IVECO’s parent CNH Industrial is taking a $250m stake in US-based Nikola Corporation enabling the electric vehicle specialist to commercialise production of heavy trucks powered by fuel cell and battery for North America and Europe.
The deal comprises $100m cash and $150m of services to help with product development, manufacturing, engineering and other technical support to industrialise Nikola’s fuel cell and battery electric trucks. Nikola, which launched its Tre in November 2018, says it can provide a vehicle, service, maintenance and fuel costs at an all-inclusive lease rate giving a total cost of ownership at or below that of diesel-powered vehicles.
IVECO’s S-Way truck is expected to benefit from technology from the battery-electric powered Nikola Tre. A European joint venture which aims to launch by the end of 2022, will cover both battery-electric vehicles (BEV) and fuel cell electric vehicles (FCEV).
Nikola also wants to leverage IVECO’s sales, service and warranty channels in Europe to accelerate access to the marketplace. Trevor Milton, Nikola CEO said: “The time has come to finally provide a zero-emission solution to the heavy-duty truck market.
“While other OEMs believe zero-emission solutions cannot happen in the timeframe regulators have mandated, Nikola, FPT Industrial and IVECO are proving that these timelines are not unreasonable.”