Late last week, the Illinois Department of Commerce & Economic Opportunity (DCEO) offered Rivian Automotive, Inc. an $827 million Reimagining Energy and Vehicles in Illinois (REV Illinois) incentive package for an expansion of its plant in Normal, IL. The incentives will help fund the $1.5 billion plant expansion, improvements in public infrastructure, and job training programs for Rivian’s workforce. The investment, which will create more than 550 full-time jobs within the next five years, will enable the company to produce its R2 midsized SUV at its Normal facility.
“We are grateful for this investment from the State of Illinois and for the leadership of Governor Pritzker, President Harmon, and Speaker Welch,” said Rivian Founder and CEO RJ Scaringe. “The support from the state will allow us to quickly bring our midsize SUV, R2, to market and provide even greater consumer choice for EVs. Governor Pritzker has always been a strong advocate for providing economic opportunities for Illinois residents and business owners alike. We look forward to continuing our close partnership and building upon the success we have enjoyed.”
Illinois Governor JB Pritzker announces Rivian’s $1.5 billion investment in its Normal facility, which will create more than 550 jobs within the next five years. (Photo: Governor JB Pritzker/Facebook)
The majority of Rivian’s total 30-year incentive package is derived from REV tax credits with a focus on workforce development. Through REV, Rivian is eligible to receive tax benefits totaling nearly $634 million over the next three decades. The REV agreement specifies the retention of at least 6,000 jobs for the entirety of the agreement period.
“The support from the state will allow us to quickly bring our midsize SUV, R2, to market and provide even greater consumer choice for EVs. Governor Pritzker has always been a strong advocate for providing economic opportunities for Illinois residents and business owners alike.”
— Rivian Founder/CEO RJ Scaringe
As part of Illinois’ commitment to build out comprehensive EV hubs and support Illinois’ workforce, the state will also fund a second manufacturing training academy in Normal, co-located at the new facility to create a new dual-credit apprenticeship pilot program for high schools. Additional support includes a grant through the Employer Training Investment Program (ETIP) as well as leveraging the state’s existing workforce networks and programs to train and prepare regional employees for new jobs. Pending an executed agreement, Rivian will also receive Invest in Illinois funding in the amount of $75 million in capital funding to the company.
“Rivian had many options for its R2 production and its decision to expand in Illinois speaks volumes to the state’s workforce and the strong EV ecosystem Illinois is creating,” said DCEO Director Kristin Richards. “Rivian’s expansion cements our partnership and will bolster the state’s already strong supply chain and help attract and retain other industry heavy hitters while creating good-paying clean energy jobs for Illinoisans.”
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Rivian has invested more than $2 billion in Normal. Since production began in 2021, Rivian’s Normal facility has manufactured over 100,000 electric vehicles. The company announced in March that it would produce the R2 in the Normal, IL manufacturing facility. The existing plant in Normal will continue to produce R1S, R1T, and commercial electric delivery vehicles, and updates to the facility will begin in the coming months.
“Illinois is positioned to be a powerhouse in this market for years to come, bringing quality jobs and revitalizing communities across the state,” said Governor JB Pritzker. “I want to thank our partners at Rivian, who have doubled down on their investment in Illinois. Together, we’re taking a tremendous step forward – for our electric vehicle ecosystem, for our economy, and for our state. Each and every dollar invested in this market is a win for the working people of Illinois and brings us a step closer to meeting our ambitious climate goals.”
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