Mullen Automotive Secures Order for Two Class 3 Electric Trucks from Westland Floral

Mullen Automotive (NASDAQ: MULN), a Southern California-based electric vehicle manufacturer, has made a notable advancement in the commercial EV sector with a new order from Westland Floral for two of its Class 3 electric trucks, known as the Mullen THREE. This development signifies a growing interest in electric vehicles for commercial applications, particularly in the floral industry where efficient and environmentally friendly transportation is increasingly valued.

The Mullen THREE, designed specifically for urban last-mile delivery, offers several advantages that make it attractive for businesses like Westland Floral. With a tight 38-foot turning diameter, it is well-suited for navigating city streets and making deliveries in congested areas. The vehicle's payload capacity of over 5,800 pounds ensures it can handle substantial cargo loads, crucial for floral distribution. Additionally, its easy upfitting capabilities allow for customization to meet specific business needs.

The trucks ordered by Westland Floral have been customized by Phenix Truck Bodies in California, demonstrating the flexibility of Mullen's vehicles to adapt to specialized requirements. The order was facilitated through Pritchard Commercial, indicating Mullen's expanding distribution network, which now includes seven dealers across key U.S. markets.

A significant aspect of this purchase is the inclusion of California HVIP (Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project) incentives. These incentives can provide up to $45,000 in cash vouchers at the time of vehicle purchase, substantially reducing the initial cost for buyers. This financial benefit, combined with the potential for long-term operational savings, makes the transition to electric vehicles more attractive for businesses.

Mullen's strategic positioning in the EV market is further strengthened by its recent IRS approval for federal EV tax credits, offering eligible customers up to $7,500 per vehicle. This, coupled with state incentives like California's HVIP program, creates a compelling financial case for businesses to adopt electric vehicles.

The company's manufacturing capabilities are expanding, with two U.S.-based vehicle plants in Tunica, Mississippi, and Mishawaka, Indiana. The recent approval of Foreign Trade Zone status for the Tunica facility offers additional benefits, including duty deferment and elimination on exported vehicles, potentially enhancing Mullen's competitive edge in the global market.

This order from Westland Floral is indicative of a broader trend in the commercial sector towards electrification. As businesses increasingly prioritize sustainability and seek to reduce their carbon footprint, electric vehicles like the Mullen THREE are becoming more appealing. The floral industry, in particular, may benefit from the positive image associated with using eco-friendly transportation for their products.

For Mullen Automotive, this order represents not just a sale but a validation of their product in a real-world commercial setting. It could pave the way for more orders from the floral industry and similar sectors that require efficient, clean urban delivery solutions. As the company continues to expand its dealer network and production capabilities, such orders may become more frequent, potentially accelerating the adoption of electric commercial vehicles across various industries.

The implications of this development extend beyond Mullen and Westland Floral. It signals a shift in the commercial vehicle market, where electric options are becoming increasingly viable and attractive. As more businesses adopt EVs, it could lead to improved urban air quality, reduced noise pollution, and lower overall carbon emissions from the transportation sector. This transition also aligns with various government initiatives aimed at reducing greenhouse gas emissions and promoting sustainable transportation solutions.