Tesla re-opens: UPS pre-orders 125 electric semi-trailers

Original Title: Tesla Reopens: UPS Pre-Orders 125 Electric Semi-Trucks

According to Reuters, UPS has announced that it will purchase 125 electric semi-truck models from Tesla, marking the company's largest order for electric trucks to date. This move highlights a growing interest in sustainable transportation solutions within the logistics sector.

Image source: Reuters

Tesla is actively working to attract the trucking industry by developing an affordable, cargo-focused electric truck that can compete with traditional diesel models. The company has stated that this order from UPS is currently its biggest electric truck pre-order.

Lei Feng Network reports that Tesla recently announced the "pre-sale price" for its electric semi-trailer trucks. There are two versions available: one with a range of 300 miles and another with a 500-mile range, priced at $150,000 and $180,000 respectively.

UPS estimates that the total cost of operating an electric semi-truck on U.S. highways is significantly lower than that of conventional diesel vehicles, which typically cost around $120,000 annually. This makes electric trucks an attractive option for long-haul operations.

Before UPS, Tesla had already secured orders from major companies like Walmart, JB Hunt Transport Services, and Sysco Corp. PepsiCo previously placed an order for 100 electric semi-trailers, which was the largest at the time.

As part of its evaluation process, UPS provided Tesla with detailed route and lane information to help optimize the performance of the vehicles. The company often collaborates with emerging automotive technology firms to tailor solutions that meet its specific operational needs.

Scott Phillippi, senior director of automotive maintenance and international business engineering at UPS, said in an interview: “Like any of our new technologies, we hope this project will succeed.” He added that UPS will conduct thorough testing of the 125 trucks, with most tests planned to take place in the United States. Tesla will also support the development of charging infrastructure for these vehicles.

Phillippi expressed high expectations for the project, stating, “We believe the Tesla semi-truck will be a great product.”

Industry research firm FTR estimates that North America produces approximately 260,000 semi-trailers or Class 8 heavy trucks each year. With over 410 pre-orders for Tesla’s electric semi-trucks—including the recent UPS order—demand for electric commercial vehicles is clearly on the rise.

Meanwhile, other companies like Navistar International and Volkswagen are also entering the electric truck market, aiming to introduce smaller electric mid-range trucks by the end of 2019. Daimler recently launched its first compact electric truck in New York.

Tesla unveiled its semi-truck in November and plans to begin production in 2019. On Wednesday, Tesla shares fell 0.1% to $338.61 during the Nasdaq morning session.

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