From the New York Times, May 19:
Tesla hasn’t had a blockbuster new product since the Model Y sport utility vehicle went on sale in 2020.
But early reviews of the Tesla Semi, an electric heavy truck, suggest that it could be a much-needed hit for the company. And it could shake up the staid business of truck manufacturing in the same way that Tesla’s cars upended the auto industry.
After years of delays, Tesla has begun taking orders for the Semi, which is expected to cost around $290,000 for the version that can travel up to 500 miles on a charge, much less expensive than heavy-duty electric trucks sold by Daimler, Volvo and other companies, which usually sell for at least $400,000, according to estimates by the International Council on Clean Transportation. Tesla has said the Semi will also have a more affordable model that can travel 350 miles between charges. Both options would travel farther than trucks from other suppliers.
Cost and range are two of the main reasons that many logistics and delivery firms have been reluctant to buy electric trucks, which cost at least twice as much as diesel models and account for only a sliver of heavy truck sales.
“The problem with the technology that’s out there right now is their range is limited. They’re quite heavy, and they’re very expensive,” said Jennie Abarca, owner of King Fio Trucking in Long Beach, Calif., which has ordered 20 Tesla Semis. “This is something new coming to the market that kind of answers all those problems.”
Demand for the Semi appears strong. California trucking firms have asked the state government for subsidies to help them buy more than 1,200 Tesla trucks. That’s more than all the applications for other electric trucks since the state’s incentive program began in 2019.
Ivan Torres, a driver for Nevoya, a San Francisco-based trucking company, is a big fan of the Semi. He was at the wheel of one last month hauling power tools from the Port of Long Beach to Ontario, Calif., 60 miles away. Nevoya operates only electric trucks.
As the truck climbed a steep hill that separates Ontario from greater Los Angeles, Mr. Torres marveled at its power. “It hauls the load like nothing, just up,” he said from the padded driver’s seat, which sits atop a shock absorber that smooths out the bumps. Screens on either side of the steering wheel provided a view of the traffic around him.
Mr. Torres said the Semi was quieter than diesel rigs. And he can run the air-conditioning while waiting to drop off a load. That is sometimes not possible with diesel trucks because California limits how long those vehicles can idle in residential areas or near schools and hospitals to minimize pollution.
If Tesla can push the trucking industry toward battery power, the environmental implications could be significant. Heavy- and medium-duty diesel trucks make up a small percentage of all U.S. vehicles but are responsible for 45 percent of nitrogen oxide emissions from road transportation, according to the Union of Concerned Scientists. Nitrogen oxides cause asthma and bronchitis and are the main component of smog.
Tesla’s timing may also be fortuitous. Diesel prices have risen around 50 percent since the war with Iran began, making battery power more attractive. Electricity is much cheaper per mile — even in California, where utility rates are relatively high.
So far, Tesla has produced the Semi in limited numbers for a few customers like Pepsi and Nevoya. But the company said last month that it had started an assembly line in Sparks, Nev., designed to produce up to 50,000 trucks a year.
If Tesla meets that target, the Semi could bring in tens of billions of dollars in revenue. That is still a modest amount compared with the trillions of dollars that Elon Musk, the chief executive of Tesla, expects from self-driving taxis and humanoid robots....