Rivian receives $1,500 billion in tax breaks for its new Georgia plant

Electric vehicle maker Rivian plans to launch a new $5,000 billion plant by 2024. The plant will be built in Georgia, and the company has already received $1,500 billion in tax credits from the state to build it.

Tax breaks have long greased the wheels of the industry, perhaps the best (legitimate) means of inducing a company to do business in a particular location. Do you remember the whole circus that led Tesla to choose Austin for their new factory? Rivian has announced that its new plant, which we already knew would be built in Georgia, will be built with a host of tax breaks in mind.

Georgia offers Rivian part of the resources to build its new plant

We've known about Rivian's plans for a long time to build a massive, single-factory technology marvel for the next generation of vehicles, and we knew the EV startup was looking to spend around $5,000 billion on the venture. We now know that the state of Georgia is offering Rivian $1,500 billion in tax credits to build a plant there. But, as always, there are chains.

Requirements that Rivian must meet

To take advantage of the tax breaks, Rivian needs to do a few more things besides building a plant. He promised to create 7,500 new jobs by 2028, but it can't be just any job. They will have an average salary of $56,000 per year plus benefits.

Rivian will focus on R1T and Amazon vans.

Rivian plans to begin construction of a new plant in Georgia this summer, with the goal of having it up and running and producing Amazon delivery vans by 2024. In addition to prioritizing Amazon's battery-powered vans to reach its 10,000-truck goal, Rivian has reportedly shut down. production at its Normal, Illinois plant in early January to make some upgrades. 

The automaker originally promised to complete 1200 EVs by the end of 2021, but that didn't happen as 1015 were built and 920 delivered by the end of the year.

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