NHTSA Probes Rivian R1 Suspension Failure Claims

Matthew Kerr, a Data Analyst at Quiver, shed light on a new federal safety investigation that Rivian Automotive is currently facing. The National Highway Traffic Safety Administration has initiated a probe into approximately 115,000 R1S and R1T electric vehicles manufactured by Rivian Automotive ($RIVN). The investigation was triggered by potential rear toe link failures in these vehicles. According to the regulators, two complaints highlighted circumstances where vehicles swerved across multiple lanes because of the separation of the suspension component while driving. One such incident led to a crash.

NHTSA specified that the preliminary investigation covers around 114,922 Rivian vehicles. The primary focus of the probe would be to examine the durability of the rear toe link joint and the repair procedures provided by Rivian. Despite the complaint, Rivian’s internal investigation revealed that the toe link joints were functioning as they were intended to. It is worth mentioning that almost 20,000 R1 vehicles were recalled by the company in January due to improperly assembled rear toe-link bolts.

Furthermore, Rivian lobbying disclosures indicate that the company has been increasing its expenditure on various issues. These include EV tax credits, battery supply chains, autonomous driving regulation, charging infrastructure, and federal transportation policy since 2021. The latest lobbying filings also mention discussions regarding the implementation of the Inflation Reduction Act, incentives for domestic manufacturing, and vehicle safety regulations.

Implications for Other Companies

The investigation carried out by NHTSA has direct implications for Rivian’s R1S and R1T vehicle platforms. However, it is not just Rivian who may be affected by such safety investigations. Other electric vehicle manufacturers, like Tesla ($TSLA) and Lucid Group ($LCID), could also see an impact. Since such safety investigations have the potential to influence the broader regulatory scrutiny of electric vehicles, they could lead to increased investor attention concerning vehicle safety and recalls in the EV industry.