Why Is The Rivian SUV So Much More Expensive Than Its Competitors?

Compared to the more economically focused $30,000 Equinox EV that Chevy announced earlier this week, the Rivian R1S might as well be priced like a Lamborghini. The 2023 Ford Mustang Mach E starts at 46,895. That’s still several thousand less than the base model Rivian.  

In March of this year, Rivian faced immense backlash over price hikes for people already preordered its vehicles. When customers started canceling preorders, Rivian eventually relented and rolled back the price hikes for people who already ordered. New customers, however, were out of luck. 

Jiten Behl, the brand’s Chief Growth Officer said: “Like most manufacturers, Rivian is being confronted with inflationary pressure, increasing component costs, and unprecedented supply chain shortages and delays for parts (including semiconductor chips.” Those factors can certainly increase the cost of a vehicle, even at the expense of customer loyalty.

When it comes to on-paper specs, the Rivian R1S’s high price tag makes some sense, especially when it’s kitted out to have four motors. But compared to other EVs from more established brands, the Rivian might be a hard sell.