American automotive manufacturer Rivian Automotive has won an incentive package of $827m to expand the operations at its electric vehicle (EV) plant in Illinois, US.

Secured from the State of Illinois Department of Commerce and Economic Opportunity, the funding will enable the company to ramp up the capacity of the plant to produce R2, a midsized SUV.

Rivian Automotive will also utilise the capital for enhancements in public infrastructure and job training programmes for the company’s workforce.

R2 is expected to offer a combination of performance, capability, and utility in a five-seat package.

Rivian Automotive founder and CEO RJ Scaringe said: “We are grateful for this investment from the State of Illinois and for the leadership of Governor Pritzker, President Harmon, and Speaker Welch.

“The support from the state will allow us to quickly bring our midsize SUV, R2, to market and provide even greater consumer choice for EVs. Governor Pritzker has always been a strong advocate for providing economic opportunities for Illinois residents and business owners alike.”

Located in Normal, the EV plant began production in 2021 and has manufactured more than 100,000 EVs. The facility will also continue to produce R1S, R1T, and commercial electric delivery vehicles.

According to Rivian Automotive, updates to the facility will start in the coming months. The automotive manufacturer has invested over $2bn in Normal.

The company said that it has generated a value add of more than $3.9bn to the local economy in three years.

Illinois Governor JB Pritzker said: “Together, we’re taking a tremendous step forward – for our electric vehicle ecosystem, for our economy, and for our state.

“Each and every dollar invested in this market is a win for the working people of Illinois and brings us a step closer to meeting our ambitious climate goals.”