Rivian Announced Partnership with Amazon for Fleet Electrification
American electric vehicle maker Rivian, which designs and produces electric trucks and SUVs built for off-road, has partnered with Amazon, the global online retailing leader. Rivian’s new agreement focuses on building and delivering more than 100,000 electric delivery vehicles to Amazon by 2027, with the goal of reaching a net zero emission on all Amazon operations by 2040.
Vehicle Electrification Market Size
A new report by Precedence Research the global vehicle electrification market size was valued at USD 128.06 billion in 2024 and is expected to achieve USD 419.55 billion by 2034, growing at a solid CAGR of 12.6% from 2024 to 2034.
This new deal follows the identical use of 10,000 electric vans in 2024 in different areas across North America and Europe, which has been said to be transformational from Amazon’s website delivery fleet notion. The strategic partnership will help electrify about half of Amazon’s worldwide fleet by 2027, turning logistics into a green industry.
The vans are designed for 200 miles on a single charge, making them ideal for city and suburban deliveries that Amazon relies on in its densification strategy. The vans are integrated with some Amazon technologies, including Alexa voice control, Advanced driver assistance systems (ADAS), and mapping/navigation., Charging Infrastructure: Rivian is building out its own network of fast chargers, with 3,500 planned across the USA by 2025, not just for Rivian’s vehicles but for Amazon AMZN electric delivery vehicles.
This partnership has been a transformative milestone for Rivian, allowing the startup to scale production and enter the lucrative commercial electric vehicle market. Rivian’s electric delivery vans, specifically designed for Amazon, are already operational in 20 cities, including major hubs like New York, Los Angeles, and London.
Rivian and Amazon’s Fleet Electrification Timeline
| Year | Number of Electric Vans Deployed | Percentage of Amazon’s Fleet Electrified |
| 2023 | 5,000 | 10% |
| 2024 | 10,000 | 15% |
| 2027 | 100,000 | 50% |
Rivian has invested large capital in an automotive industrial park in Normal, Illinois, reaching capacity for 200,000 vehicles by 2025. This includes the delivery vans for Amazon and Rivian’s first purpose-built consumer vehicles, the R1T pickup truck and R1S SUV. Growing automobile company Rivian depends on battery technology as part of its expansion strategy and is also committed to smart and sustainable production methods like power plants 100% renewable by 2026.
Rivian completed its IPO in October 2021 and garnered more than USD 11.9 billion, which has been used to develop the company’s infrastructure and cars. It is also expecting an R2 series, a smaller all-electric truck and SUV brand for the mid-scale market, by 2025.
According to the International Energy Agency (IEA), the global commercial EV market is projected to grow from 2 million units in 2024 to 5.5 million by 2030. Rivian is expected to capture 12% of the commercial EV market share by 2027. The increasing regulatory push for cleaner vehicles has been spurred on by growing regulatory demands for cleaner vehicles, more so in Europe and the U.S., with cities such as London and Paris agreeing to zero-emission zones by the end of the decade.
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With a Master of Science in Statistics and over two years of expertise in the market research industry, Rushikesh brings a wealth of knowledge to the world of electric vehicle (EV) news. His passion for the automotive sector, combined with his statistical expertise, allows him to analyze trends, consumer behavior, and emerging technologies with precision. Rushikesh’s ability to dive deep into the numbers, yet communicate them in a reader-friendly manner, makes him a key voice in the fast-evolving EV industry.
Having spent his academic and professional career immersed in data-driven analysis, Rushikesh leverages his strong statistical foundation to offer insights that are both thorough and forward-thinking. His keen interest in the automotive industry, especially electric vehicles, positions him uniquely to understand not only the current landscape but also the trajectory of the sector as governments, manufacturers, and consumers increasingly lean towards sustainable transportation.
