592 million of capitalized interest — will be split across two phases of the Georgia facility. 

The loan is conditional, and exemplary of former President Joe Biden’s agenda to invest in projects related to renewable energy. But with the new administration, things could change.

President Donald Trump made moves on his first day in office limiting the adoption of some kinds of renewable energy and related products, including electric vehicles. That could slow or dampen construction of these types of projects. 

Trump also ordered agencies to pause disbursement of Infrastructure Investment and Jobs Act and Inflation Reduction Act funds for EV charging stations.