Hertz plans to significantly expand its EV fleet. To do that, the rental company ordered 175,000 EV models from GM, to be delivered before 2027.
Several GM sub-brands are included in this agreement; the electric models will come in the form of Chevrolet, Buick, GMC, Cadillac, and BrightDrop EVs. Both companies will greatly benefit from this deal; Hertz will be able to reach its electrification goals and GM can comfortably increase its electric vehicle production to unprecedented levels.
Hertz is investing heavily to become the largest EV car rental company in North America, the company estimates that by 2027 its customers would travel more than 8 billion miles in its EVs, cutting its carbon dioxide emissions by 3.5 million metric tons. To achieve these numbers, Hertz aims to turn a quarter of its fleet into electric vehicles before 2024. And eventually, become a 100% electric company before the turn of the decade.
GM, on its part, is relying on the new Ultium Cells battery cell plants in Ohio, Tennessee, and Michigan to meet the increasing demand. The special Hertz deliveries are set to start in the first quarter of next year; the first models to be delivered will be Chevrolet Bolt EVs and Bolt EUVs units. The increasing demand for EVs encourages General Motors to increase its annual production to over 1 million EVs in North America by 2025, putting it among the largest EV producers in the region.
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