Mullen's Bollinger Motors Expands EV Network with Bergey's Truck Centers Partnership

Mullen Automotive (NASDAQ: MULN) is making significant strides in the electric vehicle (EV) industry through its subsidiary, Bollinger Motors. The company has announced a partnership with Bergey's Truck Centers, a move that substantially expands Bollinger's commercial sales and service network into the mid-Atlantic region, covering Delaware, Maryland, New Jersey, and Pennsylvania. This expansion is a notable development in the EV sector, particularly for commercial vehicles, as it increases accessibility and support for fleet operators considering the transition to electric.

The partnership with Bergey's Truck Centers brings Bollinger's national dealer network to over 50 locations, a considerable footprint that enhances the company's ability to serve a broader customer base. This growth is crucial for the adoption of electric commercial vehicles, as it addresses one of the key concerns for potential buyers: the availability of service and support infrastructure.

Bergey's has already placed an initial order for Bollinger's all-electric B4 trucks, which were designed with input from fleet operators to ensure they meet industry needs for safety and capability. The commencement of deliveries in October marks a significant milestone, demonstrating that Bollinger is moving from development to actual production and distribution of its vehicles.

This collaboration is particularly noteworthy as it comes on the heels of Bollinger's recent production launch and achievement of important regulatory milestones. These developments suggest that Bollinger is gaining momentum in the competitive EV market, particularly in the commercial sector where the demand for sustainable transportation solutions is growing.

The implications of this partnership extend beyond just Bollinger and Bergey's. It signals a broader shift in the commercial vehicle industry towards electrification. As more dealerships and service centers become equipped to handle electric commercial vehicles, it lowers the barriers to entry for fleet operators considering the switch to EVs. This could accelerate the adoption of electric commercial vehicles, contributing to reduced emissions in the transportation sector.

For Mullen Automotive, this partnership represents a strategic move to strengthen its position in the EV market. By expanding its subsidiary's reach, Mullen is diversifying its opportunities and potentially increasing its revenue streams. The company's focus on commercial EVs, as evidenced by its production of the Mullen ONE Class 1 EV cargo van and Mullen THREE Class 3 EV cab chassis truck, aligns with growing market demand for sustainable fleet solutions.

The expansion of Bollinger's dealer network also comes at a time when government incentives for EVs are becoming more favorable. Mullen's recent IRS approval for federal EV tax credits on its commercial vehicles, offering up to $7,500 per vehicle for eligible customers, makes their products more attractive to potential buyers. Additionally, the California Air Resources Board (CARB) approval for a cash voucher of up to $45,000 for the Mullen THREE Class 3 EV truck further enhances the financial appeal of these vehicles.

As the EV market continues to evolve, partnerships like the one between Bollinger Motors and Bergey's Truck Centers play a crucial role in building the infrastructure necessary for widespread adoption. This collaboration not only expands the reach of electric commercial vehicles but also contributes to the broader goal of reducing carbon emissions in the transportation sector, a key objective in the fight against climate change.