Rivian just hit a key milestone with Volkswagen in a transaction set to bring $1 billion to the EV startup from a share sale. The money comes after Rivian logged its second-ever gross profit in Q1 2025.
Rivian delivered 10,661 EVs in Q2 2025, down 23% from last year, and only a small boost over a rough Q1 haul of 8,640 vehicles. The company already cut its 2025 sales forecast amid cost pressures from tariffs and trade wars.
Rivian bets on delivering between 40,000 and 46,000 EVs this year. Even the top target would mean fewer sales than either of the last two years. That’s risky for a company burning billions and counting on the 2026 launch of the cheaper R2 SUV. 
The Volkswagen cash is tied to a $5.8 billion tech joint venture the two automakers announced this year. Rivian shares software and electrical architecture with VW, which plans to use it for future EVs. Volkswagen handed over its first $1 billion last year via a convertible note.
Rivian achieved gross profits partly thanks to streamlining designs of its R1S SUV and R1T pickup. The newer versions hit roads last year, cutting build costs, though losses mount overall.
Adding pressure: A new Senate bill now in the House would end the $7,500 federal EV tax credit by September. That could hit sales across the EV market, including Rivian.
This update keeps the spotlight on Rivian’s tightrope walk between growth and cost challenges in a shifting political and market landscape.
