NEW YORK, Oct. 23, 2019 /PRNewswire/ -- Ideanomics' (NASDAQ: IDEX) ("Ideanomics" or the "Company"), Mobile Energy Group (MEG) is pleased to announce new activities in the heavy truck category of Electric Vehicles (EV), as part of an ongoing effort to identify commercial vehicle activities where significant pollution reduction can be achieved by eliminating fossil fuels. In addition to the environmental considerations, EV heavy trucks offer additional benefits such as reduced cost of ownership, as well as labor cost savings and increased safety by providing autonomous piloting in closed working environments. Ideanomics' MEG, in conjunction with leading battery technology partners, and other associated MEG partners, has recently invested significant time in the heavy truck category, resulting in successful testing of the EV concept in a number of mines.
"After in-depth conversation and research, conducted by MEG and our partners, with two of China's leading mining provinces, Inner Mongolia and Yunnan, we have determined that they have a combined sales target for heavy trucks and the required batteries of approximately US$14 Billion (RMB100 Billion) over the next three years. This is exactly the type of market at scale that our MEG group brings for the benefit of our shareholders and consortium partners," said Dr. Bruno Wu, Chairman of Ideanomics.
The diesel-powered truck is the backbone of heavy commerce, and despite regulations to reduce emissions in Europe, North America, and Japan since the mid-2000s, it has continued to be a significant contributor to fossil fuel emissions in the transportation sector. Despite heavy investment and some technological advancement, the development of low-emission and efficient diesel engines for heavy industry has proved elusive. In contrast, the rapid advancement of battery technology for commercial trucks means there is now a viable clean energy alternative to the diesel engine which can meet the rigors and demands of the heavy truck sector.
"Closed work environments, such as mining, shipping ports, and airports, are an interesting market sector for MEG, due to their uniqueness, size, and scale. Strategic planning discussions with several provinces has revealed an opportunity that MEG is perfectly positioned for in terms of servicing heavy truck fleet operators, whether state-owned or private. If you combine the efficiency of charging and the reduced maintenance overhead of EV heavy trucks, it's a compelling financial proposition versus the current refueling and maintenance costs of their combustion engine counterparts. These types of benefits, coupled with our innovative financing programs for both truck and battery, means significant savings for heavy truck fleet operators – even before consideration of environmental factors for the rural environments where mining and other heavy industry takes place. We anticipate our heavy truck activities to begin in Q2 of 2020 and, in the meantime, we will be working with our partners to develop and deploy the heavy truck program in such a way that it allows MEG and our partners to repeat the success of this new division in other provinces and outside of China," said Alf Poor, CEO of Ideanomics.
Ideanomics' majority-owned MEG group will continue to expand globally through regional activities and partner programs which deliver the size and scale required to meet our near and long-term objectives. MEG's operations focus on heavy trucks, logistics vehicles, city buses, tour buses, taxis, municipal vehicles, and other commercial vehicle activities where we are capable of servicing the large-scale procurement, financing, and energy needs of our clients. The MEG group's entry point for commercial EV enablement is its innovative S2F2C (Sales-to-Financing-to-Charging) model, in addition to its plans to develop commercial electrical energy purchasing solutions for large-scale fleet operators to help manage energy costs.
Ideanomics is a global Financial Technology (Fintech) company for transformative industries. Ideanomics combines deal origination and enablement with the application of technologies such as artificial intelligence, blockchain, and others as part of the next- generation of smart financial services. Our projects in New Energy Vehicle markets, Fintech, and advisory services provide our customers and partners better efficiencies, technologies, and access to global markets.
Ideanomics, through its investments, along with its partners curate innovation around the globe through hubs and centers that foster a pipeline of technological excellence in cleantech, fintech, tradetech, agritech, regtech, insuretech, playtech, healthtech, cyber security, and more.
The company is headquartered in New York, NY, and has offices in Beijing, China. It also has a planned global center for Technology and Innovation in West Hartford, CT, named Fintech Village.
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