Global logistics company UPS has announced it will purchase 10,000 purpose-built electric delivery vehicles from UK EV manufacturer Arrival.
UPS and Arrival have been developing concept electric vehicles of all different sizes since 2016, but with the completion of a minority investment by UPS into the UK firm, they will co-develop a specific vehicle for the delivery company.
UPS has committed to purchase 10,000 of Arrival’s vehicles, which include a wide range of electric vehicles with Advanced Driver-Assistance Systems (ADAS). The technology is designed to increase safety and operating efficiencies, including the potential for automated movements in UPS depots. UPS will initiate testing ADAS features later in 2020. Future vehicle purchases are contingent on successful tests of initial vehicles. Vehicle purchase prices will not be disclosed.
“UPS continues to build an integrated fleet of electric vehicles, combined with innovative, large-scale fleet charging technology,” said Juan Perez, UPS chief information and engineering officer. “As mega-trends like population growth, urban migration, and e-commerce continue to accelerate, we recognize the need to work with partners around the world to solve both road congestion and pollution challenges for our customers and the communities we serve. Electric vehicles form a cornerstone to our sustainable urban delivery strategies. Taking an active investment role in Arrival enables UPS to collaborate on the design and production of the world’s most advanced electric delivery vehicles.”
Arrival, which was founded in 2015 and is headquartered in London, is the first commercial vehicle manufacturer to provide purpose-built electric delivery vehicles to UPS’s specifications and with a production strategy for global scale.
Arrival will build the vehicles in micro-factories, using lightweight, durable materials the company designs and creates in-house. The company produces its own major core vehicle components – chassis, powertrain, body and electronic controls. Importantly, Arrival vehicles also use a modular design with standardized parts, a method that reduces maintenance and other costs of ownership.
“Together, our teams have been working hard to create bespoke electric vehicles, based on our flexible skateboard platforms that meet the end-to-end needs of UPS from driving, loading/unloading and back-office operations,” said Denis Sverdlov, Arrival chief executive.
