Electric Van Startups Hope for Big Investments as Competition Increases
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Electric vehicles (EVs) are starting to extend beyond the consumer market. Electric commercial trucks will soon be a reality, and companies are in the early stages of finding new benefits and uses for EVs. Electric vans are up-and-coming in the EV market.
Autoblog reported that the market for electric vans has a lot of potential, particularly among large companies with thousands of vans in their fleets. Many electric van startups have launched in hopes of securing a contract with a package delivery giant. A contract with Amazon can help an electric van startup scale and profit | Twenty20
Which electric van startups have landed a deal?
One of the startups that has received an order from a big delivery company is Rivian, as mentioned by Autoblog. This California-based EV manufacturer was founded in 2009. They are known for their electric commercial vans as well as their R1T electric truck.
Another electric van startup that’s found success is Arrival. This British EV manufacturer has created an electric van and an electric bus. According to InsideEVs, their van has a range of up to 120 miles per charge. Outside of commercial vehicles, Arrival is also producing a consumer car.
Amazon and UPS are looking to electric vans
While companies like Tesla are marketing their EVs to consumers, startups like Rivian are targeting delivery giants. Rivian has a deal in place with Amazon for 100,000 electric vans.
Arrival has its own deal with a major shipping company. They are building 10,000 of their electric vans for UPS. Arrival has also caught the eyes of Uber, and they are producing an electric car for the rideshare company.
These EV startups are not simply novelties. Companies like Amazon and UPS have been looking to move away from relying on gas-powered vehicles. Rivian, Arrival, and other electric van manufacturers are making it possible for delivery companies to make the change to EVs.
Electric van startups will compete with leading automakers
It’s likely that more industries will shift to EVs as they improve and become more affordable. EV manufacturers should expect more competition in the near future.
Rivian and Arrival got into the electric van market at a good time, since not many major automakers have focused on releasing commercial vehicles. However, time is running out for newcomers to secure big deals with companies like Amazon.
Ford is already well-known for their production of commercial vehicles, and they have created an electric van. The electric Ford E-Transit offers the quality that is expected from Ford commercial vans, and it has a competitive range. If startup companies want to make it in the electric van market, they may have to start now.
The future of EVs is exciting both at the consumer and commercial levels. New companies are entering the market with innovative EVs, and established manufacturers are electrifying popular vehicle models like the Ford F-150.
One thing that will remain the same as EVs become more common, though, is the need for insurance. When shopping for a plan that fits your needs, Jerry has you covered. It takes 45 seconds to sign up, and Jerry will compare quotes to find the best price for the coverage you need.