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BENTONVILLE, Ark. (KFOR) – Electric vehicle manufacturing company Canoo says supermarket giant Walmart has agreed to buy 4,500 all-electric delivery vehicles to deliver online orders with the option to purchase up to 10,000 units.

Canoo’s first vehicle, the Lifestyle Delivery Vehicle, is expected to begin hitting the road in 2023.

However, Canoo says the companies plan to kick-off advanced deliveries to refine and finalize vehicle configuration in the coming weeks to start production in Q4, 2022.

“We are proud to have been selected by Walmart, one of the most sophisticated buyers in the world, to provide our high-tech, all-electric, American made Lifestyle Delivery Vehicle to add to their impressive logistics capabilities,” said Tony Aquila, Investor, Chairman and CEO of Canoo. “Our LDV has the turning radius of a small passenger vehicle on a parking friendly, compact footprint, yet the payload and cargo space of a commercial delivery vehicle. This is the winning algorithm to seriously compete in the last mile delivery race, globally.”

The LDVs will be driven by Walmart associates and used to deliver online orders, as well as the potential to be used for Walmart GoLocal, the retailer’s delivery-as-a-service business.  

“We’re thrilled to continue diversifying our last mile delivery fleet with Canoo’s unique and sustainably focused all-electric technology which will provide our associates with safe, ergonomic delivery vehicles,” said David Guggina, senior vice president of innovation and automation, Walmart U.S. “By continuing to expand our last mile delivery fleet in a sustainable way, we’re able to provide customers and Walmart+ members with even more access to same-day deliveries while keeping costs low.”

Oklahoma’s Canoo factory is planned to open in 2023 and will include a full commercialization facility with a paint, body shop, and general assembly plant.