Electric vehicle maker Rivian (RIVN) is back with a new round of layoffs. The automobile manufacturer is currently preparing to reduce its headcount by 600 employees — about 4% of its workforce, according to The Wall Street Journal, which spoke with insider sources.
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Earlier in September, Rivian cut its workforce by less than 1.5% as part of efforts to bring down its cost base as it works to launch the R2 SUV, a more affordable sport utility vehicle, in early 2026.
Carmakers Brace for EV Sales Plunge
The latest job cut comes as carmakers have been bracing for an EV sales plunge following the expiration of a $7,500 tax credit the U.S. government provided to encourage the adoption of electric vehicles. Legacy automaker General Motors (GM) has already booked a $1.6 billion write-down as a result.
The Trump administration is also working to repeal vehicle emission rules while relaxing standards that punish automobile manufacturers for failing to meet federal fuel economy standards. Already, Rivian, which is expected to report its Q3 2025 earnings results in early November, has said it expects a potential revenue loss of about $100 million due to the development.
Global Push Back on EVs Takes Shape
The impact is already palpable elsewhere. Rival EV maker Tesla (TSLA), which released its Q3 2025 results on Wednesday, saw its operating profits tumble by about 40%, in part due to a 44% plunge in carbon credit revenue.
Beyond the U.S., a pullback on the push for EV adoption is already taking root worldwide. This is despite the record 2.1 million EVs sold globally in September, with China leading the pack.
Is RIVN a Buy or Sell?
Turning to Wall Street, Rivian’s shares currently have a Hold rating, according to TipRanks. This is based on seven Buys, 11 Holds, and five Sells issued by 23 Wall Street analysts over the past three months.
Moreover, the average RIVN price target of $13.68 indicates about 5% upswing from the current level.
