Subscribe Login
Supply Chain

PepsiCo Confirms Tesla Semi Truck Deliveries To Start In December

PepsiCo Inc confirmed on Friday that it would take delivery of Tesla Inc's Semi trucks on 1 December, becoming the first company to receive its orders of the much-delayed electric vehicle.

PepsiCo said in a statement that the trucks would be used at its Frito-Lay plant in Modesto, California, and its beverages factory in Sacramento. 

PepsiCo has been aiming to reduce fuel costs and emissions, and reserved 100 of the trucks in 2017.

US companies have pledged to take action to reduce their impacts on the environment, with PepsiCo aiming to achieve net-zero emissions by 2040.

Transportation accounts for roughly 10% of the Mountain Dew maker's greenhouse gas emissions, Ramon Laguarta, CEO, PepsiCo has said. Its company-owned fleet traveled 1.2 billion miles last year.

'Super Fun To Drive'

Elon Musk, chief executive officer, Tesla announced the start of production of the Semi truck late on Thursday on Twitter, saying the vehicles have a 500-mile (805 km) range and are "super fun to drive."

Musk initially said the trucks would be in production by 2019 but the timeline has been delayed by years due to parts shortages.

Orders Placed 

Other companies including United Parcel Service Inc, Walmart Canada and food service distributor Sysco Corp had also placed preorders for Tesla's Semi trucks.

Walmart, UPS and Sysco did not respond to requests for comment on the status of their orders or delivery timings.

Neither Musk nor Pepsi disclosed the number of Semis that would arrive at the packaged food company in December.

On its website, PepsiCo said it expects 15 of its trucks to deploy by the end of this year.

Read More: PepsiCo To Take Delivery Of Tesla Electric Trucks In Fourth Quarter: Reports

News by Reuters, edited by Donna Ahern, Checkout. For more supply chain stories, click here. Click subscribe to sign up for the Checkout print edition.

Stay Connected With Our Weekly Newsletter

Processing your request...

Thanks! please check your email to confirm your subscription.

LIMITED TIME OFFER: 20% Off Our Premium Subscription
Enjoy full access to all website and app content, our weekly email news digest, and to Checkout Magazine 12 times a year (including our Top 100 Brands 2022 edition).
LIMITED TIME OFFER: 20% Off Our Premium Subscription
LIMITED TIME OFFER: 20% Off Our Premium Subscription
Enjoy full access to all website and app content, our weekly email news digest, and to Checkout Magazine 12 times a year (including our Top 100 Brands 2022 edition).
LIMITED TIME OFFER: 20% Off Our Premium Subscription