EV technology startup REE Automotive has achieved a significant milestone, obtaining two separate certifications from the California Air Resources Board (CARB) for its P7-C chassis cab. This achievement now makes REE’s “Powered by REE” EVs eligible for substantial incentives in California, with other CARB-friendly states expected to follow suit.
The CARB certifications mark a crucial step for REE Automotive ($REE), affirming the progress of its innovative “x by wire” P7-C EV as it progresses towards widespread commercial deployment.
Just two years ago at CES, REE Automotive unveiled its modular P7 platform, specifically designed for fleet applications, especially delivery operators in the US. Since then, the company has introduced two all-electric variants – the P7-B, a novel Class 3 box truck, and the P7-C, an additional chassis cab.
In anticipation of production, REE has secured tens of millions in binding orders from commercial customers and has recently garnered attention by showcasing a demo EV at Work Truck Week earlier this month.
In January, REE announced that its P7-C had achieved certification from both the Federal Motor Vehicle Safety Standards (FMVSS) and EPA, making it the first full steer-by-wire, brake-by-wire, and drive-by-wire vehicle in the US to do so.
At that time, REE revealed that the electric chassis cab was eligible for the IRS’ Commercial Clean Vehicle Tax Credit in the US, providing a tax credit of up to $40,000 per vehicle. Additionally, the company was in the process of obtaining eligibility for various state incentives, including CARB, potentially increasing incentives to over $100,000 per vehicle.
Today, REE has confirmed that the P7-C has been awarded eligibility for two separate CARB certifications, further incentivizing commercial fleets to make the switch to electric vehicles.
According to REE, its Class 4 P7-C EV has officially received two certifications from CARB – a Phase 2 Greenhouse Gas (GHG) certification covering the complete vehicle and the Zero Emission Powertrain (ZEP) certification.
CARB certification is a critical factor in enabling state incentives for commercial customers. While the certificates are awarded in California, several other states are likely to follow suit, honoring similar incentives to promote electrification and sustainability. REE co-founder and CEO Daniel Barel commented on the milestone:
“Being CARB certified unlocks many doors for us and for our customers as we can now sell in California, and I am excited for our California dealers as they start to receive their Powered by REE trucks. This is an important milestone since now Powered by REE vehicles can receive more than $100,000 incentive funding which makes it even easier for fleets to electrify. We believe that this cost savings, combined with our REEcorner and x-by-wire technology’s ability to lower total cost of ownership, will boost even further the strong demand we see for our P7 lineup.”
With federal incentives already in place, CARB certification now allows REE EVs to qualify for incentives exceeding $100,000 per vehicle, a significant selling point for fleets transitioning to zero emissions.
Looking ahead, REE anticipates that several other states will adopt CARB’s Advanced Clean Truck Regulation, along with ZEP certification, to enable the sale of EVs locally and offer substantial incentives.
REE continues to deliver initial EV builds to early customers through its expanding dealer network and plans to showcase its all-electric trucks through demo drives.
