Rivian recently reaffirmed its Electric Vehicle (EV) production goal to 25,000 by end of 2022, as reported by The Verge. The reaffirmation shows signs the company is rising above its challenges and brought in a positive production report. 

The automaker plans to build a $5-billion factory in Georgia, which was backed by Georgia's state government by providing $1.5 billion in tax incentives. In fact, Georgia officials called the project the "largest economic development deal in the state's history." 

However, last week, Ocmulgee Superior Courts Chief Judge Brenda Holbert Trammell ruled that the economic development authority of the state failed to justify the use of taxpayer-funded money to subsidize the project. 

Plans Now in Jeopardy

According to judge Tramell, the company failed to provide that the factory is "sound, reasonable, and feasible," which is required under the state law. 

There is also a group of locals who oppose the plan that the factory mustn't be exempt from local property taxes, and the judge agrees. 

Under the terms, Rivian would have paid $300 million to local governments and school systems over the period of 25 years, instead of paying regular property taxes. The opponents said that Rivian was not one that could be afforded such incentives and must be subject to regular property taxes. 

Additionally, opponents are concerned about the traffic, environmental damage, and more. 

This came as a surprise since it was only a normal routine to validate a bond agreement. Additionally, the automaker's plans to build the Georgia factory has been met by mixed reactions-with rallies, conspiracy theories, and threats against local officials. 

So far, Rivian is exploring its legal options to address the most recent judge ruling. 

Also Read: Rivian to Reorganize its Production for Faster Output, But Some Users Will Have to Wait Longer

The Deal

The deal is a focal point in the state as a number of political races in this year's midterms could determine the party that will control Congress. For example, Governor Brian Kemp of Georgia has already made the Rivian deal a key point in his reelection campaign this year. 

The factory is seen as an important part of the company's plans to become a major player in the industry during the shift toward electrification. It also calls for Rivian to use the land for free until 2047.

The Project

The construction of the Rivian five-billion battery and assembly plant has begun. Ever since its announcement last year, it aims to employ 7,500 workers and could grow to as many as 10,000 workers. Thus, this will make the factor one of the biggest auto assembly complexes in the US. Additionally, it will be the largest industrial announcement in Georgia history.  

Related Article: Rivian Says Amazon Electric Van Deliveries Reaches 430,000

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Written by April Fowell