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The shares of EV maker Rivian (RIVN) are climbing 4% today. According to a report, the Biden administration before leaving office will announce the closing of a huge loan to the firm by the federal government.
Additionally, Tesla (TSLA) is cutting the prices on its Cybertruck, which is seen as a rival to Rivian's R1T truck.
A state-of-the-art electric vehicle charging at a station at a suburban mall.
Rivian's Large Loan Is Reportedly Poised To Be Finalized
According to Bloomberg, which cited unnamed sources, the Biden administration plans to announce as soon as today that RIVN's very large loan has been finalized. The amount of the loan will be around $6.6 billion. The latter figure was the amount that the administration had conditionally approved in November.
The automaker is slated to use the funds to build a new factory in Georgia.
Vivek Ramaswamy, the co-chairman of President-elect Trump's DOGE initiative, criticized the loan and threatened to rescind it when the Biden administration conditionally approved the transaction.
The other co-chairman of DOGE is Tesla CEO Elon Musk.
Tesla Cuts Cybertruck Prices
TSLA is reducing the prices of Cybertrucks that it has in inventory by about $1,600 to $2,600, the company reported on its website. According to multiple sources, the move indicates that demand for the EV has fallen meaningfully.
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READ ALSO 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock
Disclosure: The author owns shares of RIVN but has no plans to trade them in the next 48 hours. This article is originally published at Insider Monkey.