Volvo Penta and terminal tractor manufacturer TICO partner in electromobility

Volvo Penta and TICO are taking the first step in their ambitions to introduce an emission-free, electric terminal tractor.

This partnership and project represent another milestone in Volvo Penta’s electromobility journey and aligns with its wider sustainability ambitions. 

In line with Volvo Penta’s wider sustainability ambitions, the company has taken another step in its emobility journey together with TICO, a North American pioneer in fleet services, terminal services, and terminal tractor manufacturing. The two companies have announced a joint effort in the development of emissions-free, fully-electric terminal truck prototypes. Terminal tractors – used in ports, distribution centers, and rail terminals – represent a viable future application for EVs.

“Volvo Penta's vision is to be a leader in sustainable power solutions and we are working closely with our customers to transform the industry and drive the research and development of sustainable technology. It’s an exciting journey ahead together with TICO,” says Heléne Mellquist, CEO and President of Volvo Penta. 

TICO sought to team up with a trusted and technologically advanced electric powertrain solutions provider. One that would not only take a full system approach when providing a reliable electric driveline but also offer deep technical expertise throughout the entire design and development stages.

“TICO has always been at the forefront of bringing alternative powertrain solutions to the market,” says Frank Tubbert, General Manager, TICO. “We recognized the need for an EV application and wanted a partner who could deliver electric power solutions, characterized by proven technology and backed by a trusted brand and superior support. We found all this and more in Volvo Penta.” 

As part of the Volvo Group, Volvo Penta has a unique position in helping its customers within the area of electromobility. Its electric driveline draws on tested and proven technology from Volvo Group. Volvo Penta is already working with OEM Rosenbauer, in the development of an electric fire truck. This electric fire truck is being put to use in real-life call-outs in Berlin and is scheduled for market introduction later this year. 

“We respect Volvo Group’s global brand and more importantly so do our customers,” says Tubbert. “We work with many of the largest fleets in the US that already use the Volvo Group powertrain. We know that this first-class company will remain at the edge of key technology for the future; including in areas such as the battery.”

In addition to its manufacturing operations, TICO also manages a fleet of more than 1,500 terminal tractors, creating a unique business model as both an OEM and an operator. 

“Working closely with customers is a cornerstone of our approach to bringing new solutions to market,” explains Martin Bjuve, President of Volvo Penta of the Americas. “It’s a truly transformational partnership, where TICO gives us an inherent understanding of the specific needs and challenges of fleet operators to ensure we’re developing a viable electric solution for the long-run.”

TICO has experienced strong growth over the past few years and continues to diversify its powertrain portfolio. Together the two companies will start building the first prototypes and begin testing this year. Additionally, TICO is also partnering with Volvo Penta to offer an alternative diesel powertrain within its existing line-up.