Automotive seat maker Adient to build $8M factory in Normal, to supply Rivian (R2 seats?)

[Zoidz]

R1 seats are reportedly built by Hyundai Transys. Timing implies, and the article hints, that Adient will provide R2 seats.

Chicago Sun Times

"Automotive seat maker Adient will invest $8 million to open a factory in Normal to assemble components for electric vehicle manufacturer Rivian.

Adient will create 75 full-time jobs at its new facility near Rivian’s manufacturing plant. The state’s Department of Commerce and Economic Opportunity is supporting the investment through its Reimagining Energy and Vehicles program, which promotes clean energy and advanced manufacturing.

At its new factory, Adient will produce complete front and rear seat assemblies for Rivian. It will repurpose an existing 85,000-square-foot warehouse south of College Avenue."

Adient Web Site

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[UnsungZero_OldTimeAdMan]

If that goes well, wouldn’t surprise me if contract for R1 seats goes to them as well.

Excerpt from wiki:
“Adient was founded as a spin-off from Johnson Controls in 2016,[4] establishing its legal domicile in Dublin, Ireland.[1] Johnson Controls had entered the automotive seating business in 1985 by acquiring Hoover Universal.[5] In September 2017, Adient acquired the Oak Park, Michigan-based automotive seat manufacturer Futuris from Clearlake Capital, which added 15 facilities in Asia and North America, including one facility based in Newark, California,[6] and which was anticipated to increase the company's revenue by $0.5 billion annually.[4]

In 2016, Adient announced plans to move its global operating headquarters to the Marquette Building in Detroit,[7] but canceled those plans as of June 2018.[8]

concept vehicle by Adient
In January 2018, a joint venture was formed by Adient (50.01%) and Boeing (49.99%) to develop and manufacture airliner seats for new installations or retrofit, a $4.5 billion market in 2017 which was then forecast to grow to $6 billion by 2026, to be based in Kaiserslauternnear Frankfurt and distributed by Boeing subsidiary Aviall, with its customer service center in Seattle.[9]

In February 2020 Adient announced it agreed to sell its 30% stake in Yanfeng Global Automotive Interior Systems to Yanfeng Automotive Trim Systems for US$379 million.[10][11]

In March 2020, Adient entered into an agreement to sell its automotive fabrics manufacturing business to Sage Automotive Interiors for $175 million.[12][13]

As of 2022, Adient employed 70,000 people across 200 manufacturing/assembly plants,[1]in 30 countries.[4][Nt 1]”

 

[Isaiah Louis]

Why doesn’t Rivian just make them themselves?

 

[Oldsmobile_Mike]

This sounds great, and "checks all the boxes" (local business to minimize shipping costs, made in USA to avoid tariffs, helps local economy, etc.). They definitely seem like they're doing things right in Normal.

 

[UnsungZero_OldTimeAdMan]

Why doesn’t Rivian just make them themselves?

Think about cost of setting up production. The cost of hiring people who have experience to set one up from scratch. And all hard costs, not just the building. Too much to commit to right now. This move is 100% about minimizing impact of tariffs, without investing in capacity that will take a long time to break even on.

 

[shrink]

This sounds great, and "checks all the boxes" (local business to minimize shipping costs, made in USA to avoid tariffs, helps local economy, etc.). They definitely seem like they're doing things right in Normal.

I actually grew up in Chicago (city limits and not the ‘burbs) and my family still lives in the city. I went to undergrad many years ago in central Illinois (Champaign-Urbana, not Normal) but still proud of my home state and both Chicago and central Illinois areas.

Home state pride is an additional and big Rivian perk for me personally. Glad to see this!

 

[TollKeeper]

Hyundai does in fact build the seats... Its not reported. I personally delivered a truck load of seats from Hyundai to Rivian.

I also echo the earlier question of, why isnt Rivian making their own seats. It seems the direction they have been going, going in house?

 

[oskeei]

I actually grew up in Chicago (city limits and not the ‘burbs) and my family still lives in the city. I went to undergrad many years ago in central Illinois (Champaign-Urbana, not Normal) but still proud of my home state and both Chicago and central Illinois areas.

Home state pride is an additional and big Rivian perk for me personally. Glad to see this!

Rivian has done a tremendous job of becoming part of the Bloomington-Normal community and even has a Rivian office in the Research Park just south of the UIUC campus. I don't think it hurts there is a great pool of tech. talent here in Central Illinois.

 

[Golfer04]

I read an article on realtor.com last week that said Decatur, Illinois leads the nation in average home sale price increase in last 12 months. Up 12.6 percent. I immediately thought Rivian is a big part of it. Decatur is a dump and Rivian employees can't afford homes in Bloomington-Normal. Decatur is 35 miles or so south

 

[crunchysue]

I sure hope they do away with those horrible forward-leaning, non-adjustable head rests! Those are just awful for short people.

 

[UnsungZero_OldTimeAdMan]

I sure hope they do away with those horrible forward-leaning, non-adjustable head rests! Those are just awful for short people.

The car's not even out yet and complaining already. "Head rest" is a bit of a misnomer in the industry. Technically they are not for comfort. They are head restraints, so you don't break your neck in event of a hard collision.

 

[TollKeeper]

I sure hope they do away with those horrible forward-leaning, non-adjustable head rests! Those are just awful for short people.

My wife very angrily reminded me of this just yesterday!

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