Nikola inventory sinks to a 52-week low, a NHTSA grievance claiming the gas cell shuts down unpredictably, and one among hydrogen’s early adopters stays unconvinced. Is it time for Nikola to throw within the towel on hydrogen?
William Corridor’s Coyote Container firm made headlines earlier this 12 months, when it grew to become the primary firm to efficiently full a 400-mile supply in a Nikola Tre semi truck powered by a hydrogen gas cell.
Corridor, Managing Member and Founding father of Coyote Container, drove the hydrogen Nikola over the hilly, 400-mile route that took the truck and its 17.7 ton trailer via California’s Altamont Go and Grapevine Canyon on the I-5 interstate between the Port of Oakland and the Port of Los Angeles in Lengthy Seashore. The journey appeared like a ringing endorsement for the hydrogen-powered vans. Practically a 12 months later, although, William appears to have soured on the early adopter expertise, particularly citing higher-than-anticipated working prices, gas prices, weight limitations, and guarantee considerations.
Coyote Container’s Nikola
“The truck prices 5 to 10 occasions that of a regular Class 8 drayage [truck],” Corridor instructed Clear Trucking. “On high of that, you pay 5 to 10 occasions the Federal Excise Tax (FET) and native gross sales tax, [which comes to] roughly 22%. When you add the ten% reserve not coated by any voucher program, you might be at 32%. Thirty-two % of $500,000 is $160,000 for the trucker to someway pay [out of pocket].”
Coyote Container isn’t alone in expressing considerations concerning the practicality of hydrogen vans on the whole, however there are considerations about Nikola’s hydrogen semi truck, specifically.
In an official NHTSA grievance made in opposition to one Nikola HFCEV, the truck skilled 5 roadside propulsion outages leading to three towings and two cases the place the truck needed to limp house on battery energy. The failure was unpredictable, slicing off energy whereas the car confirmed between 20 and 140 miles left of FC vary.
The primary such incident occurred with about 900 miles on the truck’s odometer, whereas the latest occurred at 28,340 miles. You possibly can learn extra concerning the Nikola NHTSA grievance, under – or simply learn Corridor’s abstract of the state of affairs, in his personal phrases: I’ve handled extra tow vans within the final 10 months than in my complete 62 years on this Earth.
NHTSA ID Nu. 11621826
Whereas no recall has been issued for the above situation but, the corporate has been no stranger to recollects previously, and could also be delicate about issuing one other one as its inventory reaches a brand new 52-week low (extra on that in a minute).
Regardless, the corporate issued a technical service bulletin (TSB) on October twenty ninth, simply 13 days after the official NHTSA grievance was filed.
The TSB itself mentions that, “a coolant becoming could come free as a consequence of extra pressure on a coolant line. Extension of the hose returns the stress to an applicable stage,” however whereas it’s unclear whether or not or not the TSB is meant to handle the propulsion system, what is obvious is that the TSB impacts VINs 001-266 – successfully all of the Nikola hydrogen semis presently on the street (as of September 30, Nikola reported promoting 235 hydrogen semis).
And as for what it prices to refill a type of 266 hydrogen semis? Corridor says it’s unimaginable to inform. “Nobody will inform you what the H2 gas prices,” he mentioned. “It is because it’s being sponsored by the truck producers by artificially elevating truck pricing. It is a extreme market distortion.”
Corridor additionally mentioned the added weight of the truck’s hydrogen system, in comparison with a traditional semi, was additionally hurting his potential to function the vans. “A Nikola Tre FCEV weighs 27,000 kilos versus my heaviest [diesel] sleeper weighing 19,400 kilos,” he instructed Clear Trucking, in that very same interview. “Most drayage vans weigh between 16,000 to 18,000 kilos. Shippers max out cargo at any time when they will, so I’ve to always swap to a diesel to be able to be street authorized.”
The next GVWR score for ZEV vans, particularly on drayage services and on off-highway routes with decrease relative speeds, might assist mitigate that situation with out including extreme threat at freeway speeds.
That received’t occur in a single day, nevertheless, and Corridor is shedding persistence.
The Coyote Container founder took to LinkedIn to vent. There, he shared some ideas on a In search of Alpha article calling Nikola a, “sturdy promote.” Corridor wrote, “I’ve skilled an incredible quantity of guarantee restore down time within the final 14 weeks solely making 5 of my weekly journeys from Oakland to Lengthy Seashore. Coping with battery failures and gas cell shutdowns.”
Dave Baiocchi, Basic Supervisor of ETHERO Truck + Power (the promoting vendor), selected to reply to Corridor publicly, writing in protection of Nikola, “I believe it’s honest to say that as a particularly early adopter of this expertise, and with one of many first items off the meeting line this truck has served you nicely.”
Nikola just lately celebrated the manufacturing of its three hundredth hydrogen semi truck on the firm’s Coolidge, Arizona facility. Nikola’s third-quarter internet income reached $25.2 million, falling in need of Wall Avenue estimates of $37.2 million. The miss was blamed on the surprising prices related to the repurchasing of 20 battery-electric Nikola Tre vans in October.
Electrek’s Take
Regardless of what may be perceived because the destructive tone of this text, I would like Nikola to succeed. I need to see a brand new American truck firm work out a method to succeed, and a method to proceed to develop. That mentioned, having proxy arguments together with your clients about very actual, very regarding points on social media – and thru your sellers – isn’t the way in which to do this.
We (I) reached out to Nikola employees via each e-mail and LinkedIn on Tuesday relating to these info and different (as but) unsubstantiated rumors about its 2025 FCHEV manufacturing plans, however obtained no response as of EOD, Friday, when this story went reside.
SOURCES | IMAGES: Gasoline Cell Works, NHTSA, Clear Trucking, Investing, Electrical-Automobiles.com, In search of Alpha, and Coyote Container, by way of William Corridor (hyperlinks all through the article).
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