Rivian Recalls 12,000 Vehicles for Loose Steering Assembly

The EV maker issued the recall for nearly all the vehicles it has produced.

October 11, 2022

ALEXANDRIA, Va.—Electric-vehicle maker Rivian Automotive LLC is recalling almost all of its vehicles because of a possible issue with a loose steering assembly, reports Reuters.

More than 12,000 vehicles are being recalled, which is nearly all the vehicles it has produced, to make sure a fastener connecting the front upper control arm and steering knuckle are secure, as the company said they may not have been "sufficiently torqued" in some vehicles.

"In rare circumstances, the nut could loosen fully," Rivian Chief Executive RJ Scaringe said in a letter to customers urging them to take caution if they experience any issues.

There were seven issues of the loose steering assembly, and no injuries have been reported. Rivian will fix the issue by checking he fasteners and tighten them if needed at its service centers. Rivian has notified affected customers and plans to complete the repairs within 30 days.

The recall was announced on Friday, and not surprisingly, shares of Rivian fell sharply on Monday, reports CNBC. The company’s stock was down more than 10% at points during the day and ended the session down about 7%. Overall, Rivian shares have fallen 70% since the beginning of the year.

Included in the recall is every Rivian R1T pickup and R1S SUV made through late September. Some of the EDV delivery vans that were produced for Amazon were also included in the recall. Rivian has produced 15,300 vehicles since it started production in the fall of 2021, and the company had a goal to produce 25,000 vehicles by the end of the year.

According to CNBC, investors are concerned over the number of vehicles involved in Rivian’s recall, as well as the potential consequences if a fastener works itself completely loose.

Wedbush analyst Dan Ives, who follows Rivian closely, said in a Monday morning note that while auto recalls are routine and this one isn’t likely to be expensive, Rivian is “under a bright spotlight” and further quality or production issues could hurt the company’s standing with investors.

Consumers can check for vehicle recalls anytime via the National Highway Traffic Safety Administration’s Safety Issues & Recalls webpage.