Magna Steyr CEO comes to save Rivian

There have been no reports of reactions in the American start-up revival media. The R1T Electric Pick-up was recently launched and has had a strong impact on business magazines in the United States and beyond. The only problem, at least, is that production does not follow. Due to large supply problems and an assembly line of urgent need for modernization, Rivian’s vehicle production is largely inadequate, resulting in significant financial losses. To fix this, Rivian has appointed the CEO of Austrian expert Magna Stearns to fix the problems in his factory.

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Supply issues

Now that Rivian has three models in its range (R1T pickup truck, its SUV counterpart R1S, on the one hand, and Amazon electric van on the other), the company is facing great difficulties in achieving adequate production rates. Achieve the target of 25,000 vehicles per year.

The American brand Frank Klein has been hired to solve these problems, meet the needs of its own customers and guarantee the deliveries provided in the contract with Amazon. Daimler. He will be replaced by Gunder Upalter, president of Magna Europe and Asia, as head of the Austrian producer.

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In order to address the semiconductor shortage and to rationalize the production facility of Rivian which is less than the operational targets, Mr. Klein will be in charge. At Magna Steer, Frank Klein oversaw the production of the Jaguar i-Pace and began production of the Fisker Ocean, two electric crossovers / SUVs.

Dedication

For Rivian, having a decent production capacity – the brand has only produced 900 vehicles since September 2021 – is crucial. Not only is it able to deliver to customers who have already placed an order, it also reduces the accumulated losses and puts pressure on the start-up’s financial decisions. In November 2021, the rive was worth $ 147 billion (EUR 133.65 billion), more than the Volkswagen Group at the time, valued at USD 138.5 billion (EUR 121.82 billion).