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U.S. Postal Service Contract to Launch Billionaire Dollar Vehicle Fleet Upgrade

WASHINGTON,, February 23, 2021 / PRNewswire / – The US Postal Service announced today that it has awarded a 10-year contract to Oshkosh, WI, based on Oshkosh Defense, to produce a new generation of US-built postal vehicles that will drive the most dramatic modernization of the USPS fleet in three decades.

The historic investment is part of a recently published plan developed by the Post Office to transform its financial results and customer service over the next 10 years through significant investment in people, technology and infrastructure, as it seeks to become a preferred delivery provider. services to the American public.

According to the original contract $ 482 million investment, Oshkosh Defense will finalize the production design of a next-generation delivery vehicle (NGDV) ̵

1; a specially designed right-hand drive vehicle for mail and shipments – and will assemble 50,000 to 165,000 of them in 10 years. The vehicles will be equipped with either economical internal combustion engines or battery-powered electric drives and can be upgraded to keep pace with advances in electric vehicle technology. The initial investment includes equipment for the plant and construction of the production facility in the United States, where the final assembly of the vehicle will take place.

The contract is the first part of a multibillion-dollar onedollar 10-annual efforts to replace the fleet for delivery of postal services, one of the largest in the world. The postal fleet has over 230,000 vehicles in each class, including both specially designed and commercial vehicles (COTS). Approximately 190,000 deliver mail six, often seven, days a week in each American community. NGDV, along with other COTS vehicles, will replace and expand the current supply fleet, which includes many vehicles that have been in service for 30 years.

The first NGDVs are expected to appear on carriers in 2023.

“Because the American institution that connects our country, the American postal service can have a bright and modern future if we make investments today that position us for excellence tomorrow,” said the postmaster general and CEO of USPS. Luis Dejoy. “The NGDV program expands our capacity for more package volume and supports our carriers with cleaner and more efficient technology, more convenience, and greater comfort and security as they deliver every day on behalf of the American people.”

NGDVs will include air conditioning and heating, improved ergonomics and some of the car’s state-of-the-art technologies – including 360-degree cameras, advanced brake and traction control, airbags, front and rear collision avoidance system that includes visual, audio warning and automatic stop. Vehicles will also have increased load capacity to maximize efficiency and adapt to larger volumes of packages resulting from the growth of e-commerce.

“Our fleet modernization also reflects the postal service’s commitment to a more environmentally sustainable mix of vehicles,” DeJoy said. “As we operate one of the largest civilian government fleets in the world, we are committed to looking for short-term and long-term opportunities to reduce our environmental impact.”

The postal service awarded the Oshkosh defense contract in accordance with the competitive procurement policies of the postal services after in-depth testing of vehicle prototypes, evaluation of the proposed production proposals and discussion of technical specifications with the bidders.

The prize is an indefinite delivery contract, indefinite quantity (IDIQ), which means that after an initial commitment in dollars, the postal service will have the permanent opportunity to order more NGDV for a certain period of time, in this case 10 years. Oshkosh Defense is assessing which of the several manufacturing sites in the United States is best suited to potentially increase the level of NGDV production.

Video notes with the participation of the General Director Luis Dejoy and other postal managers, and an image of the new NGDV is available at USPS Newsroom.

The postal service does not receive tax dollars for operating expenses and relies on the sale of postal items, products and services to finance its operations.

Please note: For media resources from the U.S. Postal Service, including quality video, audio, and photo photos, visit USPS Newsroom. Follow us in Twitter,, Instagram,, Pinterest and LinkedIn. Subscribe to USPS YouTube Channel, like us on Facebook and enjoy our Post blog posts. For more information about the postal service, visit usps.com and facts.usps.com.

For reporters interested in talking to a regional public relations specialist, please visit about.usps.com/news/media-contacts/usps-local-media-contacts.pdf.

Contact: Kim Froome
[email protected]

SOURCE US Postal Service

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