If you want to buy an affordable electric vehicle in America, Rivian Automotive Inc. (RIVN) CEO RJ Scaringe has some blunt news: your options are shockingly limited. Speaking at Fortune's Brainstorm AI event, Scaringe made the case that the US EV market's real problem isn't that consumers don't want electric cars—it's that there simply aren't enough good ones to buy.

The Supply Problem Nobody's Talking About

"I really think the constraint isn't the demand side, I think it's the supply side," Scaringe told attendees, according to Business Insider. Compared to markets like Europe and China, where consumers have a broad menu of EV options, the US market has what he called a "shocking lack of choice."

Here's the kicker: if you're an American shopper looking for an EV under $50,000, you're basically looking at Tesla Inc. (TSLA). That's it. "If you think of it as a consumer, you have 300 different internal combustion engine choices," Scaringe noted, but when it comes to "highly compelling" EVs in that price range? The cupboard is pretty bare.

Rivian is trying to change that equation with its R2 crossover SUV, which will retail for $45,000. During the company's third-quarter earnings call last month, management confirmed that R2 deliveries would start sometime in the first half of next year, potentially giving budget-conscious EV shoppers an alternative to Tesla's lineup.

Trump's CAFE Changes: Good for Consumers or Bad for EVs?

Scaringe's comments land at an interesting moment. The Trump administration has been celebrating its recently relaxed Corporate Average Fuel Economy standards as a consumer win, with Transportation Secretary Sean Duffy arguing the changes would restore "choice and affordability" to the car market.

But those relaxed regulations could create headwinds for EV makers like Rivian, which depend on Zero Emission Vehicle credit sales as a meaningful revenue stream. Rivian previously disclosed that it lost over $100 million in revenue due to shifting policy environments.

The Silver Lining in Federal Credit Rollbacks

Despite the White House's skeptical stance on EVs, Scaringe sees an unexpected upside in the rollback of the $7,500 federal EV tax credit. His reasoning? Less competition from legacy automakers who were using the credit to subsidize their entry into the EV market. Without that government support, traditional car companies might pull back on electric vehicle investments, leaving more room for dedicated EV manufacturers.

Rivian's recent sales figures suggest the company is finding its footing regardless of the policy turbulence. In November, the automaker sold 4,500 units of its R1T and R1S pickup trucks, representing a 24% year-over-year jump in sales.

Price Action: RIVN shares edged up 0.17% to $17.74 in after-hours trading, according to market data.