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PepsiCo To Receive Electric Trucks From Tesla In Q4

PepsiCo Inc will get its first set of Tesla Inc electric trucks in the fourth quarter, the packaged food maker's top boss Ramon Laguarta said in a interview to CNBC on Monday.

The maker of Mountain Dew soda and Doritos chips in December 2017 reserved 100 of Tesla's electric semi trucks as it sought to reduce fuel costs and fleet emissions.

Transportation accounts for 10% of PepsiCo's gas emissions, according to Laguarta.

The company had previously said it aims to use the trucks to ship snack foods and beverages between manufacturing and distribution centers as well as to retailers.

PepsiCo and Tesla did not immediately respond to Reuters requests for comments.

Electric Trucks

Walmart Inc, fleet operator J B Hunt Transport Services Inc, and food distributor Sysco Corp have also placed orders for Tesla's semi-trucks.

Last month, rental car firm Hertz said it would order 100,000 Tesla vehicles by the end of 2022.

Read More: Pandemic E-Commerce Surge Spurs Race For 'Tesla-Like' Electric Delivery Vans

Last month, PepsiCo Inc raised its full-year revenue forecast, as the easing of pandemic restrictions boosted demand for sodas at theatres and restaurants.

The cola giant reported a double-digit net revenue growth in its latest quarter from beverage sales to food-service outlets and a 7% growth in sales in its North America Beverage unit - its largest business.

In September, PepsiCo pledged to cut back on the use of virgin plastic and expand its SodaStream carbonated-water business to more markets amid growing calls to combat climate change, although some environmental groups want the company to do more.

News by Reuters, edited by ESM. For more Technology news, click here. Click subscribe to sign up to ESM: European Supermarket Magazine.

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