Rivian CEO RJ Scaringe has confirmed that the upcoming R3 will be priced "materially lower" than the R2, though official pricing has not yet been announced.
In an interview with The New York Times, Scaringe also revealed plans for an even more affordable model called the R4.
The R2, Rivian's mid-size electric SUV, recently began production and customer deliveries, with prices ranging from $45,000 to $57,990.
The smaller R3 was first previewed two and a half years ago alongside the R2 and the rugged R3X.
When it launches, the R3 has the potential to become Rivian's highest-volume seller.
R3 Specifications and Market Positioning
Rivian has previously said the R3 will be offered with two battery pack options and three motor configurations: single, dual, and tri-motor.
The most range-focused version is expected to travel more than 300 miles (483 km) on a single charge.
The quickest variant should accelerate from 0 to 60 mph (96 km/h) in less than 3 seconds.
While the R3 will undercut the R2, it is unlikely to match the $29,990 Nissan Leaf on price.
Industry observers suggest a price between $35,000 and $40,000 could make the R3 a strong contender in the compact electric SUV segment.
Scaringe added that the R4 will push the price point even lower, though further details were not provided.
Scaringe Advocates Tariffs to Protect US Manufacturing
Scaringe also addressed the competitive threat from Chinese electric vehicle makers, telling the NYT that "we should assume that in the fullness of time, China will likely be able to sell here."
He noted that China benefits from significantly lower labor, capital, electricity, and utility costs, enabling Chinese automakers to sell EVs at prices Western brands struggle to match.
To level the playing field, Scaringe said tariffs are an important tool.
Without them, he warned, "we have to be honest that a lot of manufacturing capacity is going to move to China."
Rivian's push into more affordable segments comes as the company seeks to expand its reach beyond the premium R1 lineup.
