According to sources who spoke to Reuters, the transition team of President-elect Trump is considering canceling the contract for the United States Postal Service (USPS) fleet of electric delivery trucks worth billions of dollars. This move is part of a series of executive orders targeting electric vehicles, and the plan could be announced early in the new government’s term on January 20.
The news aligns with Trump’s campaign promise to overturn President Biden’s policies aimed at decarbonizing American transportation to address climate change. Trump has previously stated that this agenda is unnecessary and could potentially harm the economy.
Sources indicated that Trump’s transition team is reviewing how to revoke the USPS’s multi-billion dollar contracts, including agreements with American specialty vehicle manufacturer Oshkosh Corp. and Ford Motor Company, which involve tens of thousands of battery-powered transport trucks and charging stations.
Under the plan, USPS is set to purchase approximately 66,000 electric vehicles, aiming to build one of the largest electric vehicle fleets in the country by 2028.
Oshkosh Corp. is expected to deliver around 45,000 electric vehicles, with the remainder provided by mainstream automakers like Ford. The initial 14,000 charging stations will be supplied by Siemens, ChargePoint, and Blink.
Neither the United States Postal Service, Oshkosh Corp., nor Ford Motor Company responded to requests for comments.
Following the news, Oshkosh Corp.’s stock price dropped by approximately 4.94% to $106.21 per share.