Own products but with common assembly
Private and commercial electric provider Mercedes-Benz Vans and electric vehicle manufacturer Rivian today announced the signing of a memorandum of understanding to launch a strategic partnership. The agreement will allow the two companies to collaborate on the production of electric vans.
After reaching a final binding agreement and obtaining the relevant regulatory approvals, the two parties intend to form a new company to establish factories in Europe to produce large electric vans for Mercedes-Benz and Rivian vans. the next years. The objective is use existing Mercedes-Benz plants in Central and Eastern Europe to build a new factory dedicated to the production of electric vans.
The two companies expect each brand to have specifically designed vehicles, but in one common assembly line.
R.J. Scaringe, CEO of Rivian:
“Rivian was created to encourage the world to move away from the consumption of fossil fuels by offering attractive products and services. We are delighted to partner with Mercedes-Benz on this project. Mercedes-Benz is one of the world’s best-known and most respected automotive companies, and we believe that together we will produce truly remarkable electric vans that will not only benefit our customers, but also the planet.”
The objective is produce two full size vans, one based on the new all-electric VAN.EA (MB Vans Electric Architecture) platform for Mercedes-Benz vans, and the other based on the second-generation electric van, the Rivian Light. Van (RLV). Other options to increase the synergies of the joint venture will continue to be explored.
The agreement reflects the shared goals of Mercedes-Benz Vans and Rivian: both companies plan to rapidly ramp up electric pickup production to help the world transition towards a cleaner and more efficient form of transport. By working together, they will be able to take advantage of operational synergies and significantly improve profitability, helping to make electric vans more affordable by lowering the total cost of ownership (TCO) of the vehicle.
The two companies hope that each brand will have specifically designed vehicles, but on a common assembly line.
Mathias Geisen, Director of Mercedes-Benz Vans:
“As a pioneer in the field of emission-free transportation, Mercedes-Benz Vans has gained extensive experience in the production and launch of electric vans since 2010. We are now accelerating the transformation towards a 100% electric product offering. Starting in 2025, all vans based on our new VAN.EA architecture will be electric. I am delighted that, as part of this transformation, we are now joining forces with Rivian, a highly dynamic and inspiring partner with a strong technology position. We share investments and technology because we also share the same strategic ambition: to accelerate the electrification of the van market with superior and sustainable products for our customers.”