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Volkswagen AG’s (OTC: VWAGY) TRATON Group, which anon will be the ancestor of Navistar International Corp. (NYSE: NAV), will absorb $1.9 billion on barter electrification by 2025. Some of that money could admonition Navistar beforehand aboriginal array electric and hydrogen ammunition corpuscle programs.

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TRATON beforehand committed to absorb $1.2 billion on electric advancement by mid-decade.

“TRATON is ambience a bright focus on electric trucks,” TRATON CEO Mattias Gr√ľndler said in a columnist absolution Monday. “This alteration will not appear overnight. It will be gradual, acceptable and in band with the adapted arrangement [infrastructure] expansion.”

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As it increases advance in battery-electric and ammunition corpuscle bartering vehicles, TRATON will trim spending on acceptable powertrains. Beneath than one-fifth of artefact development dollars will be spent on accepted drives.

Consistent with Volkswagen electrification play

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The moves are connected with TRATON’s ancestor Volkswagen, which said aftermost anniversary it will body six gigafactories in Europe by 2030 to accomplish batteries for electric cars. VW said in November it would absorb $86 billion on electrification over the abutting bristles years.

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Electric cartage will accomplish up about 10% of TRATON’s Scania cast in Europe by 2025. Bisected of its MAN subsidiary’s new buses will be array electric by 2025. Bisected of Scania’s cartage will be powered by electricity by 2030. Sixty percent of MAN commitment cartage and 40% of its able trucks will use zero-emission technologies by then, TRATON said.

TRATON did not acknowledgment Navistar in its release. Its $3.7 billion takeover accustomed by Navistar shareholders on March 2 is

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