Rivian Stockpiled EV Batteries From Asia Ahead of Trump Tariffs

Rivian vehicles at a service center in New York. Photo by Yuki Iwamura /Photographer: Yuki Iwamura/Bloom

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(Bloomberg) — Rivian Automotive Inc. quietly built a reserve of electric-vehicle batteries from Asia ahead of President Donald Trump’s tariffs, giving the company a measure of insurance against the upheaval in trade policy now pressuring the automotive supply chain.

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The EV maker directly acquired a supply of lithium iron phosphate cells from China’s Gotion High-Tech Co. late last year, ahead of the US election, according to people familiar with the matter. 

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More recently, the company worked with cell supplier Samsung SDI to move a large amount of battery inventory to the US from South Korea, said the people, asking not to be identified discussing the strategy. The moves were aimed at ensuring continuity of supply and easing potential complications and costs from tariffs.

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A representative for Rivian declined to comment. Samsung SDI and Gotion didn’t respond to requests for comment outside regular business hours in Asia.

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The maneuvers offer insight into how some EV makers have responded to Trump’s rhetoric around restoring US manufacturing and reducing reliance on other countries. 

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Auto manufacturers have been walking a fine line with the administration, seeking concessions that would maintain some semblance of stability in the industry without drawing Trump’s wrath. There’s also concern that trade disputes will hold up key parts moving across borders, causing delays for manufacturing.

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Trump signed directives on Tuesday easing the impact of his auto tariffs, exempting imported automobiles from separate tariffs on aluminum and steel. But many tariffs remain in place, threatening to drive up costs for carmakers and consumers alike. The EV industry is heavily dependent on China and Korea for batteries.

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Rivian Chief Executive Officer RJ Scaringe told Bloomberg Television earlier this month that the company was “spending a lot of time interpreting and understanding” the implications of tariffs. The ultimate policy guidelines will “have a big impact on some of the decisions we make over the next year.”

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The battery cells that Rivian bought from Gotion largely go in its commercial last mile delivery van, which is used primarily by Amazon.com Inc. Rivian covered the costs of the shipment up front, said the people familiar with the matter, holding the inventory for later use. Meanwhile, Gotion agreed to pay for and maintain its own separate stockpile in the US.