Ford on Thursday unveiled its first all-electric transit van as the automaker gears up to be carbon-emissions-free by 2050.
"The transition of fleet vehicles to zero emissions, especially for the fast-growing last-mile delivery segment, is critical to achieve our carbon-neutrality goal by 2050,” President and Chief Executive Jim Farley said in a statement.
The Ford E-Transit delivers an estimated driving range of 126 miles.
Its part of the Dearborn, Mich., company's investment of more than $11.5 billion toward electrification through 2022.
Ford said it was betting on connected electric commercial vehicles to generate profit despite competition in the sector.
"Ford is ready to lead the charge, starting with the all-electric Transit and all-electric F-150 on the way," Farley said.
"This is good for the planet and a huge advantage for customers to help lower their operating costs and provide connected fleet management technologies that will help their businesses.”
The company will assemble its electric transit commercial vehicles for North American customers at its Kansas City assembly plant in Claycomo, Mo.
The E-Transit, priced at $45,000, is expected to arrive late next year, the company said.
The electric cargo van will come in eight configurations, including three roof heights and three lengths, plus chassis cab and cutaway models.
Ford's electric Mustang Mach-E will launch later this year, while its all-electric F-150 starts hitting dealers in mid-2022.
Ford dominates the U.S. and European markets for gasoline-powered commercial vehicles with shares of 40% and almost 15%, respectively, Reuters reports.
The company reported third-quarter revenue rose 11% to $37.5 billion, driven by domestic demand for its wider-margin pickups and SUVs.
Shares of the carmaker at last check were down 1.3% to $8.23.