UPS and FedEx are finding it difficult to get the big electric step vans they need to replace their gas-powered trucks. This change is important to President Biden’s goals to help the environment. But there are not enough electric vans, and they are very expensive.
UPS leader Luke Wake said, “We are not sure if all these electric van companies will be around in the future.” UPS and FedEx also used to get help from California to buy electric vans, but they can’t get that help anymore.
California had a rule that UPS and FedEx had to buy electric vans only. But this rule was stopped because UPS and FedEx did not agree. These companies say they want electric vans, but they are hard to find.
UPS has been testing electric vans for a long time and uses many kinds of alternative fuel. FedEx also wants to use electric vans but says it depends on if they are available.
Electric vans are very expensive. UPS says they can cost double the price of regular trucks. California used to give money to companies that bought electric vans, but they changed the rules. Now UPS and FedEx have to buy 30 trucks before they get any help.
The U.S. government might make it a rule that delivery companies can only buy electric vans. This could make more companies want to buy electric vans.
