Polaris Introduces 2013 GEM Models

2013 GEMeL XD with dual tool chest option

Polaris announced their 2013 line of GEM vehicles which include a variety of improvements.  The 2013 lineup features the GEM e2, e4, e6, eS, eL, and eL XD models with starting MSRPs of $7,829 to $13,459.  The company borrowed technology from their powersports products for some of the improvements.  Key changes include:

• High-low beam headlamps
• Day-night mirror to reduce reflective glare.
• Improved front brakes, suspension, steering and foot pedals
• Factory-installed MAX BOX with cargo doors and a dual tool chest option for select utility vehicles
• Updated color options
• Charging cordsets for international markets

New hard doors with better sealing and locks are expected to be available in 2013. Learn more:  Government-fleet.com

What’s Cooking On The STOV

Highlighting some of the many applications for small, task-oriented vehicles

Border Patrol – Customs and Border Protection will be adding two UTVs and three ATVs to their fleet.  The UTVs, Polaris Ranger 800 HD with plows, blades and other accessories, will be used near Spokane, WA and the ATVs in Maine.  Learn more:  GSNmagazine.com

Pitt Community College Buys GEMs

Campus Transportation – One of the major market segments for LSVs is college campuses.  Pitt Community College recently expanded their campus and needed a versatile option for staff to move around the ground.  Their choice was a pair of GEM LSVs.  Learn more:  Reflector.com

All Purpose Farm/Mining Vehicle – In Australia the farm segment is showing the same trend as in the US:  the replacement of ATVs by UTVs.  Key factors driving the switch are ease of use and more productivity compared to ATVs.   Demand for vehicle accessories for this segment is increasing as well.  A Polaris retail manager states that 80% of sales in Queensland and the Northern Territory is for farming.  The other important segment in this area is mining where an accessorized UTVs offer a much cheaper alternative to traditional Landcruisers.  Learn more:  SL.farmonline.com.au

Polk County Sheriff uses Mule for bike trail patrol

Bike Trail Patrol – The Polk County Sheriff’s Office in Iowa is using a Kawasaki Mule to patrol bike trails this summer.  The Mule gives them access to areas that their other cars cannot reach while at the same time allows them to carry gear and supplies or an injured person, which is not possible with a motorcycle.  Learn more:  Blogs.Desmoinesregister.com

News Briefs

Polaris Adds Jobs – Polaris will be adding 89 jobs in their Osceola, WI plant for work related to their Indian Motorcycle and GEM product lines that were acquired last year.  Work at the plant will include engine production for motorcycles and R&D for GEM vehicles.  The company has also added 200 jobs over the last 18 months at their Spirit Lake facility which is ramping up to full production of Indian motorcycles and GEM vehicles.  Learn more:  Startribune.com

Campus Sustainability Drives Electrics – Washington State University is another example of how sustainability initiatives on campus are driving electric STOV purchases.  The university recently purchased the three GEMs for transportation and general fleet use.  The vehicles help the university meet the governor’s mandate that state entities reduce their carbon footprint.  Learn more:  News.wsu.edu

A Case For NEVs/LSVs – In this brief interview an author in the renewable energy space makes the case for NEVs/LSVs and the role for STOVs.  Learn more:  2greenenergy.com

GEM Fargo Factory Being Liquidated

The original Fargo, ND GEM factory will be liquidated starting December 6th.  After acquiring GEM, Polaris Industries moved GEM production to their plant in Spirit Lake, IA.  Items available for sale include “…excess Global Electric Motorcars vehicles, tools, equipment, office furniture, pallet racking, and a state of the art production line installed in 2003.”  Liquid Asset Partners will be conducting the liquidation.  Learn more:  PRWeb.com

Polaris Makes Another Move In The EV Market – Acquires Goupil Industrie of France

Goupil Industrie electric truck

Diversifying their portfolio of electric vehicle offerings, Polaris Industries recently purchased Goupil Industrie SA.  The privately owned French manufacturer produces a line of light duty electric trucks for a variety of commercial uses.  There were no comments by management on whether the Goupil product line would be exported to or produced in the US.

This is the third major transaction in the small electric vehicle space by Polaris this year following the acquisition of GEM and a major investment in Brammo, an electric motorcycle manufacturer known for electric powertrain expertise. The work and hauling oriented Goupil product line will complement the more people mover oriented GEM line.   Goupil’s estimated annual sales of $25 million adds to the estimated $30 million in annual sales that Polaris gained from the GEM acquisition.

Comment:  After testing the LSV market with their Breeze model for personal transportation and the electric UTV market with their electric Ranger, Polaris has now moved decisively into the space.  Management sees the global market for small electric vehicles as a growth area and have executed on that belief by purchasing this manufacturer in France and initiating GEM distribution in India.  Polaris now has a range of small EV product offerings spanning off-road and on-road, consumer and commercial, as well as work and transportation applications.  Learn more:  BizJournals.com

In related news, I noticed that Polaris also has a new website for GEM.  On their home page it is accessible under the tab “Low Emission Vehicles” along with the Breeze LSV.

GEM To Use ARI PartSmart

Polaris announced that they have selected ARI’s PartSmart to provide their GEM dealers with parts and service information for the complete line-up of vehicles.  PartSmart is already used by Polaris and Victory motorcycle dealers.  From the press release:

PartSmart is ARI’s premier parts lookup software known to more than 50,000 users worldwide. It provides the fastest way to find the right part the first time by providing more information with fewer keystrokes and mouse clicks. PartSmart interfaces with more than 90 dealer business management systems to drive even more efficiency. PartSmart offers time-saving features, including easy navigation, a single log in, a single and familiar user interface, updates via the Internet, and thumbnail browsing.

Learn more:  PRNewswire.com

Polaris Targets India For Growth

In August Polaris introduced a broad selection of their off-road vehicles (ORVs) to the Indian market.  The company expects to have twenty-five “sales touch points” in the country by the end of the year.  Management has a goal of $100 million in ORV sales by 2016.  They are also studying the feasibility of selling LSVs, leveraging their recently acquired GEM product line.  Mahindra Reva is currently selling similar vehicles with a sales target of 3,000 vehicles per year.  The government provides some incentives but infrastructure issues are an obstacle as well.  Learn more:  Business-standard.com

NEV Demonstration Project: Preliminary Report

Last month the South Bay Cities Council of Governments released a preliminary report about their NEV demonstration project.  The report was published after only 12 months of data because of “extraordinary positive results.”

The demonstration project focused on assessing the viability of NEVs on typical suburban streets in today’s development pattern.  A total of 15 households were involved  and 7 vehicles including a Vantage Crewcab,  a Columbia Summit, two Wheego Whips, a GEM e4, a GEM e2 and a Miles sedan.  The project addressed three questions:

1. Will residents regularly drive NEV/LUVs on typical suburban streets without special lanes or signage?

2. Will NEV/LUV usage produce significant environmental and economic benefits?

3. Is large-scale deployment of NEV/LUVs feasible?

The answers to the first two were a resounding ‘Yes’ and a conditional ‘Yes’ for the deployment question.  Data from the project showed that “…the average percentage of all household travel (VMT) taken in an NEV/LUV was consistently 22% across all groups. In terms of vehicle trips, the NEV/LUVs mode share averaged 26% of the round trips.”

In terms of environmental impacts “…Average participating households criteria air pollutants were reduced by 26% – 33% depending on the specific pollutant being measured.”

To facilitate deployment a number of barriers need to be lessened including vehicle price, vehicle quality, consumer education and local government incentives.  The authors also suggested a medium speed vehicle class would help the transition away from gas autos.  The project will run a total of 18 months until October 31, 2011.  Learn more:  Southbaycities.org

GEM’s Fargo Plant To Close

Polaris Industries, which recently acquired Global Electric Motorcars, will be closing GEM’s manufacturing facility and offices by the end of the year.  GEM’s operations will be integrated into Polaris’ Spirit Lake, IA manufacturing plant, product development facilities in Wyoming and corporate headquarters in Medina, MN.  Some of the 80 people now employed at the Fargo location have been offered jobs at these new locations.  Learn more:  Startribune.com

Polaris Acquires GEM

Yesterday Polaris Industries announced that they will acquire Global Electric Motorcars, LLC (GEM) from the Chrysler Group.  GEM has annual sales estimated to be $30 million and has been the leading LSV manufacturer.  IMS estimates their annual sales volume to be around 3,000 units, although they have been under pressure lately as more manufacturers have entered the market.  The sale will take about two months to complete and will strengthen Polaris’s On-Road division.  Polaris also recently acquired Indian Motorcycle.   Learn more:  Tradershuddle.com

Comment:  GEM is strong in the commercial LSV segment particularly in government and fleet sales to end user such as parks and universities.  Polaris already has their Breeze LSV for the consumer personal transportation market and an LSV version of their Ranger EV which originally targeted the military segment but has commercial applications as well.  The acquisition gives Polaris probably the most recognized brand in the LSV market and saves them time and money spent developing a brand of their own.  GEM has not substantially changed their vehicles in recent years so they will definitely benefit from high level and continuous innovation that Polaris puts into their product lines, as witnessed by their model development in the UTV market.  In addition, Polaris has an existing network of dealers that is around ten times the size of GEM’s current network.  The acquisition could add a real boost to the level of competition in the LSV market.

Another question is whether Polaris will be seeking more acquisitions in this space.  While GEM is more oriented to the commercial market, a company like Tomberlin produces LSVs targeting the consumer market.  Tomberlin’s management has a relationship with Polaris from helping them develop some of their off-road products in the past.  Tomberlin also has other products such as the Vanish electric UTV, electric ATVs and the Schwinn brand of scooters that could supplement Polaris’s existing product lines .