Global Express delivery giant UPS has further strengthened its partnership with Arrival, the UK based start-up established to develop and produce zero-emission commercial vehicles.
The initial production 10,000 purpose built delivery vehicles will be rolled out in the UK, Europe and North America from 2020 to 2024. UPS has the option to purchase a further order of 10,000 vehicles during this period. In addition, the UPS venture capital arm also announced an investment in Arrival for an undisclosed amount.
The new fleet of vehicles will be built using Arrival’s new method of assembly using low capital, low footprint micro-factories located to serve local communities.
“Arrival first announced a partnership with UPS to develop electric vehicles in 2016 and this significant vehicle order and investment accelerates the deployment of fit-for-purpose electric fleets at scale. Arrival’s unique Generation 2 electric vehicles offer UPS compelling commercial and environmental benefits to make a seamless and cost effective transition to a zero emissions fleet,” said Carlton Rose, President of UPS Global Fleet Maintenance & Engineering on the announcement of the deal.
“UPS has been a strong strategic partner of Arrival, providing valuable insight to how electric delivery vans are used on the road and how they can be optimised for drivers. Together our teams have been creating bespoke electric vehicles, based on our flexible skateboard platforms, that meet the end-to-end needs of UPS from driving, loading/unloading, depot and back office operations. We are pleased that the investment and vehicle order creates even closer ties between our two companies,” he added.
“Our investment and partnership with Arrival is directly aligned with UPS’s transformation strategy, led by the deployment of cutting-edge technologies. These vehicles will be among the world’s most advanced package delivery vehicles, redefining industry standards for electric, connected and intelligent vehicle solutions.”
Arrival has developed components, sustainable materials and software to customise both vehicles and operations of commercial fleet owners. The company’s unique skateboard platforms enable the creation of vehicles in any weight, type, size and shape to match customer requirements, which are then deployed close to areas of demand across the globe in Arrival’s micro-factories.
Avinash Rugoobur, Chief Strategy Officer at Arrival commented: “Arrival has created Generation 2 electric vehicles that are better in price, design and experience than traditional fossil fuel vehicles and existing EVs. This gives fleet managers a highly compelling commercial and environmental reason to switch to electric and will accelerate the adoption of electric technology globally. At Arrival, we believe this is amongst the most impactful areas to start the transition to a fully electric future, and our partnership with UPS will drive us both towards our shared vision of cleaner mobility.”
From the UPS side, Juan Perez, Chief Information &Engineering Officer, UPSstated:“UPS continues to build an integrated fleet of electric vehicles, combined with innovative, large-scale fleet charging technology. As mega-trends like population growth, urban migration, and e-commerce continue to accelerate, we recognise 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 in the design and production of the world’s most advanced electric delivery vehicles.”