E-Works is converting vans for the electric age

Munich Against the background of high oil and gas prices and the fight against climate change, the switch to electromobility has meanwhile also reached commercial vehicles. “Compared to cars, the development is a few years behind,” says Dominik Ashkar, founder of the start-up E-Works Mobility.

The company hopes to become a sort of Tesla for the van segment. According to its own assessment, the company has developed the most powerful electric transporter in the world to date with the Heero model. The range of the 245 hp vehicle based on the Mercedes Sprinter is up to 400 kilometers, twice as long as that of the competing models.

The company wants to play a decisive role in shaping the mobility turnaround in the van segment. E-Works Mobility is currently mainly converting used Sprinters. The conversion of an existing van costs 70,000 euros, and if a used vehicle has to be procured, it is 100,000 euros. According to Ashkar, there are already 1,000 inquiries for the next two years, and by 2023 the company should achieve double-digit million sales. “In the medium term, we are then aiming for sales in the hundreds of millions,” says the founder.

According to a study by the European organization Transport & Environment (T&E), the use of e-vans in Germany is already an average of 28 percent cheaper per kilometer. “But there just aren’t enough e-vans available,” says T&E’s James Nix.

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E-Works sees its chance here. Current model offers from the competition are more for inner-city areas, for example for delivering packages, says Ashkar. There was a lack of vehicles that were as comfortable as a diesel and could drive a few hundred kilometers on the motorway. Since transporters are often in use for a long time, retrofitting is also worthwhile.

>> Read also: Mercedes pacts with Rivian – manufacturers want to build electric transporters together

From around 2028, E-Works Mobility wants to bring its own model onto the market. In addition, it wants to offer commercial customers comprehensive solutions, from vehicles to the entire energy ecosystem. “We see ourselves primarily as a software company,” says Ashkar.

In the industry, the start-up’s approach is being followed with both interest and a degree of skepticism. One has to wait and see how many buyers are willing to pay a total of 100,000 euros for a used van with a new electric drive, says an insider. It is also at least a big challenge to develop your own complete model in the next few years. But new impetus would do the industry good.

No direct competition with Mercedes

The market segment is attractive. According to a study by Bloomberg NEF, electric vans could account for 83 percent of new registrations in Europe by 2035. If the CO2 targets are tightened, the market could even switch completely. Currently, there are still exceptions for commercial vehicles for inner-city environmental zones.

Of course, the big providers have long since reacted to this. The van market is strongly influenced by Mercedes. The Sprinter has been available for two years in an electric version with a range of up to 158 kilometers, which is used by the DPD parcel service, for example. Production of the new generation will start in the second half of 2023. Depending on the configuration, this should have a range that is more than twice as large.

Dominik Ashkar

The managing director at E-Works Mobility E-Works converts Mercedes Sprinters for the electric age

(Photo: E-Works Mobility)

The smaller eVito is also meeting with good demand. “We have a clear goal, we want to be the leading manufacturer in the field of electric vans in the long term,” said Mathias Geisen, Head of Mercedes-Benz Vans.

According to Ashkar, the relationship with Mercedes is good. Since E-Works Mobility is currently mainly converting used vehicles and is aimed at customers with existing fleets and individual wishes, they don’t get in each other’s way. “In addition, the main issue at the moment is availability,” says the founder. The demand is sufficient for many providers – the challenge is to serve them.

Expert: Conversion of existing fleets is important for climate change

Ashkar founded the company five years ago. After studying business administration, he managed workshops as a master technician. “I’ve seen how poorly sustainable resources are used in the industry,” he says. The need for action was particularly great in the van sector with its high fuel consumption.

The company claims a lead in both the drive and the battery. “Our patented battery shape utilizes the entire underbody, allowing for a single pack,” says Ashkar. The drive technology for the Heero was developed in Ismaning near Munich. The software was also developed in-house.

With the conversion of the vans, E-Works Mobility is taking a similar approach to the start-up Pepper Motion, which subsequently converts larger commercial vehicles to electric drives. “We want to convert tens of thousands of trucks and buses over the next few years,” Managing Director Andreas Hager told Handelsblatt. It will only be possible to achieve the climate targets in the transport sector if the existing vehicles are also electrified. Because a bus with a diesel engine that is newly registered today will still be driving in 2050.

There has therefore been a change in awareness among fleet operators. “The diesel is gradually becoming obsolete, as its CO2 emissions have a negative impact on customers’ carbon footprint,” says Jörg Gnamm, a partner at Bain. Anyone who does not soon have a comprehensive range of models in terms of electric and hydrogen vehicles will have to be prepared to lose market share.

More: Hydrogen in the tank – BMW plans with the fuel cell.

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