According to the Wall Street Journal, electric car startup Rivian announced that in order to save cash, the company has suspended negotiations with Mercedes-Benz to produce electric vans in Europe.
Rivian and Mercedes-Benz said in September this year that the two parties are negotiating to establish a joint venture at a Mercedes-Benz factory in Poland. The plant would have produced commercial vans for the two automakers.
Still, Rivian executives have been wary of overextending the business due to tight capital markets and concerns about the economy.
Rivian said in a statement on Monday that it had discontinued joint venture talks with Mercedes-Benz after reassessing growth opportunities and choosing to focus on projects expected to yield the best return on investment.
Data show that Rivian produced 7,363 vehicles in the third quarter of 2022, a year-on-year increase of 67%, and delivered 6,584 vehicles. As of September 30, the company had produced more than 15,000 vehicles.
