Mercedes-Benz Vans, Rivian Move to Partner on Electric Van Production
Bennett Oghifo
Mercedes-Benz Vans, full range provider of electric private and commercial vans, and electric vehicle manufacturer Rivian, have today announced the signing of a Memorandum of Understanding to initiate a strategic partnership. The partnership will enable the companies to cooperate on the production of electric vans.
Rivian exists to create products and services that help our planet transition to carbon neutral energy and transportation. Rivian designs, develops, and manufactures category-defining electric vehicles and accessories and sells them directly to customers in the consumer and commercial markets. Rivian complements its vehicles with a full suite of proprietary, value-added services that address the entire lifecycle of the vehicle and deepen its customer relationships.
Subject to the parties entering into final binding agreements and to obtaining the relevant regulatory clearances, the companies intend to establish a new joint venture manufacturing company with the purpose of investing in, and operating, a factory in Europe to produce large electric vans for both Mercedes-Benz Vans and Rivian, starting in a few years. The target is to build an all-new electric-only production facility leveraging an existing Mercedes-Benz site in Central/Eastern Europe.
The companies envisage production-optimised vehicle designs for efficient manufacturing on common assembly lines. They will aim to produce two large vans, one based on VAN.EA (MB Vans Electric Architecture), the electric-only platform of Mercedes-Benz Vans, and the other based on the second generation electric-van, Rivian Light Van (RLV) platform. Further options for increased synergies from the joint venture will also be explored.
The joint venture mirrors the common objectives of Mercedes-Benz Vans and Rivian: both companies plan to rapidly scale the production of electric vans to help the world transition to cleaner transportation. By working together, they will be able to leverage operations synergies and substantially increase cost efficiency to help make the vans more affordable for commercial customers driven by total cost of ownership.
RJ Scaringe, Chief Executive Officer of Rivian: “Rivian was created to encourage the world to transition away from fossil fuel consumption by creating compelling products and services. We’re delighted to be partnering with Mercedes-Benz on this project. Mercedes-Benz is one of the world’s best known and respected automotive companies, and we believe that together we will produce truly remarkable electric vans which will not only benefit our customers, but the planet.”
Mathias Geisen, Head of Mercedes-Benz Vans: “As a pioneer in the field of locally emission-free transportation Mercedes-Benz Vans has gained broad experience in producing and launching eVans since 2010. Now we are accelerating the transformation to a fully electric product portfolio. From 2025 onwards, all vans based on our new architecture VAN.EA will be electric-only. I am delighted that as part of this transformation we are now joining forces with Rivian – a highly dynamic and inspiring partner with a strong technology position. We are sharing investments and technology because we also share the same strategic ambition: accelerating the electrification of the van market with sustainable and superior products for our customers.”
Electric vans portfolio of Mercedes-Benz: Mercedes-Benz Vans has firmly anchored its leadership aspiration for electric mobility in its strategy. With Vito E-CELL in 2010, Mercedes-Benz Vans was a pioneer in the field of locally emission-free transporters. Today, customers can choose from four battery-electric driven vans: the eVito Panel Van, the eSprinter, the eVito Tourer and the EQV. With the new eCitan and the upcoming EQT the van portfolio will soon be completely electrified. The next generation eSprinter will be launched in 2023.
From the middle of the decade, Mercedes-Benz Vans implements the next stage in its electrification strategy with VAN.EA (MB Vans Electric Architecture). Starting in 2025, all mid-size and large vans based on the new modular architecture will be electric-only.
Rivian: Rivian is building a brand and product portfolio with the objective of maximizing impact in the shift to carbon- neutral transportation. The R1T, R1S, and Electric Delivery Van (“EDV”) last-mile delivery vans are Rivian’s first vehicles in the consumer and commercial space. The R1T and R1S are flagship products for Rivian, uniquely combining performance, utility, and efficiency.
