Investing News

Rivian Automotive (RIVN) is recalling almost all of its 2022 vehicles because of a problem with a wheel fastener.

Rivan said in a filing with the National Highway Traffic Safety Administration (NHTSA) it was recalling 12,212 RT1 trucks, RS1 SUVs and EDV commercial vans after discovering that the front upper control arm and the steering knuckle retention fastener for each front wheel was was not properly tightened.

The recall involves vehicles made from Dec. 10, 2021 to Sept. 27, 2022. 

The company indicated the problem could cause excessive tilting of the wheel and in rare cases, separation. It explained drivers may “experience excessive noise, vibration, and harshness from the front suspension, and/or a change in steering performance or feel.” Rivian noted it hasn’t received any reports of injuries from the issue, which it added affects about 1% of the vehicles. 

Rivian told the NHTSA owners would be receiving recall notices to get the fasteners fixed by Nov. 24. 

The company plans to set up pop-up service areas with particularly high densities of Rivian owners, and claimed it has the capacity to inspect all the affected vehicles and make any repairs necessary within thirty days at no cost to customers. Rivian also said the costs to the company will not be material.

This marks Rivian’s third recall, according to the National Highway Traffic Safety Administration (NHTSA). The company has previously recalled EVs for airbag and seat belt issues. 

Shares of Rivian tumbled 10% in early trading on Monday and have lost about 70% of their value so far this year. 

Articles You May Like

The 3 Most Undervalued Cloud Stocks to Buy in May 2024
Google AI Predicts These 3 Stocks Can Make You Rich by 2026
Buy The Dip In AMD Stock Before The Chipmaker Skyrockets
Worried About Inflation? 3 Stocks Built to Thrive in a High-Price Environment
3 Top Stock Picks Positioned to Capitalize on Skyrocketing Defense Spending