Mullen Automotive (NASDAQ: MULN), an emerging electric vehicle (EV) manufacturer, has announced a significant expansion of its retail network in California's Central Valley. The company's subsidiary, Bollinger Motors, has partnered with Affinity Truck Center, a well-established family-owned business with a 40-year history in the region.
This strategic move marks an important step for Bollinger Motors as it seeks to strengthen its presence in a key market for electric vehicles. Affinity Truck Center, which operates sales locations in Bakersfield and Fresno, as well as service locations in Paso Robles and Salinas, will now serve as an official Bollinger Motors dealer.
Jim Connelly, chief revenue officer of Bollinger, emphasized the significance of this partnership, stating, "The addition of Affinity Truck Center gives Bollinger Motors a strong foothold in California's Central Valley." He further noted that Affinity's rich history in providing diverse transportation options positions them well to support Bollinger's efforts in bringing electrification and customer support to this critical market.
This expansion comes at a crucial time for Mullen Automotive, as the company continues to make strides in the electric vehicle industry. In August 2023, Mullen began commercial vehicle production at its Tunica, Mississippi plant, and in September of the same year, the company received IRS approval for federal EV tax credits on its commercial vehicles. This Qualified Manufacturer designation offers eligible customers up to $7,500 per vehicle, potentially making Mullen's EVs more accessible to a broader range of consumers and businesses.
The partnership with Affinity Truck Center is particularly significant given California's leadership role in promoting electric vehicle adoption and implementing stringent emissions regulations. As of January 2024, both the Mullen ONE, a Class 1 EV cargo van, and Mullen THREE, a Class 3 EV cab chassis truck, have received California Air Resource Board (CARB) and EPA certification, making them available for sale in the United States.
This expansion of Bollinger Motors' retail network through Affinity Truck Center could have far-reaching implications for the electric vehicle market in California's Central Valley. The region, known for its agricultural industry and logistics operations, presents a unique opportunity for the adoption of electric commercial vehicles. By establishing a strong presence in this area, Bollinger Motors is positioning itself to meet the growing demand for sustainable transportation solutions in a sector that has traditionally relied heavily on conventional fuel vehicles.
The move also aligns with broader trends in the automotive industry, as manufacturers increasingly focus on electrification to meet evolving environmental regulations and consumer preferences. For residents and businesses in California's Central Valley, this partnership could mean improved access to electric vehicle options and support services, potentially accelerating the transition to cleaner transportation in the region.
As Mullen Automotive continues to expand its production capabilities and retail network, this latest development signals the company's commitment to establishing a significant presence in key markets. The success of this partnership could serve as a model for future expansion efforts, both within California and in other regions across the United States.
With the electric vehicle market poised for continued growth, Mullen's strategic moves, including this partnership between Bollinger Motors and Affinity Truck Center, may play a crucial role in shaping the future of commercial electric vehicles in the United States. As the industry watches closely, the impact of this expansion on both the local market and the broader EV landscape remains to be seen.
