REE Automotive’s P7-C Electric Trucks and Platforms Approved for $30,000 Incentive Per Vehicle in Massachusetts
REE Automotive's class 4 P7-C electric trucks have been approved for the Massachusetts MOR-EV incentive, providing $30,000 in savings per vehicle. Combined with federal tax credits, potential savings reach up to $70,000 per truck, lowering costs by 37%. The trucks are available for order through authorized dealers in Massachusetts and across the U.S. The incentive is accessible to private, nonprofit, educational, and government entities. REE is also applying for similar incentives in other states, including California.
- REE's P7-C trucks are eligible for up to $70,000 in combined state and federal incentives.
- Massachusetts MOR-EV incentive offers $30,000 in savings per vehicle.
- Cost reduction of 37% for REE's class 4 electric trucks.
- Incentives accessible to a wide range of entities including private, nonprofit, educational, and government.
- Potential for additional incentives in other states, including California.
- Incentive approval to Massachusetts, pending applications for other states.
- Potential risks if similar incentives are not approved in other states.
- Dependence on state and federal incentives for significant cost savings.
Insights
REE Automotive's recent approval for the $30,000 Massachusetts MOR-EV truck incentive stands out as a significant development, especially when combined with the federal commercial clean vehicle tax credit. This total potential savings of $70,000 per vehicle makes REE’s P7-C electric trucks considerably more affordable. For fleets, this translates to a 37% reduction in cost, a major incentive for transitioning to electric vehicles (EVs).
Financially, this approval could boost REE’s revenue and market share in the U.S. commercial EV market. With orders now available through regional dealers, this move should positively affect REE’s sales volumes in the short term.
However, the company's ability to fully capitalize on this opportunity will depend on its production capacity, supply chain stability and ongoing demand for EV conversions among commercial fleets. Investors should monitor how REE scales its operations and manages costs associated with higher production volumes.
The approval of REE's P7-C electric trucks for the Massachusetts MOR-EV truck incentive is a strategic win for the company, positioning it favorably in a rapidly growing market. The incentive not only lowers the purchase cost, making the technology more accessible but also aligns with broader state and federal goals for reducing emissions and promoting sustainable transportation.
Massachusetts' commitment to EV incentives reflects a broader trend among states to encourage the adoption of electric vehicles. Companies like REE that can secure such incentives are likely to see increased demand as fleet operators look to cut costs and meet regulatory requirements.
For a retail investor, this approval signals a positive outlook for REE in terms of market penetration and competitive positioning. It's essential to keep an eye on similar developments in other states which could further extend REE's market reach and solidify its presence in the U.S. EV market.
REE’s class 4 software-driven commercial EV was approved for the Massachusetts MOR-EV truck incentive which, when combined with the federal credit, could total up to
Available for orders now at regional dealers in Massachusetts and across the U.S.
TEL AVIV, Israel, May 16, 2024 (GLOBE NEWSWIRE) -- REE Automotive Ltd. (Nasdaq: REE), an automotive technology company and provider of full by-wire electric trucks and platforms, today announced it was approved for the Massachusetts MOR-EV truck incentive, which is valued at
“EV truck incentives such as the MOR-EV rebate in Massachusetts promote the adoption of electric commercial vehicles and help fleets electrify at an accelerated pace,” said Richard Colley, VP of Government & Regulatory Affairs at REE Automotive. “In addition to MOR-EV incentives, we have submitted applications to become eligible for other incentives in various states, including California HVIP and we expect updates on other states soon.”
Both private and nonprofit entities as well as educational institutions and local, municipal and state governments are eligible to take advantage of the incentive.
To learn more about REE Automotive’s patented technology and unique value proposition that position the company to break new ground in e-mobility, visit www.ree.auto.
About REE Automotive
REE Automotive (Nasdaq: REE) is an automotive technology company that allows companies to build electric vehicles of various shapes and sizes on their modular platforms. With complete design freedom, vehicles Powered by REE® are equipped with the revolutionary REEcorner®, which packs critical vehicle components (steering, braking, suspension, powertrain and control) into a single compact module positioned between the chassis and the wheel. As the first company to FMVSS certify a fully by-wire vehicle in the U.S., REE’s proprietary by-wire technology for drive, steer and brake control eliminates the need for mechanical connection. Using four identical REEcorners® enables REE to make the industry’s flattest EV platforms with more room for passengers, cargo and batteries. REE platforms are future proofed, autonomous capable, offer a low total cost of ownership (TCO), and drastically reduce the time to market for fleets looking to electrify. To learn more visit www.ree.auto.
Media Contact
Malory Van Guilder
Skyya PR for REE Automotive
+1 651-335-0585
ree@skyya.com
Investor Contact
Kamal Hamid
VP Investor Relations | REE Automotive
+1 303-670-7756
investors@ree.auto
Caution About Forward-Looking Statements
This communication includes certain forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, but are not limited to, statements regarding REE or its management team’s expectations, hopes, beliefs, intentions or strategies regarding the future. For example, REE is using forward-looking statements when it discusses vehicle cost reduction amounts due to any incentive programs and any additional incentive programs that REE vehicles may qualify for in the future. In addition, any statements that refer to plans, projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words “aim” “anticipate,” “appear,” “approximate,” “believe,” “continue,” “could,” “estimate,” “expect,” “foresee,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “seek,” “should,” “would”, “designed,” “target” and similar expressions (or the negative version of such words or expressions) may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. All statements, other than statements of historical facts, may be forward-looking statements. Forward-looking statements in this communication may include, among other things, statements about REE’s strategic and business plans, technology, relationships and objectives, including its ability to meet certification requirements, the impact of trends on and interest in our business, or product, intellectual property, REE’s expectation for growth, and its future results, operations and financial performance and condition.
These forward-looking statements are based on REE’s current expectations and assumptions about future events and are based on currently available information as of the date of this communication and current expectations, forecasts, and assumptions. Although REE believes that the expectations reflected in forward-looking statements are reasonable, such statements involve an unknown number of risks, uncertainties, judgments, and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by forward-looking statements. These factors are difficult to predict accurately and may be beyond REE’s control. Forward-looking statements in this communication speak only as of the date made and REE undertakes no obligation to update its forward-looking statements, whether as a result of new information, future developments or otherwise, should circumstances change, except as otherwise required by securities and other applicable laws. In light of these risks and uncertainties, investors should keep in mind that results, events or developments discussed in any forward-looking statement made in this communication may not occur.
Uncertainties and risk factors that could affect REE’s future performance and could cause actual results to differ include, but are not limited to: REE’s ability to commercialize its strategic plan, including its plan to successfully evaluate, obtain regulatory approval, produce and market its P7 lineup; REE’s ability to maintain and advance relationships with current Tier 1 suppliers and strategic partners; development of REE’s advanced prototypes into marketable products; REE’s ability to grow and scale manufacturing capacity through relationships with Tier 1 suppliers; REE’s estimates of unit sales, expenses and profitability and underlying assumptions; REE’s reliance on its UK Engineering Center of Excellence for the design, validation, verification, testing and homologation of its products; REE’s limited operating history; risks associated with building out of REE’s supply chain; risks associated with plans for REE’s initial commercial production; REE’s dependence on potential suppliers, some of which will be single or limited source; development of the market for commercial EVs; risks associated with data security breach, failure of information security systems and privacy concerns; risks related to lack of compliance with Nasdaq’s minimum bid price requirement; future sales of our securities by existing material shareholders or by us could cause the market price for the Class A Ordinary Shares to decline; potential disruption of shipping routes due to accidents, political events, international hostilities and instability, piracy or acts by terrorists; intense competition in the e-mobility space, including with competitors who have significantly more resources; risks related to the fact that REE is incorporated in Israel and governed by Israeli law; REE’s ability to make continued investments in its platform; the impact of the COVID-19 pandemic, interest rate changes, the ongoing conflict between Ukraine and Russia and any other worldwide health epidemics or outbreaks that may arise and adverse global conditions, including macroeconomic and geopolitical uncertainty; the global economic environment, the general market, political and economic conditions in the countries in which we operate; the ongoing military conflict in Israel; fluctuations in interest rates and foreign exchange rates; the need to attract, train and retain highly-skilled technical workforce; changes in laws and regulations that impact REE; REE’s ability to enforce, protect and maintain intellectual property rights; REE’s ability to retain engineers and other highly qualified employees to further its goals; and other risks and uncertainties set forth in the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in REE’s annual report filed with the U.S. Securities and Exchange Commission (the “SEC”) on March 27, 2024 and in subsequent filings with the SEC.
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/50449f91-07ac-4635-874b-1b98585e692d.
FAQ
What is the Massachusetts MOR-EV incentive for REE's electric trucks?
How much can fleets save on REE's electric trucks with combined incentives?
What percentage cost reduction can be achieved on REE's P7-C trucks with the incentives?
Who is eligible for the Massachusetts MOR-EV incentive for REE's trucks?
Where can the REE P7-C trucks be ordered?
Is REE Automotive seeking incentives in other states?
