Rivian Automotive (NASDAQ:RIVN) began customer deliveries of the highly anticipated R2 SUV on Tuesday. Rivian's CEO RJ Scaringe hopes the new vehicle helps end one of the narratives surrounding the U.S. electric vehicle market.
Are Americans Anti-EV?
For several years, Scaringe has argued that the United States needs more electric vehicles priced under the $50,000 sweet spot to better compete with China.
Scaringe was asked about the U.S. falling behind Europe and China for electric vehicle market share at a media event in early June, as reported by InsideEVs.
"There are sort of two sides, the way you can present what's causing this. So on, as you say, is that customers don't want EVs. I view that as a fairly lazy explanation for what's happening," Scaringe said.
Scaringe said that with two electric vehicles making up 50% of the EV market in the U.S., there could be more explanations.
"I think it's much more the fact that there are very few great choices. And I use the descriptor ‘great' importantly there. I think that's not to say there are no EV choices, but to say that they are great, or highly compelling to the extent that you would move out of an ICE vehicle and move out of a hybrid vehicle, there's just a vacuum of choice."
Scaringe highlights the Model 3 and Model Y from Tesla Inc (NASDAQ:TSLA) as the vehicles that are dominating the U.S. market.
"That's not a reflection of a healthy or well-served market. It's a reflection of a wildly underserved market."
The United States had market share of around 8% for electric vehicles in 2025, compared to 19% in Europe and around 33% in China, according to data shared by InsideEVs.
R2 Launch is Rivian's Catalyst
The R2 deliveries for the Performance model began this week for a vehicle with a starting price of $57,990. That price is cheaper than the $58,880 starting price for the comparative Model Y version.
Rivian also has the Premium model and standard model coming in late 2026 and 2027 with starting price points of $53,990 and $48,490 respectively.
“With the launch of R2, we are excited to dramatically expand our market opportunity and have more people driving Rivians,” Scaringe previously said.
The CEO noted that the R2 offers "the magic of what is a Rivian at that higher price and puts it into a slightly smaller package." With a lower starting price, Scaringe hopes to increase Rivian's potential customer base "dramatically."
Rivian is guiding for 62,000 to 67,000 vehicle deliveries in 2026.
The company is working to increase its production, with a goal of 300,000 units annually by 2028.
Rivian Stock Price Action
Rivian stock is down 1.4% to $15.50 on Wednesday versus a 52-week trading range of $11.57 to $22.69. Rivian stock is down 20.1% year-to-date in 2026.
Photo courtesy: Thrive Studios ID / Shutterstock.com
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