Hertz Orders 100,000 Cars from Tesla, Will Rent 50,000 to Uber Drivers

By Paul Riegler on 27 October 2021
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Hertz Global Holdings announced plans to purchase 100,000 Tesla electric vehicles and later said it will rent 50,000 of them to Uber drivers.

The rental giant, which declared bankruptcy at the start of the pandemic in 2020, said it is making a substantial investment in an electric-vehicle fleet as well as charging infrastructure.  Hertz existed Chapter 11 in June.

The move is intended to give a post-bankruptcy Hertz a high-tech fleet and to give customers greener options.

“Today’s partnership with Uber is another major step forward in Hertz becoming an essential component of the modern mobility ecosystem and executing on our commitment to being an environmentally forward company,” said Mark Fields, the company’s interim CEO. 

“We are creating the new Hertz and charting a dynamic, new course for the future of travel, mobility and the auto industry.”

The deal with Tesla calls for Hertz to pay full price for 100,000 Model 3 EVs.  The company is also likely to be eligible for a 30% tax credit under pending House legislation.

Uber, which sees the deal as moving it into offering greener transportation, said that drivers would pay $334 per week including insurance for use of the EV.

“This combines the power of Tesla, Hertz and Uber to help accelerate the transition to zero-emissions mobility,” said the company’s CEO, Dara Khosrowshahi.

(Photo: Accura Media Group)