According to Reuters, Rivian disclosed that it would have to increase the base price of the R1T from $67,500 to approximately $79,500, which would represent a 17% climb. The R1S’s starting price tag would rise from $70,000 to $84,500, or around 20% more. The problem is that the electric SUV’s actual price is $72,500 on Rivian’s website. If the percentage is still correct, the R1S price will end up being $87,000.
To prevent reservation holders from giving up on their orders, Rivian promised it would create a new version of its electric pickup truck and the electric SUV. In 2024, they will have two motors instead of four and a smaller battery pack. Notice that the role raw materials play in this price hike is pretty evident: fewer motors and batteries are key to reaching a value that was theoretically possible months ago in the current configuration.
Unfortunately for Rivian, that was not enough. Many reservation holders are mad that the company did not honor the price they have agreed to pay and are now asking for their money back. The company demanded a fully refundable $1,000 deposit for these pre-orders.
YIKES!!! @Rivian with another swing and a miss. They now want over $100,000 for the truck I reserved at $85,000 a few months ago (and not honoring locked-in prices as Tesla does). Honestly, this is cancellation worthy. An extra $15K is INSANE. pic.twitter.com/TEXXz4VMRM— Quinn Nelson (@SnazzyQ) March 1, 2022
I'm shocked at @Rivian's decision to raise prices on new *and* existing reservations today anywhere from 15-20%. My R1T reservation went up around $15k.— ???????? Kyle Field ???????? (@mrkylefield) March 2, 2022
In related news, I went from being excited about becoming a Rivian owner to no longer being in the order queue. pic.twitter.com/g6c5JB1JyE