President Donald Trump has moved to revoke tax incentives for electric vehicle (EV) purchases under the Biden administration’s Inflation Reduction Act, which included a $7,500 credit.
Rivian CEO RJ Scaringe explained that while the EV industry faces uncertainty in the next few years, removing this credit won’t fundamentally change its trajectory. He emphasized that the EV market is still poised for growth and that companies like his aren’t reliant on temporary subsidies.
Scaringe also highlighted that President Trump’s move could present an opportunity for Rivian to expand its product lineup with lower-priced vehicles. The company recently announced its R2 SUV, set to start at $45,000, with production expected to begin in 2026.
Notably, the CEO dismissed claims that smaller EV companies’ stock prices have dropped significantly following the tax change, stating that drops were modest. He also stressed that EVs are a hot-button political issue, with both administrations pushing for electric vehicle adoption as part of broader climate goals.
Scaringe argued that his company isn’t designed to depend on government incentives and that these subsidies won’t last forever. He encouraged consumers to focus on the quality and desirability of their EVs rather than purely on sustainability claims.
Source: https://www.businessinsider.com/rivian-ceo-rj-scaringe-donald-trump-ev-incentives-biden-ira-2025-1