The diesel engine maker Cummins and the truck makers Daimler Truck and Paccar are investing $2 billion in a Mississippi battery factory to manufacture batteries for 40,000 commercial trucks annually.
The joint venture plans to start cell production in 2027.
Situated in Mississippi’s Marshall County, the plant will become the nation’s largest dedicated to commercial vehicle batteries.
Forces behind the transition
The bold move responds to stringent government emission standards. Notably, beginning this year, California also mandates that 5% of all heavy-duty truck sales by a manufacturer and 9% of its other truck sales in the state be zero-emission vehicles. Other states are expected to follow the mandate, which would increase demand for batteries in the coming years.
Currently, battery-electric truck sales lag in the US and Canada due to cost, durability concerns, and limited charging infrastructure.