Marketing making: US federal fleet to go electric

U.S. President Joe Biden has announced an ambitious plan to replacing the entire fleet of autos owned by the federal government with electric vehicles, as his administration takes steps to embrace clean energy.

The U.S. federal government owns some 645,000 vehicles total, according to a 2019 General Services Administration report, with more than 225,000 of those belonging to the U.S. Postal Service and more than 170,000 of those belonging to military agencies. Biden also promised to create a system that offers rebates or incentives for consumers to replace gas cars with electric vehicles — though there aren’t any more details about that plan at this moment.

Biden said the electrification of the fleet would create jobs for auto workers and that it would be “the largest mobilization of public investment in procurement infrastructure and R&D since World War Two.” Biden’s push toward electric vehicles is in line with environmental goals and policies he campaigned on that contrast sharply with actions of of the previous administration. Biden notably rejoined the international Paris climate agreement on his first day in office.

This sends a signal to the EV industry. The U.S is the the second largest automobile market worldwide, based on new car registrations. With increased government commitment to EV solutions will come increased market competition, experience and efficiencies, further driving down the cost of EVs and strengthening the business case for fleet transitions. 

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