Navistar International Corporation and Modec Limited Sign Electric Truck JV Agreement

Navistar International Corporation have announced that Navistar-Modec EV Alliance is being formed by the joint venture agreement between Navistar International and Modec Limited. It also announced that the new company will produce Class 2c-3 all-electric commercial trucks.  These all-electric commercial trucks will be sold in North, Central and South America.

All the trucks will be driven electrically, and they are designed to suit heavy stop-and-go driving.  The trucks are aerodynamically styled with two-ton plus carrying capacity, plug-in power.  These trucks cover 100 miles per charge, and produce zero emissions. President Obama announced in the month of August that Navistar International Corporation will receive a grant of $39.2 million from the Department of Energy to develop and build all-electric trucks. Navistar aims to manufacture 400 electric vehicles in the year 2010 and it will be manufacturing annually several thousands within two years. With the increased production, Navistar expects to create up to 700 jobs, which includes both employees and suppliers.

The partnership between Department of Energy and Navistar highlights the significance of government and business working together to bring energy efficient vehicles a reality, and also the need for research and development of advanced technologies related to commercial vehicles.

According to Dee Kapur, President, Navistar Truck Group, the commercial market is prepared to move forward the electrical vehicle technology. He also added that the joint venture will also reduce dependence on foreign oil and preserve the environment. Each zero emission of the electric truck can prevent 20,000 pounds of carbon dioxide.

The vehicle has an excellent design and can be a practical solution for many applications. This vehicle will suit the U.S. urban market.  According to Bill Gillespie, Chief Executive Officer, Modec, Navistar is a suitable partner for Modec, as Navistar has proven track of clean vehicle technology. Apart from hybrid-electric and all-electric trucks and buses, International brand commercial trucks are among the vehicles with greater fuel efficiency.

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