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Rivian is not in the Chinese market, but it is still paying attention to EVS abroad.
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CEO RJ Scaringe told BI that the company took apart the Xiaomi SU7 to study its internals.
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The CEO said the SU7 is “well done,” but there’s nothing new to learn from it.
Rivian doesn’t have a foothold in the ultra-powerful EV market, where companies like Byd and Xiaomi dominate.
That’s not to say the California-based EV maker isn’t paying much attention to the world abroad.
In an interview with Business Insider, the CEO of Rivia RJ Scaringe said that the company has pulled down the Xiaomi Su7, the most popular EV sedan in China, as part of the general practice of cars in the market.
SU7 is a Chinese Juggernaut success story. It was launched at the beginning of 2024 with an initial price tag of $ 30,000 and helped Xiaomi beat the expectations of November in the same year.
The car was praised by Ford CEO Jim Farley. Business Insider previously reported that the SU7 has been brought into operation. After Rivian looked, Scaringe agreed.
“I would say it’s a very well-integrated technology platform,” Scaringe said, referring to what the company is developing for The Tech Stack in-house. “Well done.”
The CEO said the SU7 would be one of the cars he would consider buying if he lived in China – of course, since Rivian wasn’t there.
However, Scaringe said there is no secret sauce inside the car that makes the SU7 cheap and a runaway success in the country.
“Costs – We understood how they got there,” Scaringe said, adding that “we didn’t learn anything from the show.”
The CEO points to macroeconomic factors such as low labor costs and the Chinese government’s support for EVS.
“The cost of capital is zero or negative, which means that it is paid to put the plants,” said Scaringe, the Chinese companies. “It’s a very different opportunity.”
Scassinge added that, while the US provided the loan, the idea of a manufacturing plant that was supported by government subsidies “is not something that exists in the US.”
The Department of Energy announced in January a $6.6 billion loan to support Rivian’s new manufacturing plant in Georgia.
The combination of constraints controlled by constraints, low labor costs, and more government subsidies that allow China to produce low-cost electric cars, Travis Fisher, director of environmental policy and environmental policy at Cato Insider.
