FedEx to Receive 500 Electric Delivery Trucks From General Motors | Financial Buzz

FedEx to Receive 500 Electric Delivery Trucks From General Motors

FedEx (NYSE: NYSE) just received the first 500 electric delivery trucks from BrightDrop, General Motors new EV unit. According to the company, it will begin implementing the EVs into its fleet at the start of 2022.

“What we’re talking about here is transforming transportation,” FedEx Chief Sustainability Officer Mitch Jackson told CNBC. “We’ve been using electric vehicles in our operation for 10 years. They’ve been primarily start-ups, and you’ve had issues with the gap between development to commercialization.”

The partnership is viewed as a “tipping point” for EVs within the package delivery and logistics realm. Although the EV trucks only make up a small part of FedEx’s current 87,000 vehicles, the BrightDrop EV600 trucks are viewed as a commitment towards sustainability for the carrier. The company intends to buy only electric delivery vehicles starting in 2025 as well as electrify its whole delivery fleet by 2040.

“We are now looking at the scalability of commercial electric vehicles. Why is that important for FedEx? We use a lot of vehicles in our operation, and we need a lot of vehicles in order to make a sizable difference in our operations,” Jackson said. “We need that scale, and we need that production capability.”

The EV600 has 600 cubic feet of cargo space, can travel a maximum of 250 miles on a full battery, and weighs less than 10,000 pounds.

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