Rivian, Mercedes pause joint European electric van plant

Electric vehicle maker Rivian is setting aside its planned partnership with Mercedes-Benz to produce electric vans in Europe so that it can focus on its existing commercial and consumer business.

California-based Rivian said Monday it was putting on “pause” the memorandum of understanding that was signed between the American and German companies in September. That agreement called for a joint-venture European factory that would produce vans for both companies.

“We share the same goal as Mercedes-Benz Vans, to help the world transition to electric vehicles, and we look forward to exploring opportunities with them at a more appropriate time for Rivian,” CEO RJ Scaringe said.

The companies had been looking to produce two large vans, one based on VAN.EA, the electric-only platform of Mercedes-Benz Vans, and the other based on the second-generation electric van, Rivian Light Van platform.