PepsiCo, the 19th largest brand conglomerate, with an annual $159.4 Billion in revenues (according to Forbes 2017 list), has ordered 100 of Tesla’s newly announced Semi-Trucks.
On November 11th, Tesla announced to the public their idea of what the future of Semi-Trucks should be. Elon Musk, the CEO of Tesla, stated that the new semis would have 500 mile range and a 0:05 Seconds from 0-60 mph (without trailer) acceleration capability.
Tesla’s major U.S. semi-truck competitor brands include:
- Freightliner (Daimler)
- Peterbilt (Paccar)
- Kenworth (Paccar)
- International (Navistar)
- Volvo (Volvo)
- Mack (Volvo)
- Western Star (Daimler)
About 260,000 heavy-duty Class-8 trucks are produced in North America annually, according to FTR, an industry economics research firm.
PepsiCo intends to deploy Tesla Semis for shipments of snack foods and beverages between manufacturing and distribution facilities and direct to retailers within the 500-mile (800-km) range promised by Tesla Chief Executive Elon Musk.
The semi-trucks will complement PepsiCo’s U.S. fleet of nearly 10,000 big rigs and are a key part of its plan to reduce greenhouse gas emissions across its supply chain by a total of at least 20 percent by 2030, said Mike O’Connell, the senior director of North American supply chain for PepsiCo subsidiary Frito-Lay.
Reservations to date for the new Tesla truck are at 267, according to a Reuters tally.
Tesla unveiled the Semi last month and expects the truck to be in production by 2019.
The new semis will complement PepsiCo’s US fleet of nearly 10,000 trucks and are a key part of its plan to reduce greenhouse gas emissions across its supply chain by a total of at least 20% by 2030, Mike O‘Connell, the senior director of North American supply chain for PepsiCo subsidiary Frito-Lay, said in a statement.
Mike O’Connell, the senior director of North American supply chain for PepsiCo subsidiary Frito-Lay revealed that the trucks are key to PepsiCo’s plan to reduce greenhouse gas emissions from its fleet of trucks by 20 percent by 2030.
So where does that leave a company like Daimler, whose first truck arrived to market in 1896? In embrace of the long view. Daimler, which sells more than 400,000 trucks globally each year, is treading carefully as it brings technology to its commercial vehicles. “It’s definitely an evolution,” says company spokesman Florian Martens. Not, he hints, a revolution.
Tesla insists otherwise. Its $180,000 Semi promises up to 500 miles on a single charge—four times the range of an electric truck that Daimler is developing. Customers like Walmart (WMT, +0.41%) and Meijer have made reservations for a Tesla Semi prototype expected in 2019, but skeptics remain. “These orders are for publicity and the halo effect of seeing a quiet, clean electric truck and not a black-smoke-belching diesel engine,” says Darren Gosbee, vice president of engineering for Navistar. (Tesla declined to comment.)