Shares of Rivian Automotive, Inc. (NASDAQ: RIVN) soared by 4.45% during Wednesday’s afternoon trading session after a major announcement from Amazon (NASDAQ: AMZN). The e-commerce giant disclosed its plans to deploy Rivian-made electric vans in Europe, igniting investor excitement.
Earlier this week, Amazon confirmed that 300 Rivian vehicles will hit the roads in various German regions, including Munich, Berlin, and Düsseldorf, in the coming weeks. This marks a significant milestone for Rivian, as it marks their first commercial shipments outside of the United States.
The move comes as part of Amazon’s initiative to electrify its transportation fleet, with the company having already ordered 100,000 electric vehicles from Rivian. This substantial commitment exceeds $1 billion, with almost half of the allocated funds earmarked for Germany.
The vans Rivian will supply to Amazon in Europe have been specifically designed to suit the continent’s unique road conditions. They will be thinner and shorter compared to their U.S. counterparts, enabling seamless navigation through European streets.
It is worth noting that Amazon is not only Rivian’s prominent customer but also its largest shareholder. The company initiated the deployment of these vans in various cities across the United States last year. Amazon’s goal is to have an astounding 100,000 Rivian vans operational worldwide by the year 2030.
Peter Williams, a financial writer with over five years of experience, specializes in covering stock market movements, bond markets, commodities, and macroeconomic trends.
