General Motors is currently developing an electric van targeting business users, in a similar fashion to Rivian and its zero-emissions van developed for Amazon.
It’s the first time GM’s plan to develop an electric van has surfaced in the media, though the U.S. automaker did not confirm the news. The automaker previously announced plans to introduce at least 20 new EVs by 2023, spanning a variety of body types including sedans, crossovers, and trucks.
According to five people familiar with GM’s plans cited by Reuters, the van codenamed BV1 is due to enter production in late 2021. The vehicle is believed to share some components with GM’s future electric pickups and SUVs, including the new Ultium advanced battery system. The electric van is expected to be assembled alongside those models at the Detroit-Hamtramck plant.
See Also: Amazon’s Rivian Electric Delivery Van Taking Shape, Still A Long Way To Go
The same sources told the news agency that GM is considering whether to offer the electric van as part of its Chevrolet and GMC truck lineups or sell it under a different brand such as Maven. GM’s first electric pickup, expected in late 2021, will be sold under the revived Hummer brand by GMC dealers.
“At this time, we do not have any announcements to make regarding electric commercial vehicles,” GM said in a statement, adding that it is “committed to an all-electric future and is implementing a multi-segment, scalable EV strategy to get there.”
GM’s electric van project will target commercial delivery vehicles, which make up an important segment of the emerging EV market. It is a hugely profitable business driven by the cost of ownership instead of state-of-the-art tech or brand cachet. More importantly, it is also an area of the market in which Tesla lacks an entry.
Reuters’ report also cites UPS senior director of fleet maintenance and engineering, Scott Phillippi, who said the package delivery firm believes electric vans have the potential to disrupt the commercial market. “It’s going to be similar to what the Model 3 has done for the consumer market,” he said.
GM’s electric van is the latest in a series of similar projects which include Rivian’s delivery van of which Amazon already ordered 100,000 units, Ford’s all-electric Transit coming for 2022MY, and British startup Arrival’s mid-size electric van backed by Hyundai Motor Group which will be made in a run of 10,000 units for UPS.
Note: GMC Savana G2500 Cargo Van pictured