UPS has announced an investment partnership with UK-based EV startup Arrival, ordering 10,000 electric delivery vans to electrify their fleet.
When Arrival first showcased the vehicle in 2017, the company described it using "revolutionary ultra-lightweight composite materials" designed to reduce vehicle size. The startup improved the maximum range-to-weight ratio for inner-city deliveries, enabling a range of 100 miles on various truck sizes, with plans for "a battery range of more than 150 miles for the UPS trucks."
Hyundai recently invested $100 million in Arrival. UPS appears satisfied with their earlier collaboration and has committed to larger deals moving forward, positioning Arrival as one of the UK's fastest-growing startups.
Arrival Founder and CEO Denis Sverdlov commented on the partnership: "UPS has become our strategic partner, offering vital insights on how electric vans function on the Road." He emphasized their collaborative efforts in creating customized electric vehicles aligned with UPS's operational needs.
UPS Global Fleet Maintenance & Engineering President Carlton Rose expressed enthusiasm about the collaboration, stating the ordered vehicles "will be among the best and world's most advanced for package delivery."
This deal represents part of UPS's broader electrification strategy in the United States. Additional initiatives include converting up to 1,500 delivery trucks to battery-electric vehicles in New York City and ordering 1,000 electric vans from Workhorse.
Electric vehicles are gaining popularity in the U.S. due to environmental benefits, with companies increasingly moving away from climate-change-contributing operations. UPS appears to be assuming a leadership position in electric vehicle adoption.