Pepsi Buys 100 Tesla Trucks: Do They 'Have the Right One, Baby?'

Matt Posky
by Matt Posky

PepsiCo nearly doubled the number of new electric big rigs Tesla will have to manufacture after reserving 100 units. Adding to the list of orders by more than a dozen companies, including other massive companies like Wal-Mart and Anheuser-Busch, Pepsi is helping Tesla make a case for EVs with a fixation on freight.

Last year, the food brand stated it wanted to cut its greenhouse gas emissions by at least 20 percent by 2030. With a fleet of over 10,000 units, semi trucks might be a good place to seek improvements. Granted, depending upon how it’s generated, pulling energy from the grid isn’t a perfect solution. But, at that point, it’s someone else’s problem.

Like the rest of the companies reserving Tesla’s truck, this is something of a trial run. Reuters reported that PepsiCo intends to deploy the semis for shipments between manufacturing and distribution facilities and to retailers within the 500-mile range promised by Tesla CEO Elon Musk. Presumably, if everything goes well, the company will order more. Mike O‘Connell, senior director of North American supply chain for PepsiCo subsidiary Frito-Lay, says he sees a wide range of applications for lighter loads (like chips) or shorter shipments of beverages.

However, Pepsi will have to wait before it can begin its field research and discover if Tesla’s truck was “ the right one, baby.” Musk doesn’t expect the electric rigs to enter into production until 2019.

O‘Connell didn’t specify how much PepsiCo paid to reserve the vehicles, when it placed its pre-orders, or whether it plans to lease the semis or purchase them. Tesla initially asked $5,000 per truck for pre-orders but Reuters claims the amount had risen to around $20,000 more recently.

[Image: Tesla Motors]

Matt Posky
Matt Posky

A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.

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  • CKNSLS Sierra SLT CKNSLS Sierra SLT on Dec 12, 2017

    So-all these deposits for this "VAPOR-WARE" semi will help keep Tesla afloat a little while longer. What makes anybody think if they can't produce the Model 3 they will be able to produce a number of Semis? The pyramid continues... (queue SCE)

  • Tylanner Tylanner on Dec 12, 2017

    Trucking is cool again...

  • ArialATOMV8 All I hope is that the 4Runner stays rugged and reliable.
  • Arthur Dailey Good. Whatever upsets the Chinese government is fine with me. And yes they are probably monitoring this thread/site.
  • Jalop1991 WTO--the BBB of the international trade world.
  • Dukeisduke If this is really a supplier issue (Dana-Spicer? American Axle?), Kia should step up and say they're going to repair the vehicles (the electronic parking brake change is a temporary fix) and lean on or sue the supplier to force them to reimburse Kia Motors for the cost of the recall.Neglecting the shaft repairs are just going to make for some expensive repairs for the owners down the road.
  • MaintenanceCosts But we were all told that Joe Biden does whatever China commands him to!
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