Rivian stock plummets in premarket after recalling 13000 vehicles

Rivian Automotive (RIVN.US) stock plunged over 7.5% before the opening bell after the EV maker decided to recall 13,000 cars because the fastener to the front steering knuckle "may not have been sufficiently torqued" when the vehicles were manufactured.

"In rare circumstances, the fastener has loosened fully," Rivian’s Chief Executive Officer RJ Scaringe wrote on Friday. "I want to reiterate that this is extremely rare, but it does reinforce why we are acting with urgency and caution."

"The recall will not impact production, as Rivian has ceased producing vehicles with the insufficiently torqued steering knuckle fasteners, so this issue is not expected to persist," Rivian's spokesperson said.

Rivian Automotive (RIVN.US) stock fell sharply in premarket and is currently testing a major support zone around $31.30, which is marked with previous price reactions. Source: xStation5

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