Nikola and Total Transportation Services Inc. Sign LOI for 100 Nikola Trucks

Nikola Corporation, a global leader in zero-emissions transportation and infrastructure solutions, announced a collaboration with Total Transportation Services Inc. (TTSI), one of Southern California's prominent port trucking companies, to expedite zero-emission transportation at the port of Los Angeles/Long Beach. The collaboration includes vehicle trials and a Letter of Intent (LOI) to order 100 Nikola Class 8 battery-electric vehicle (BEV) and fuel-cell electric vehicle (FCEV) semi-trucks. The collaboration is subject to negotiation and execution of definitive documentation acceptable to the parties.

The Nikola Tre BEV is designed for local deliveries up to 350 miles. The Nikola Tre FCEV truck is targeted for distances up to 500 miles, and is expected to address the majority of the North American regional market, especially when additional freight hauling capacity and quick fueling are required by fleet operators.

“The Nikola Tre trucks are exactly the type of zero-emission solution we need to be using at the port,” said Vic LaRosa, president of TTSI. “Our trucks operate for 18-20 hours a day making the benefits of the Nikola portfolio a perfect match for our needs. The expected availability of the BEV aligns with our desire to reach our sustainability goals quickly and the FCEV is ideal for longer-range applications. Nikola's value proposition of the truck and hydrogen fuel bundled together made this partnership even more appealing to our leadership team.”

The LOI is for 100 zero-emission trucks beginning with a four-truck pilot slated to start in the first half of 2022 and consisting of two BEVs and two FCEVs. Based on satisfactory completion of the vehicle trials and subject to TTSI obtaining certain government funding, thirty BEVs are projected to follow later in 2022, and 70 FCEVs are anticipated to start in 2023.

According to TTSI, in any given month 13,000 to 14,000 trucks call at the port of Los Angeles/Long Beach, emitting roughly 2,600 tons per year of smog-causing nitrogen-oxide emissions. This location and transportation use case represent one of the largest opportunities in California to make a significant impact for the transition to sustainable transportation. TTSI has been on the forefront of this transition with early adopter status and will partner with Nikola Corporation to transition both BEVs and FCEVs into operation on a trial basis.

“TTSI's decision to utilize both Nikola BEV and FCEV vehicles speaks to their forward-looking and strategic mindset in covering a variety of hauling distances and loads, while still contributing to California's clean-air initiatives,” said Nikola's Global Head of BEV business unit, Michael Erickson. “We applaud TTSI's commitment to a zero-emission future and are eager to help fulfill that vision with Nikola zero-emission vehicles.”

“The drayage and port operations present an excellent use case for BEV and FCEV trucks where operational efficiency cannot be compromised,” added Nikola's Global Head of FCEV business unit, Jason Roycht. “We hope to jointly demonstrate with TTSI the advantages of both technologies during vehicle trials at the port of Los Angeles/Long Beach. The planned conversion of the TTSI fleet over the next several years will provide a roadmap to implement zero-emission trucking that we hope many in Southern California will follow.“