There’s no getting around the fact many people think the U.S. Postal Service’s new delivery vehicle looks a little weird.
There’s also no denying that Oshkosh Defense’s $482 million initial contract to produce tens of thousands of them at its Spartanburg County plant will have not only a significant impact on the local economy but produce substantial environmental benefits through the biggest postal-fleet upgrade in decades.
NGDV takes shape
The USPS awarded production of its Next Generation Delivery Vehicle to Wisconsin-based Oshkosh Defense in February 2021 as part of a 10-year plan to improve the agency’s financial and customer-service performance through a design multibillion dollar investment in people and improved technology.
Oshkosh Defense subsequently announced in June 2021 it would invest $155 million and create 1,000 new jobs at a facility at Spartanburg County’s Flatwood Industrial Park and confirmed in March it expects production to begin later this year and ramp up in 2024.
While some may call the NGDV’s design odd, it’s actually meant to make the job of postal delivery drivers safer and more comfortable, according to Don Bent, Oshkosh Defense chief operating officer.
“The USPS Next Generation Delivery Vehicle is designed to support the carriers who will depend on it,” Bent said. “We built in the safety and ergonomic features that carriers deserve, such as a driver airbag, front and rear automatic braking, superior direct visibility, low step-in heights, a 360-degree camera system, adjustable mail tray, and large door openings.”
The Spartanburg plant will produce a combination of zero-emission battery electric and fuel-efficient, low-emission internal combustion engine vehicles. The contract calls for production of up to 165,000 NGDVs over the next decade.
In a December 2022 announcement introducing an NGDV prototype and highlighting plans to modernize the postal service’s aging fleet of more than 200,000 vehicles, Postmaster General Louis DeJoy said it would significantly cut the amount of carbon released during mail delivery.
DeJoy said existing vehicles “are best suited for museums rather than our hard-working carriers” and added of the 100,000 new vehicles the service expects to order in the next five years, 66,000 will be electric.
Of the initial order of 60,000 NGDVs from Oshkosh, 75% are expected to be electric, DeJoy said.
Choosing Oshkosh Defense
Oshkosh Defense is no stranger to major government contracts and is perhaps more widely known for the armored vehicles it makes for the Department of Defense. But it also makes a range of specialty service vehicles designed to handle some of the most challenging environments on the planet.
According to Bent, this experience has given the company and its engineers the expertise to design vehicles that not only perform the job for which they were made but are designed with the users in mind.
While the NGDV is designed to reduce the USPS fleet’s carbon emissions, it will also help mail carriers work more efficiently and be more comfortable while doing so. The large windshield and blunt hood are designed to maximize driver visibility, while a 360-degree camera system and front- and rear-collision avoidance sensors will help keep drivers safe.
The company’s decision to manufacture the new vehicles in South Carolina was not without controversy as some Wisconsin leaders lobbied the firm last year to make the NGDVs in their state. But the company stands by its choice to build in the Palmetto State, in part because of the pool of skilled labor and the state’s proven track record of supporting advanced automotive manufacturing, according to Bent.
“We are excited about the energy and knowledge that workers in the Upstate have,” he said. “In this area, the strong work ethic and desire to serve and protect the people in our country are consistent with the values that Oshkosh Defense believes in.”
Moving the market
While producing the NGDV will have a major impact on the Postal Service’s fleet efficiency, more broadly it has the potential to move the entire electric vehicle market in this country.
Such a large contract — the total expenditure for the USPS modernization initiative is expected to amount to $9.6 billion, according to DeJoy — can bring to bear economies of scale that will likely spur innovation and reduce costs.
Oshkosh Defense has invested in electrification for nearly 30 years starting with the introduction of its first electric boom lift in the 1990s, according to Bent. The company continues to develop electric vehicles and is currently producing fire trucks, refuse-collection vehicles, concrete mixers and other vehicles for customers.
When completely configured later this year, the Spartanburg plant will incorporate innovative features to aid the production of the tens of thousands of NGDVs expected to roll off the assembly line, Bent said.
“We are proud to be making a difference with our Next Generation Delivery Vehicles, and we’re proud to be building them in Spartanburg, South Carolina,” he said.
NGDV fast facts
- $482 million initial contract to produce 60,000 vehicles and up to 165,000 within 10 years
- Will be mix of zero-emission battery electric vehicles and fuel-efficient, low-emission internal combustion engine vehicles
- Hiring is underway for 1,000 workers at the company’s Spartanburg County plant, 789 Flatwood Industrial Dr., Spartanburg
