Volkswagen AG has deepened its partnership with Rivian Automotive Inc, investing an additional $800 million in the American electric vehicle (EV) company. The commitment highlights Volkswagen’s support despite a slowdown in EV demand and potential policy shifts under the incoming Trump administration. Together, the companies revealed new leadership for their joint venture, Rivian and VW Group Technology LLC, with co-CEOs Wassym Bensaid, Rivian’s Chief Software Officer, and Carsten Helbing, VW’s Chief Technology Officer, set to lead a team of around 1,000 engineers. This collaboration may help VW access Rivian’s advanced software technology, a strategic area where it has previously faced challenges.

In June, VW announced plans to invest up to $5 billion in Rivian for joint EV development, aiming to launch new software-defined vehicles by 2027. A prototype shown at Rivian’s Palo Alto office integrated Rivian’s software architecture into a VW test vehicle. The collaboration allows VW to enhance its EV offerings as it faces stiff competition in Europe and China. Rivian’s stock surged by 24 per cent following the announcement, while VW shares dipped by 3.3 per cent.