UPS Pre-Orders 125 Tesla Electric Trucks

UPS Pre-Orders 125 Tesla Electric Trucks

UPS Pre-Orders 125 Tesla Electric Trucks

Earlier this week, UPS (United Parcel Service) placed the largest pre-order to date for Tesla's recently unveiled electric semi. The new tractors will join UPS's extensive alternative fuel and advanced technology vehicle fleet, comprised of trucks and tractors propelled by electricity, natural gas, propane and other non-traditional fuels.

The company operates one of the largest private alternative fuel and advanced technology fleets in the US with more than 8,500 vehicles.

The vehicles are created to run up to 500 miles on a single charge, helping UPS meet its targets for reducing carbon emissions and gasoline use, the company said.

The vehicles will cost between $150,000 and $200,000 (127,000 to 170,000 euros) and will be available in 2020.

Last month, German logistics company DHL reserved 10 trucks. UPS expects the semi-trucks, the big rigs that haul freight along America's highways, will have a lower total cost of ownership than conventional vehicles, which run at about $120,000.

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The Tesla Semi could signal an important change in the shipping industry.

Tesla states the truck has a 500-mile range on a single charge. Companies including Walmart, fleet operator J.B. Hunt Transport Services, and food-service distribution company Sysco have also made reservations for the Semis.

"When I am looking at this, I just laugh because Pepsi, UPS, this is a great marketing opportunity for them and plus that, it's a win, win for them and Elon Musk because now he is going to get these Tesla trucks road tested by somebody who is paying full price for them", he said.

UPS's pre-order of Tesla vehicles complements and advances the company's overall commitment to reduce its absolute greenhouse gas emissions from global ground operations 12 percent by 2025, a goal developed using a methodology approved by the Science Based Targets initiative. "We believe electric trucks will be most beneficial on local and dray routes, and we look forward to utilizing this new, sustainable technology". With a slick design that will allow truckers to stand in the cab, Musk and his team have said the electric Semis will give drivers a much better experience, while improving safety and cutting costs.

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