General Motors Co. is launching a new electric-truck business geared toward delivery services, the latest in the company’s efforts to commercialize battery technology it is developing in-house.
The Detroit auto maker said Tuesday it would begin making electric delivery trucks and motorized dollies as part of a division, called BrightDrop, that aims to capitalize on the now-booming market for e-commerce and home delivery.
The new division plans to roll out later this year an electric truck designed specifically for commercial purposes; named the EV600, it will offer a 250-mile range on a single charge. The move pits GM against Ford Motor Co. and its recently introduced electric delivery van, as well as electric-vehicle startups such as Rivian Automotive which is making plug-in vans for Amazon.com Inc.
FedEx Corp. is expected to be the first customer for the EV600, with the package-delivery firm agreeing to purchase 500 of the new electric trucks for delivery later this year, GM said.
BrightDrop also plans to launch in the next few months a new electric dolly—a small four-wheeled dolly for ferrying packages around warehouses and from trucks to front doors.