Rivian has secured a major boost to its future manufacturing plans with a conditional commitment from the U.S. Department of Energy (DOE) for a $6.6 billion loan. This funding, part of the DOE’s Advanced Technology Vehicles Manufacturing (ATVM) program, will support Rivian’s new electric vehicle factory in Stanton Springs North, Georgia. The loan, which includes $6 billion in principal and $600 million in capitalized interest, is expected to help Rivian ramp up production of its more affordable midsize vehicles, the R2 and R3 SUVs, starting in 2028.

This factory is set to be built in two phases, with a target annual production of 400,000 vehicles by its completion. In total, the project is expected to create around 7,500 jobs by 2030, including 2,000 positions for the facility’s construction. The site’s location near Atlanta will leverage the region’s existing logistics infrastructure and skilled workforce.

The news comes at a critical time for Rivian, which has faced financial struggles in recent years, including significant losses and production delays. This loan not only strengthens its cash position but also positions Rivian to better compete in the growing electric vehicle market, particularly as it targets more price-conscious consumers.

However, the loan’s finalization remains subject to several conditions, including technical, legal, and environmental reviews. If completed, this could mark a pivotal moment in Rivian’s path to becoming a major player in the EV industry.