The U.S. Postal Service unveiled two battery-powered vehicles at an event announcing plans to introduce electric vehicles on December 20, 2022, at Postal Service headquarters in Washington, DC.
Kevin Dietch | Getty Images
President Donald Trump’s transition team is canceling a contract with the Postal Service to electrify its delivery fleet as part of a sweeping executive order targeting electric vehicles, according to three Reuters people familiar with the plan. The company is reportedly considering
The move could be unveiled in the early stages of the Trump administration, which begins on Jan. 20, and would set back President Joe Biden’s efforts to decarbonize U.S. transportation to combat climate change. This is in line with President Trump’s campaign promise. It’s unnecessary and potentially damaging to the economy.
Reuters previously reported that President Trump plans to eliminate the $7,500 consumer tax credit for electric vehicle purchases and rescind President Biden’s stricter fuel economy standards.
Sources told Reuters that President Trump’s transition team is currently considering how to terminate the Postal Service’s multibillion-dollar contract. oshkosh company and fordsupporting tens of thousands of battery-powered delivery trucks and charging stations.
Oshkosh shares fell about 5% to 105.65 per share following the Reuters report.
Mr. Oshkosh and Mr. Ford did not respond to requests for comment.
In 2023, Congress gave the USPS $3 billion as part of a $430 billion climate bill to purchase EVs and charging infrastructure. The company plans to purchase approximately 66,000 electric vehicles and build one of the largest electric vehicle fleets in the country by 2028.
As part of the effort, Oshkosh will deliver about 45,000 electric vehicles, with the remainder coming from mainstream automakers such as Ford, according to the USPS. The first batch of 14,000 chargers will be supplied by Siemens, ChargePoint and Blink, USPS said.
The USPS is an autonomous federal agency with its own board of directors, making termination legally difficult, but Trump’s policy goals will test the limits of executive power on issues ranging from trade to federal spending. It’s ready.
USPS did not respond to a request for comment.
Mr. Trump’s team did not comment directly on plans for the USPS contract.
“President Trump will protect the freedom of Americans to drive any car they choose, strengthen tough tariffs on Chinese car imports, and save America’s auto industry for generations to come. Trump No policy should be considered official unless it comes directly from the president,” Caroline Leavitt, a spokeswoman for the Trump transition team, said in a statement.
Biden issued an executive order on EVs in 2021, declaring that 50% of all new cars and light trucks will be zero-emission vehicles. To achieve this goal, Mr. Biden directed various federal agencies to undertake new emissions and fuel standards rules designed to increase the adoption of electric vehicles.
