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FedEx orders 20 electric Semi trucks from Tesla

The trucks are scheduled to go into production in 2019.

FedEx shares added nearly 3% to US$236.26 in morning trading.

The shipper has been committed to upgrading to energy efficient vehicles since 2008, and said it has saved more than 159mln gallons of fuel through its sustainability efforts. That includes integrating electric vehicles, fuel cells, natural gas, hybrids and clean-truck technology, the company said in a statement.

READ: PepsiCo orders 100 of Tesla's new electric Semi trucks

“FedEx has a long history of innovation and incorporating sustainability efforts throughout its global network,” said FedEx Freight CEO Mike Ducker in a statement. “Our investment in these trucks is part of our commitment to improving road safety while also reducing our environmental impact.”

According to Tesla's website, the trucks will be sold at an expected base price of US$150,000 apiece. They have a range of 300 to 500 miles and consume less than 2 kilowatts-hours per mile, an estimated fuel savings of more than US$200,000.

 

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