WEBVTT - Ex-Logger Aims to Beat Elon Musk in Electric Trucks

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<v Speaker 1>Hello, and welcome to another episode of the Odd Lots Podcast.

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<v Speaker 1>I'm Joe Wisenthal and I'm Tracy Halloway. Tracy, have you

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<v Speaker 1>been following Ellen's Uh, You're gonna have to be more specific,

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<v Speaker 1>you know. I think he kind of has this reputation

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<v Speaker 1>and it's kind of worked out for a well of

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<v Speaker 1>like promising things that you know, maybe take a while

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<v Speaker 1>to materialize, like eventually they come around, whether it's Twitter,

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<v Speaker 1>it's gonna be just like super app and he's gonna

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<v Speaker 1>get rid of all the boats. Did he get rid

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<v Speaker 1>of all the boat? Absolutely? If anything, I swear there

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<v Speaker 1>are more than ever. Yeah. I feel like under every

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<v Speaker 1>tweet now there's basically someone chilling Bitcoin, I think. Yeah.

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<v Speaker 1>And then at Tesla and again incredible success story, but

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<v Speaker 1>like self driving cars, I think that's been promised for

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<v Speaker 1>a while in some form another at hasn't happened. And

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<v Speaker 1>one of the things that somewhere on the road map

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<v Speaker 1>but no one really knows when is there's going to

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<v Speaker 1>be an electric truck. Yeah, so I know various companies

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<v Speaker 1>have talked about doing this, and I think there isn't

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<v Speaker 1>there a pickup an electric pickup truck. Yeah, there's a

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<v Speaker 1>few of the electric pickup truck. I mean, you know,

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<v Speaker 1>there's the four lightning and so that's started to go.

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<v Speaker 1>But you know, obviously we talked a lot about freight

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<v Speaker 1>on this podcast, and I think there's a long way

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<v Speaker 1>until we get any sort of like electrification. Yeah. I

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<v Speaker 1>mean that's my perception of it, which is when people

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<v Speaker 1>think of electric vehicles, it's usually, you know, it's sort

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<v Speaker 1>of like basic sedan kind of thing, maybbe an suv.

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<v Speaker 1>The trucks are sort of further down the line, and

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<v Speaker 1>then when it comes to actual long haul trucks, hardly

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<v Speaker 1>ever hear anyone talk about it. You hear a lot

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<v Speaker 1>when when people talk about technology in trucking, it tends

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<v Speaker 1>to be autonomous driving. Doesn't necessarily seem to be electric

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<v Speaker 1>trucks themselves. Yeah, And of course, you know, there's this

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<v Speaker 1>whole infrastructure right associated with trucking, you know, the truck stops, etcetera.

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<v Speaker 1>You have these big fleets, they make purchase commitments, etcetera.

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<v Speaker 1>So even if the technology we're there somehow, and I

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<v Speaker 1>don't really know if it is, it seems like it's

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<v Speaker 1>going to be a long way until we get you know,

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<v Speaker 1>an electrified trucking fleet if ever. And so while you know,

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<v Speaker 1>obviously Tesla at some point wants to plan that there

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<v Speaker 1>are other entities that want that market as well, because

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<v Speaker 1>it's gonna be really big, right And the other thing

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<v Speaker 1>that we've discussed on the show is the difficulty of

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<v Speaker 1>rolling out the actual you know, grid needs or electric vehicles,

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<v Speaker 1>and I can imagine with long haul trucks that would

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<v Speaker 1>be even more difficult and potentially extreme, given that a

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<v Speaker 1>lot of trucks go to you know, places far off

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<v Speaker 1>in the wilderness. You know, think of things like locking trucks, yes,

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<v Speaker 1>and so you know, there are different types of commercial trucking,

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<v Speaker 1>and so you know, you think of the highway and

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<v Speaker 1>the trucks you see on the highway, but you know,

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<v Speaker 1>it's very different when there's like a truck that's like

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<v Speaker 1>going up the side of a steep and icy, snowy

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<v Speaker 1>mountain and getting logs and going back down, different physical

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<v Speaker 1>demands on the truck itself, given different physical demands on

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<v Speaker 1>the driver. Anyway, we're kind of gonna emerge these two topics,

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<v Speaker 1>like different types of trucks, what can be electrified? Why

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<v Speaker 1>try to understand a little bit more about the commercial

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<v Speaker 1>trucking infrastructure, and not just the highway the highway vehicles

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<v Speaker 1>that we know we're gonna do logging. We're gonna do uh,

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<v Speaker 1>we're gonna do electric logging trucks. But you know what,

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<v Speaker 1>I have an interest in logging out because a tree

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<v Speaker 1>fell down in my backyard, a big tree, a couple

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<v Speaker 1>of weeks ago, and I'm trying to figure out how

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<v Speaker 1>to move it. And once once I move it, i

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<v Speaker 1>i too will be a logger. Well this is perfect

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<v Speaker 1>because we have the perfect guess who can probably tell

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<v Speaker 1>you all about moving your log off of your property.

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<v Speaker 1>We're gonna be speaking with Chase Barber, who is the

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<v Speaker 1>CEO of Edison Motors. It's a small startup aiming to

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<v Speaker 1>electrify the trucking market. And he was also a logger.

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<v Speaker 1>He drove trucks that moved logs and so he's familiar

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<v Speaker 1>with that world trucker, logger, electric vehicle entrepreneur. Chase BARBERA,

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<v Speaker 1>thank you so much for coming on Odd Lots. Oh

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<v Speaker 1>you bet ya. Thanks for having me on here. Quite

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<v Speaker 1>a combo there, they are not. I feel like there

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<v Speaker 1>are not many vehicle entrepreneurs who pivoted from having driven

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<v Speaker 1>vehicles themselves. I don't professionally, is that it seems rare

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<v Speaker 1>to me. Uh, it was really common back in the

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<v Speaker 1>nineties hundred years ago, super common. Nowadays it is a

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<v Speaker 1>little bit more rare. Yeah, So what do you actually

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<v Speaker 1>before we even get to your company, Edison Motors, what

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<v Speaker 1>do you tell us a little bit about your background

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<v Speaker 1>and like how you got into trucking and what you

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<v Speaker 1>did in trucking. Okay, Well, I was one of those

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<v Speaker 1>guys that I knew, like way back in grade one.

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<v Speaker 1>Like if you do with those things in like grade

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<v Speaker 1>one kindergarten. Uh, They're like, what do you want to

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<v Speaker 1>be when you grow up? I wrote down, truck driver.

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<v Speaker 1>That's what I was gonna do after high school. I uh,

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<v Speaker 1>I actually I was too young. So I joined the

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<v Speaker 1>army for a couple of years and then went through there,

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<v Speaker 1>drove truck after it, and drove truck till I was

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<v Speaker 1>about twenty two twenty three, went to university, drove truck

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<v Speaker 1>all through the summer because it's a fantastic, well paying

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<v Speaker 1>job while you're going to university in the summer. And

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<v Speaker 1>I did incredibly well. I did a degree in economics

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<v Speaker 1>and four point o g P a straight a's and

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<v Speaker 1>I got super angry. After doing four years of straight a's,

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<v Speaker 1>I got a job offer for forty five thousand dollars

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<v Speaker 1>and the summer before I was driving truck in the

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<v Speaker 1>oil patch. I made fifty thousand dollars in four months.

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<v Speaker 1>And now, and after four years at university doing a

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<v Speaker 1>incredibly well, I got second place at the Bank of

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<v Speaker 1>Canada Economic Forecasting Challenge. And that's the job offer you get.

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<v Speaker 1>I'm like, I could make more working a third of

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<v Speaker 1>the year than I did through all this. So we

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<v Speaker 1>uh went with my buddy Eric, it has been my

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<v Speaker 1>business partner for the last six years since university. Now

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<v Speaker 1>and we put the last of our student loans together.

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<v Speaker 1>We bought a nineteen sixty nine Kenworth that had been

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<v Speaker 1>sitting in a farmer's field like a fifty year old

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<v Speaker 1>truck with the last of our student loans for five

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<v Speaker 1>thousand dollars and we uh we set out as a

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<v Speaker 1>trucking company. Oh, I love this already. UM. I have

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<v Speaker 1>a bunch of questions, but maybe I mean, I didn't

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<v Speaker 1>know that you had an economics degree. Is that something

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<v Speaker 1>that's been useful to you as a truck driver? If

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<v Speaker 1>you're an owner operator, just having an economics background help

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<v Speaker 1>you think about that business. Oh yeah, one of the

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<v Speaker 1>reasons I went to school and full full disclosure, I

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<v Speaker 1>failed my first time when I was twenty one. It

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<v Speaker 1>was back in two thousand and eight, the financial collapse there.

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<v Speaker 1>I had just started out as an owner operator, bought

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<v Speaker 1>myself a truck, saved up for like a year and

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<v Speaker 1>a half, bought myself a truck, did not know enough

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<v Speaker 1>about business, and got wiped out onto my ass on

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<v Speaker 1>the phone. I just made enough money that I was

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<v Speaker 1>able to walk away from the truck with I think

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<v Speaker 1>I had like twenty grand left in my pocket after

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<v Speaker 1>selling the truck and working for like six months eight

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<v Speaker 1>months before doing it. And that's what made me I'll decide.

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<v Speaker 1>I'm like, okay, I'm going back to school. At the

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<v Speaker 1>very least I'll have enough knowledge to not be in

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<v Speaker 1>this situation. Again, we mentioned in the beginning you're a lagger.

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<v Speaker 1>You drove truck, specifically hauling lugs. How is that different

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<v Speaker 1>than typical over the highway freight. It pays a lot

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<v Speaker 1>better that it's there. You don't find a lot of

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<v Speaker 1>people willing to do it. It's it is probably one

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<v Speaker 1>of the harshest demanding jobs on a truck out on

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<v Speaker 1>the West coast, especially in Canada. We get forty below

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<v Speaker 1>in the winter, fifty fort above in the summer. So

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<v Speaker 1>what's that for negative forty negative fifty degrees fahrenheit in

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<v Speaker 1>the winter, and then we get up to a hundred

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<v Speaker 1>and ten degrees in the summer. And we are on

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<v Speaker 1>steep slopes. So a US a truck in the US

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<v Speaker 1>is about eighty thou pounds, that's maximum weight limit. A

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<v Speaker 1>truck up in Canada goes to a hundred and fifty

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<v Speaker 1>thousand pounds, so we're almost double the weight. You have

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<v Speaker 1>incredibly steep grades. We're talking on an average highway. A

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<v Speaker 1>really steep highway grade is ten. We're running up to

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<v Speaker 1>grades three times steeper than a steep highway hill with

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<v Speaker 1>over twice the way it is. And then you're doing

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<v Speaker 1>that in the snow. Oh my gosh. So you know

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<v Speaker 1>you mentioned that you bought your first truck. I think

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<v Speaker 1>you said it was Kenworth from a field somewhere. And

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<v Speaker 1>one thing I've always wondered is when you're a truck driver,

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<v Speaker 1>or say you become an owner operator or whatever, how

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<v Speaker 1>do you actually go about selecting your vehicle and what

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<v Speaker 1>are there characteristics that you're looking for. I assume you know,

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<v Speaker 1>if you're logging, it probably requires a different vehicle too.

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<v Speaker 1>If you're hauling, you know, retail goods or something like that.

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<v Speaker 1>But how do you actually make that decision? Well, first

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<v Speaker 1>you figure out how much money you have. In our case,

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<v Speaker 1>we had ten thousand dollars and we know that the

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<v Speaker 1>startup cost were at least half of the truck, so

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<v Speaker 1>we had a budget of five grants, so that really

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<v Speaker 1>narrowed that decision down a lot. We had a pretty

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<v Speaker 1>good mechanical background, knowledge able to work on things. So

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<v Speaker 1>my biggest criteria selecting a truck is that I need

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<v Speaker 1>a truck that I can work on. That was one

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<v Speaker 1>of the issues I had the first time is that

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<v Speaker 1>whenever it needed service, it had to go into a shop.

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<v Speaker 1>I said, Okay, I'll get something that's really old, doesn't

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<v Speaker 1>have a single computer, and then hopefully I can fix

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<v Speaker 1>everything myself. Is there a difference in this sort of

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<v Speaker 1>like design choices of a truck for logging versus uh

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<v Speaker 1>typical freight truck. I have to imagine on the way down,

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<v Speaker 1>particularly you're riding the break a lot more. You know,

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<v Speaker 1>you have to be able to make turns, etcetera. And

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<v Speaker 1>then I think maybe maybe I even read it something

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<v Speaker 1>that you had written about you mentioned, you know, being

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<v Speaker 1>able to work on it. I have to imagine that,

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<v Speaker 1>like up on a mountain, it's much more important to

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<v Speaker 1>be able to like go in and fix your own truck,

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<v Speaker 1>especially if you're like not near any sort of truck

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<v Speaker 1>stop or mechanics stop or or mechanic shop or a

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<v Speaker 1>toad company or anything like that. Oh, it's incredibly important.

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<v Speaker 1>When you're up in remote areas in Canada, it's logging

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<v Speaker 1>beats the hell out of equipment. It's just there's nothing.

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<v Speaker 1>You're off highway with twice the legal highway weight, so

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<v Speaker 1>you're heavy, you're on rough roads, you're in mud rock,

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<v Speaker 1>and it will just absolutely destroy the truck. And because

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<v Speaker 1>of that, you need to be able to service it.

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<v Speaker 1>Your ten hours twelve hours into a bush. You're not

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<v Speaker 1>getting a tow truck out there. You've got to be

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<v Speaker 1>able to fix it where it's at. And that's one

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<v Speaker 1>of the reasons why the trucks tend to be heavier, specked,

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<v Speaker 1>thicker frame rails more reinforced suspension, reinforced brackets. They're way

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<v Speaker 1>more they're more expensive, but they're also built a lot tougher.

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<v Speaker 1>It's there's a reason why that truck from the nineteen

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<v Speaker 1>sixties was still able to go back to work. Actually,

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<v Speaker 1>the guy we bought it off of bought it brand new.

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<v Speaker 1>His name is Bob Murphy. He bought it brand new

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<v Speaker 1>back in nineteen sixty nine when he was in his

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<v Speaker 1>early twenties, and he drove that one truck his entire career.

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<v Speaker 1>If that shows you the quality city that these trucks

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<v Speaker 1>are made to. So this sort of like the bones

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<v Speaker 1>of the truck, so to speak. It's it's just really

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<v Speaker 1>important that it be heavy duty. The insides can be

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<v Speaker 1>upgraded or you know, worked on, but uh, if you

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<v Speaker 1>have good bones, if it's thick, if it's strong, then

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<v Speaker 1>you can use them in the log hauling game for

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<v Speaker 1>a long time. Yeah, good bones strong And then the

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<v Speaker 1>other the biggest critical thing is that they use a

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<v Speaker 1>lot of common parts that we've got gotten away from

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<v Speaker 1>and manufacturing today. Is that a freight liner, a Western Star,

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<v Speaker 1>ken Worth, a Peter Belt, All the big brands shared

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<v Speaker 1>components for their heavy speck trucks. It was the same

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<v Speaker 1>Vicker steering box across all of them. The gauges were

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<v Speaker 1>the same. You could have this commonality of parts where

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<v Speaker 1>you could take parts from one truck and put them

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<v Speaker 1>into another truck. Actually that was largely in part thanks

0:12:52.920 --> 0:12:57.400
<v Speaker 1>to the U. S. Military, But that's a whole other story. Well,

0:12:57.520 --> 0:12:59.400
<v Speaker 1>this is exactly what I wanted to ask you about,

0:12:59.440 --> 0:13:02.080
<v Speaker 1>because you book about how it was important that you

0:13:02.120 --> 0:13:05.559
<v Speaker 1>were able to repair the truck yourself. And I know

0:13:05.720 --> 0:13:09.480
<v Speaker 1>that in farming equipment there's this whole debate about right

0:13:09.520 --> 0:13:11.800
<v Speaker 1>to repair, and a lot of farmers are upset that

0:13:12.040 --> 0:13:15.520
<v Speaker 1>tractors are so computerized nowadays. They can't fix them on

0:13:15.559 --> 0:13:17.600
<v Speaker 1>their own. They have to take them somewhere, and it's

0:13:17.600 --> 0:13:20.559
<v Speaker 1>really expensive to get stuff fixed. I think in some

0:13:20.600 --> 0:13:23.439
<v Speaker 1>cases that even have to pay subscription fees for software

0:13:23.480 --> 0:13:26.640
<v Speaker 1>and stuff like that. To what extent is that happening

0:13:27.320 --> 0:13:31.160
<v Speaker 1>in trucking. Do you have a lot more computerization and

0:13:31.200 --> 0:13:35.440
<v Speaker 1>maybe even subscription type services in trucks. Oh, it's the

0:13:35.520 --> 0:13:38.280
<v Speaker 1>exact same as the tractor issue. In the trucks um

0:13:38.520 --> 0:13:41.280
<v Speaker 1>you throw fault codes, you get a check engine light,

0:13:41.520 --> 0:13:44.199
<v Speaker 1>it'll de rate your motor. So you only have fifty

0:13:44.520 --> 0:13:47.120
<v Speaker 1>of your power, and you have to take it into

0:13:47.160 --> 0:13:49.199
<v Speaker 1>a shop where they hook it up to a computer.

0:13:49.280 --> 0:13:51.320
<v Speaker 1>They charge you three dollars just to hook it onto

0:13:51.360 --> 0:13:54.360
<v Speaker 1>a computer. They press a button that says clear fault code,

0:13:54.400 --> 0:13:55.960
<v Speaker 1>and they send you back out the door until it

0:13:55.960 --> 0:13:59.120
<v Speaker 1>happens again, and it's there's nothing you can do about it.

0:13:59.160 --> 0:14:01.120
<v Speaker 1>If you want a new truck, you have to deal

0:14:01.160 --> 0:14:04.280
<v Speaker 1>with that. There's a ton of sensors over the whole thing,

0:14:04.480 --> 0:14:06.920
<v Speaker 1>and you, as the owner of the truck, have no

0:14:07.040 --> 0:14:09.840
<v Speaker 1>ability to know really know what those sensors are saying,

0:14:10.200 --> 0:14:12.480
<v Speaker 1>no idea to read the fault codes, no way to

0:14:12.520 --> 0:14:15.079
<v Speaker 1>clear them. You have to go back to the dealership

0:14:15.080 --> 0:14:18.240
<v Speaker 1>and pay that money. You know. I want to get

0:14:18.280 --> 0:14:22.240
<v Speaker 1>more into the economics of all this and the manufacturing

0:14:22.480 --> 0:14:25.560
<v Speaker 1>and all that, in particularly your company. But what was

0:14:25.600 --> 0:14:31.000
<v Speaker 1>the most terrifying? Do you have the most terrible? Yeah?

0:14:31.080 --> 0:14:37.400
<v Speaker 1>Do you have a most terrifying day out on the mountains? Oh? Yeah? Um,

0:14:38.480 --> 0:14:42.000
<v Speaker 1>So I was coming down this like grade A hundred

0:14:42.000 --> 0:14:45.400
<v Speaker 1>and fifty thousand pounds on. I had my truck chained up.

0:14:46.800 --> 0:14:48.880
<v Speaker 1>I didn't have my trailer chained up, and I'm coming

0:14:48.880 --> 0:14:51.560
<v Speaker 1>down and all of a sudden, even with two sets

0:14:51.560 --> 0:14:54.560
<v Speaker 1>of chains on, it was so icy that it just

0:14:54.600 --> 0:14:57.560
<v Speaker 1>starts taking off down this hill. And there is a

0:14:57.760 --> 0:15:01.080
<v Speaker 1>immediate one degree corner, and it like it's a hundred

0:15:01.080 --> 0:15:03.120
<v Speaker 1>feet two hundred feet off the bank if you don't

0:15:03.160 --> 0:15:05.960
<v Speaker 1>make this corner. And in order to stay ahead of

0:15:06.000 --> 0:15:08.160
<v Speaker 1>my trailer, the road is only just as wide as

0:15:08.200 --> 0:15:10.200
<v Speaker 1>the truck. It's a cut block, like they made it

0:15:10.280 --> 0:15:13.120
<v Speaker 1>just wide enough for a truck to get down. And

0:15:14.200 --> 0:15:16.680
<v Speaker 1>I'm grabbing gears to try and stay away in front

0:15:16.680 --> 0:15:18.480
<v Speaker 1>of my trailer. So what I do is like I

0:15:18.560 --> 0:15:21.280
<v Speaker 1>pull this trailer spike. It starts going off the bank

0:15:21.320 --> 0:15:23.880
<v Speaker 1>on the left, so I let it go kick it

0:15:23.920 --> 0:15:26.320
<v Speaker 1>back over until that trailer comes on the right side.

0:15:26.320 --> 0:15:29.360
<v Speaker 1>And I stuffed my trailer into the snow bank so

0:15:29.400 --> 0:15:32.520
<v Speaker 1>that it acted as a big snowplow. That big snowplow

0:15:32.720 --> 0:15:34.960
<v Speaker 1>snallowed me down enough with drag that as able to

0:15:34.960 --> 0:15:37.160
<v Speaker 1>make the corner and get down the next thing without

0:15:37.160 --> 0:15:40.120
<v Speaker 1>going around it. But that was one of the scarier

0:15:40.160 --> 0:15:42.920
<v Speaker 1>moments I had. I think I'm visualizing that all right now.

0:15:42.920 --> 0:15:45.520
<v Speaker 1>I just stressed me like listening to that and just

0:15:45.800 --> 0:15:49.280
<v Speaker 1>envisioning all that. Oh last summer we had one. The

0:15:49.360 --> 0:15:52.120
<v Speaker 1>road was only like I had six inches on each

0:15:52.160 --> 0:15:55.280
<v Speaker 1>side of my truck. It was over a thousand feet

0:15:55.320 --> 0:15:57.720
<v Speaker 1>down into the lake, blasted into the hard rock, and

0:15:57.720 --> 0:16:01.000
<v Speaker 1>the road was crumbling down. In order to make it

0:16:01.000 --> 0:16:03.960
<v Speaker 1>around the corner, you hung the outside duel of your

0:16:03.960 --> 0:16:07.760
<v Speaker 1>tire off of this cliff face, like the outside duel

0:16:07.760 --> 0:16:11.560
<v Speaker 1>on the trailer overhung the cliff. That's that's how close

0:16:11.600 --> 0:16:15.480
<v Speaker 1>we were on that hall stressing. Yeah, this is very stressful.

0:16:15.680 --> 0:16:17.880
<v Speaker 1>I have one more logging question, and it might be

0:16:17.920 --> 0:16:22.200
<v Speaker 1>a basic one, but to what extent is the business

0:16:22.520 --> 0:16:26.400
<v Speaker 1>of being a logging truck driver tied to the lumber

0:16:26.480 --> 0:16:29.520
<v Speaker 1>business in Canada? So you know, if if things are

0:16:29.520 --> 0:16:32.120
<v Speaker 1>booming with the lumber business, if there's tons of demand

0:16:32.560 --> 0:16:35.880
<v Speaker 1>for wood for housing construction or whatever, does that tend

0:16:35.920 --> 0:16:41.480
<v Speaker 1>to translate into more activity for truckers. Oh? Absolutely. If

0:16:41.560 --> 0:16:45.200
<v Speaker 1>the price the lumber goes up, then the mill wants

0:16:45.240 --> 0:16:47.920
<v Speaker 1>to make more lumber, produce more lumbers, so the demand

0:16:47.960 --> 0:16:52.040
<v Speaker 1>for logs go up, which they're willing to pay a

0:16:52.080 --> 0:16:54.800
<v Speaker 1>better rate so that more trucks get out into the bush.

0:16:54.840 --> 0:16:58.640
<v Speaker 1>They'll increase the cycle times. When things slow down, like

0:16:59.120 --> 0:17:01.760
<v Speaker 1>right now, the lumber has fallen. There's a lot of

0:17:01.800 --> 0:17:04.000
<v Speaker 1>truck drivers who have parked their trucks for the last

0:17:04.040 --> 0:17:07.040
<v Speaker 1>three weeks just because there is it's a very boom

0:17:07.080 --> 0:17:10.920
<v Speaker 1>and bust on that lumber price. Yeah, that's my impression

0:17:10.920 --> 0:17:12.359
<v Speaker 1>of it. And then the other thing I want to

0:17:12.400 --> 0:17:15.480
<v Speaker 1>ask you is, when there is a boom in lumber

0:17:15.560 --> 0:17:18.560
<v Speaker 1>slash locking, do a lot of truck drivers can they

0:17:18.640 --> 0:17:22.680
<v Speaker 1>switch between being you know, a basic long haul truck

0:17:22.760 --> 0:17:27.200
<v Speaker 1>driver to going into locking or does it require specialized

0:17:27.359 --> 0:17:30.960
<v Speaker 1>equipment and trucks like you described and experience. Yeah, so

0:17:31.080 --> 0:17:35.200
<v Speaker 1>logging does require specialized equipment. These are heavy spec trucks

0:17:35.440 --> 0:17:37.040
<v Speaker 1>and a lot of the time because you need the

0:17:37.119 --> 0:17:39.480
<v Speaker 1>room for logs, they don't have sleepers. You can't really

0:17:39.520 --> 0:17:43.600
<v Speaker 1>do long haul, so when it goes down, these trucks

0:17:43.680 --> 0:17:48.919
<v Speaker 1>quite often sit unfortunately. Oh I see. So that what

0:17:49.040 --> 0:17:53.879
<v Speaker 1>about like, you know, in terms of specialized training, other

0:17:54.280 --> 0:17:58.320
<v Speaker 1>specific licenses or programs or schools, like, how does one

0:17:58.400 --> 0:18:01.080
<v Speaker 1>make the switch, especially since, as you point out, because

0:18:01.080 --> 0:18:05.919
<v Speaker 1>it's specialized, the pay is higher. Yeah, the there's no

0:18:06.000 --> 0:18:10.720
<v Speaker 1>specialized training to drive logging truck. You basically figure it

0:18:10.760 --> 0:18:13.679
<v Speaker 1>out on the job. That's the only way to do

0:18:13.720 --> 0:18:15.440
<v Speaker 1>it is most people when they're new, they start in

0:18:15.440 --> 0:18:18.640
<v Speaker 1>the summer without the snow and then they just transition

0:18:19.040 --> 0:18:23.639
<v Speaker 1>going forward. But it's but because it is specialized and

0:18:23.880 --> 0:18:26.200
<v Speaker 1>it is a stressful job. I think it's the only

0:18:26.280 --> 0:18:29.879
<v Speaker 1>job I've ever had where I've been driving at five thinking,

0:18:29.960 --> 0:18:34.160
<v Speaker 1>holy crap, I'm going waiting. I have one more logging

0:18:34.320 --> 0:18:38.560
<v Speaker 1>specific question. Actually, you know, we got your contact from

0:18:38.920 --> 0:18:43.160
<v Speaker 1>previous guest Gordon McGill, and actually that conversation was kind

0:18:43.160 --> 0:18:47.760
<v Speaker 1>of largely sent around centered around waiting and waiting for

0:18:47.960 --> 0:18:52.000
<v Speaker 1>trucks to be loaded and unloaded with logging. Is there

0:18:52.000 --> 0:18:55.520
<v Speaker 1>a similar phenomenon and it just the driver play a

0:18:55.720 --> 0:18:59.720
<v Speaker 1>role in loading up his or her truck. Out here,

0:19:00.119 --> 0:19:02.960
<v Speaker 1>normally the driver doesn't play a low role in loading

0:19:02.960 --> 0:19:07.840
<v Speaker 1>the truck. We have dedicated loaderman and normally there's not

0:19:07.880 --> 0:19:10.000
<v Speaker 1>a big weight time. They know you know what trucks

0:19:10.040 --> 0:19:12.560
<v Speaker 1>you're getting, and they schedule it. Okay, we want this

0:19:12.600 --> 0:19:16.480
<v Speaker 1>guy here at five am, five thirty six, six thirty seven.

0:19:16.480 --> 0:19:18.520
<v Speaker 1>They just give loading times to win all that they

0:19:18.520 --> 0:19:21.439
<v Speaker 1>want the truck showing up. So unless they're it's taking

0:19:21.520 --> 0:19:23.960
<v Speaker 1>longer to load or the machine's got to walk a

0:19:24.000 --> 0:19:26.600
<v Speaker 1>little bit. You normally don't have much of a weight

0:19:26.600 --> 0:19:29.480
<v Speaker 1>time because it's all about the mill and the logging

0:19:29.480 --> 0:19:31.960
<v Speaker 1>company is trying to make it as efficient as possible

0:19:32.000 --> 0:19:33.919
<v Speaker 1>to get these trucks into the mill. They're paying by

0:19:33.960 --> 0:19:37.280
<v Speaker 1>the hour, and I've always been a big advocate that's

0:19:37.280 --> 0:19:39.640
<v Speaker 1>why trucking should be by the hour. When a company

0:19:39.720 --> 0:19:42.680
<v Speaker 1>is paying by the hour to have a truck, they

0:19:42.760 --> 0:20:03.200
<v Speaker 1>get trucks out real quick. So let's talk about your company,

0:20:03.480 --> 0:20:07.720
<v Speaker 1>Edison Motors. So what is it. Yeah, we're a company

0:20:07.760 --> 0:20:11.520
<v Speaker 1>that's making electric We started out electric logging trucks and

0:20:11.600 --> 0:20:16.720
<v Speaker 1>now we've expanded into electric vocational trucks the entire vocational industry.

0:20:17.440 --> 0:20:20.400
<v Speaker 1>Can you talk about what the opportunity was that you spotted,

0:20:20.440 --> 0:20:24.960
<v Speaker 1>Because when you describe logging trucks as these specialized heavy

0:20:25.040 --> 0:20:28.000
<v Speaker 1>duty vehicles that you know, to some extent people need

0:20:28.080 --> 0:20:31.440
<v Speaker 1>them to be kind of simple, easy to fix and maintain,

0:20:32.080 --> 0:20:37.560
<v Speaker 1>it doesn't necessarily scream like opportunity for electrification. So so

0:20:37.640 --> 0:20:42.879
<v Speaker 1>what's the thought process there? Okay, Well, we've been a

0:20:42.880 --> 0:20:45.480
<v Speaker 1>big fan of kind of electric vehicles and we reserved

0:20:45.480 --> 0:20:47.679
<v Speaker 1>a test less semi a long time ago. Because my

0:20:47.880 --> 0:20:52.000
<v Speaker 1>thought process was if you're coming downhill like here, you

0:20:52.040 --> 0:20:55.120
<v Speaker 1>go up the mountain empty and you come downloaded electric

0:20:55.200 --> 0:20:58.199
<v Speaker 1>vehicle average enitor breaking, So you're recharging your batteries when

0:20:58.200 --> 0:21:01.359
<v Speaker 1>you're going down in order to power the truck to

0:21:01.400 --> 0:21:04.040
<v Speaker 1>go back up the mountain empty. You're basically using that

0:21:04.080 --> 0:21:06.399
<v Speaker 1>stored potential energy of the logs at the top of

0:21:06.400 --> 0:21:09.040
<v Speaker 1>the mountain to fuel the vehicle to go back up

0:21:09.040 --> 0:21:12.159
<v Speaker 1>the mountain. So that was where we first started, and

0:21:12.200 --> 0:21:17.040
<v Speaker 1>then we started looking into it and the battery wasn't enough.

0:21:17.119 --> 0:21:21.760
<v Speaker 1>The Tesla semi has a one megawatt battery logging truck.

0:21:21.760 --> 0:21:24.359
<v Speaker 1>When you do the math on it uses about two

0:21:24.400 --> 0:21:31.040
<v Speaker 1>point five megawatts of power. So the largest battery in

0:21:31.119 --> 0:21:34.040
<v Speaker 1>any electric semi you would need two and a half

0:21:34.119 --> 0:21:38.800
<v Speaker 1>times that weight. And that truck already weighs five thousand pounds.

0:21:39.720 --> 0:21:42.680
<v Speaker 1>Doubling over doubling that weight is going to put you

0:21:43.200 --> 0:21:45.320
<v Speaker 1>over legal axle weight. You wouldn't be able to haul

0:21:45.359 --> 0:21:49.040
<v Speaker 1>any freight. So then talk to us about how you

0:21:49.400 --> 0:21:54.800
<v Speaker 1>solve the problem. You've started, Uh, it's still very early days.

0:21:55.040 --> 0:21:58.840
<v Speaker 1>You've been retrofitting old trucks like electrifying them. Talk to

0:21:58.880 --> 0:22:01.639
<v Speaker 1>us about like how you solve the problem or what

0:22:01.760 --> 0:22:04.879
<v Speaker 1>specifically that you do to the old trucks. We basically

0:22:04.880 --> 0:22:08.439
<v Speaker 1>put in a diesel generator. Is had the idea. In

0:22:08.480 --> 0:22:10.960
<v Speaker 1>addition to logging, we did a lot of hybrid power

0:22:11.040 --> 0:22:13.919
<v Speaker 1>systems where we would take solar batteries, bring them up

0:22:13.920 --> 0:22:16.680
<v Speaker 1>to a mine or a remote community that was running

0:22:16.680 --> 0:22:19.280
<v Speaker 1>off diesel and we would optimize their grid. That's part

0:22:19.320 --> 0:22:23.239
<v Speaker 1>of the other side of our trucking business, and we

0:22:23.280 --> 0:22:25.040
<v Speaker 1>realized that a truck was a lot of the same

0:22:25.080 --> 0:22:28.360
<v Speaker 1>of this community. So this one project we did where

0:22:28.400 --> 0:22:31.719
<v Speaker 1>the AHA moment really came into it is that small

0:22:31.760 --> 0:22:35.440
<v Speaker 1>place up near the Yukon border First Nations Reserve running

0:22:36.119 --> 0:22:39.800
<v Speaker 1>off diesel. They were running a nine kilowatt generator because

0:22:39.800 --> 0:22:42.240
<v Speaker 1>they had a huge peak load demand. Everyone would get

0:22:42.280 --> 0:22:44.280
<v Speaker 1>home from work, turn on all their appliances at the

0:22:44.320 --> 0:22:47.200
<v Speaker 1>same time five o'clock, big peak load demand for an

0:22:47.200 --> 0:22:49.680
<v Speaker 1>hour or so on that grid. They needed a nine

0:22:50.320 --> 0:22:54.240
<v Speaker 1>generator to meet that load demand. However, the average load

0:22:54.480 --> 0:22:58.800
<v Speaker 1>was only like twenty kilowatts. That's a watts. So what

0:22:58.840 --> 0:23:01.040
<v Speaker 1>we did is we put a large battery bank in there.

0:23:01.040 --> 0:23:03.520
<v Speaker 1>That battery took up the peak low demand. We offset

0:23:03.800 --> 0:23:06.359
<v Speaker 1>that with a lot of solar production for daytime, and

0:23:06.400 --> 0:23:10.639
<v Speaker 1>then we downsized the generator from ninety to thirty five kilowatts.

0:23:11.480 --> 0:23:13.480
<v Speaker 1>I think we build them a hundred and forty thousand

0:23:13.520 --> 0:23:17.040
<v Speaker 1>dollars to do this whole project, and their fuel savings

0:23:17.119 --> 0:23:19.760
<v Speaker 1>was eighty five thousand dollars in their first year just

0:23:19.840 --> 0:23:23.080
<v Speaker 1>from using the same amount of power but optimizing that

0:23:23.160 --> 0:23:26.520
<v Speaker 1>power to work more efficiently. So I was driving back home.

0:23:26.560 --> 0:23:29.679
<v Speaker 1>I was actually in that nineteen sixty nine truck and

0:23:29.720 --> 0:23:31.760
<v Speaker 1>I was starting out at the satellites, and then the

0:23:31.800 --> 0:23:34.720
<v Speaker 1>Aha moment occurred to me. A truck is a lot

0:23:34.840 --> 0:23:38.600
<v Speaker 1>like these grids. You have a huge peak load demand.

0:23:39.119 --> 0:23:41.520
<v Speaker 1>Takes a ton of power to get that truck up

0:23:41.520 --> 0:23:43.800
<v Speaker 1>to wait. That's why you run a fifteen liter diesel

0:23:44.280 --> 0:23:47.639
<v Speaker 1>five fifty horse power. To start that truck moving from

0:23:47.680 --> 0:23:49.640
<v Speaker 1>the line, or to pull that weight up a hill.

0:23:49.760 --> 0:23:52.160
<v Speaker 1>You need a ton of power. Once you're rolling down

0:23:52.160 --> 0:23:55.320
<v Speaker 1>the road, you back rate out of that throttle. You're

0:23:55.320 --> 0:23:58.919
<v Speaker 1>at throttle and you're just cruising along. So you have

0:23:59.040 --> 0:24:02.720
<v Speaker 1>this super inefficient system where you have a massive diesel

0:24:02.760 --> 0:24:06.399
<v Speaker 1>motor that's not needed because you only need that large

0:24:06.480 --> 0:24:08.879
<v Speaker 1>diesel ten percent of the time. But you're running that

0:24:08.960 --> 0:24:13.760
<v Speaker 1>full size diesel of the time. So in addition, we're like, okay,

0:24:13.760 --> 0:24:16.280
<v Speaker 1>this makes sense of the regend breaking logging. If we

0:24:16.320 --> 0:24:18.800
<v Speaker 1>already have the batteries in there, we can make this

0:24:18.960 --> 0:24:21.560
<v Speaker 1>entire thing really efficient get the range we needed. We'll

0:24:21.560 --> 0:24:24.359
<v Speaker 1>put in a much smaller We'll basically cut the size

0:24:24.359 --> 0:24:28.080
<v Speaker 1>of the diesel motor in half. That'll recharge the batteries,

0:24:28.119 --> 0:24:30.119
<v Speaker 1>and those batteries will give you the power you need

0:24:30.160 --> 0:24:32.600
<v Speaker 1>to roll down the road and meet your peak load demand.

0:24:33.320 --> 0:24:36.920
<v Speaker 1>M hm. So this kind of leads into something else

0:24:36.960 --> 0:24:39.520
<v Speaker 1>I wanted to ask you about, which is you know,

0:24:39.560 --> 0:24:43.679
<v Speaker 1>I realize it's dangerous to generalize here, but how do

0:24:43.800 --> 0:24:48.800
<v Speaker 1>truckers in general feel about electric vehicles and the prospect

0:24:49.000 --> 0:24:51.959
<v Speaker 1>of electric trucks. Is it so long as it cuts

0:24:52.000 --> 0:24:55.280
<v Speaker 1>down on fuel costs, it's seen as a good thing.

0:24:55.400 --> 0:24:58.199
<v Speaker 1>Or is there a sort of knee jerk resistance to

0:24:58.800 --> 0:25:01.879
<v Speaker 1>maybe doing things in a different way. Oh, there's a

0:25:02.000 --> 0:25:04.479
<v Speaker 1>huge knee jerk resistance, And I don't think it's too

0:25:04.600 --> 0:25:06.800
<v Speaker 1>doing things in a certain way. A lot of people

0:25:06.840 --> 0:25:09.920
<v Speaker 1>I've met, they're they're open to new ideas, but truckers

0:25:09.920 --> 0:25:13.520
<v Speaker 1>aren't dumb. They know how much power their truck puts

0:25:13.520 --> 0:25:15.359
<v Speaker 1>out in the day, they can fill it up at

0:25:15.359 --> 0:25:16.520
<v Speaker 1>the end of the day, and they see what their

0:25:16.520 --> 0:25:19.280
<v Speaker 1>power loads are. And when you tell them that, hey,

0:25:19.320 --> 0:25:24.200
<v Speaker 1>this truck at full load ideal circumstances can do four

0:25:24.280 --> 0:25:26.600
<v Speaker 1>hundred to five hundred miles, they quickly figure out that

0:25:26.680 --> 0:25:29.480
<v Speaker 1>I do six hundred mile days. And then they think,

0:25:29.520 --> 0:25:30.960
<v Speaker 1>where am I going to charge this? Where am I

0:25:30.960 --> 0:25:33.120
<v Speaker 1>going to plug this vehicle in? This isn't gonna work

0:25:33.160 --> 0:25:35.520
<v Speaker 1>for me. That's one side of the argument, and then

0:25:35.520 --> 0:25:37.960
<v Speaker 1>the other side. It's like the John Deer tractor thing.

0:25:38.480 --> 0:25:40.560
<v Speaker 1>They see these electric vehicles and they're like, there is

0:25:40.600 --> 0:25:42.880
<v Speaker 1>not a chance I'm going to be able to work

0:25:42.920 --> 0:25:46.160
<v Speaker 1>on this thing, Like every single thing is completely locked out.

0:25:46.800 --> 0:25:49.760
<v Speaker 1>As an owner operator or a company owner, how are

0:25:49.760 --> 0:25:53.119
<v Speaker 1>my mechanics going to service it? Like Tesla when you

0:25:53.160 --> 0:25:55.840
<v Speaker 1>hear stories of them buying a car, how long it

0:25:55.880 --> 0:25:58.159
<v Speaker 1>takes to get it serviced? Well, how long are these

0:25:58.200 --> 0:26:01.560
<v Speaker 1>trucks gonna take? Is where's that technician right now? If

0:26:01.600 --> 0:26:04.879
<v Speaker 1>I go into a truck dealership, these yards don't have

0:26:05.040 --> 0:26:08.720
<v Speaker 1>people trained up to service the high voltage systems. Their

0:26:08.800 --> 0:26:11.639
<v Speaker 1>normal diesel mechanics we need to go through an entire

0:26:11.800 --> 0:26:15.359
<v Speaker 1>training process on an entire nearly new mechanics set of industries.

0:26:15.720 --> 0:26:18.120
<v Speaker 1>So even if I can't service it myself, I can't

0:26:18.119 --> 0:26:20.919
<v Speaker 1>even take it to a shop anytime reasonably soon to

0:26:20.960 --> 0:26:24.240
<v Speaker 1>get it serviced. And downtime is one of the biggest

0:26:24.280 --> 0:26:27.400
<v Speaker 1>most expensive things when your truck. A truck on average

0:26:27.400 --> 0:26:30.159
<v Speaker 1>makes about two thousand, five hundred to three thousand dollars

0:26:30.160 --> 0:26:32.919
<v Speaker 1>a day. Three thousand dollars a day to a truck

0:26:33.000 --> 0:26:35.680
<v Speaker 1>if you're down for a week, man, does that add

0:26:35.760 --> 0:26:39.160
<v Speaker 1>up quick? Yeah, so you touched on this just now.

0:26:39.280 --> 0:26:42.320
<v Speaker 1>But also does the structure of the trucking industry where

0:26:42.320 --> 0:26:45.680
<v Speaker 1>you have lots of these independent owner operators, is that

0:26:45.800 --> 0:26:48.360
<v Speaker 1>It sounds like that is also an impediment to electric

0:26:48.440 --> 0:26:51.560
<v Speaker 1>vehicle adoption. Can you talk a little bit more about that. Yeah,

0:26:51.560 --> 0:26:53.320
<v Speaker 1>they want to be able to work on it, they

0:26:53.359 --> 0:26:56.720
<v Speaker 1>want to be able to service it, fix it, especially

0:26:56.800 --> 0:27:00.040
<v Speaker 1>like places like logging, where you work your truck on

0:27:00.119 --> 0:27:03.160
<v Speaker 1>day to Friday. You go out on Saturday and you

0:27:03.200 --> 0:27:05.320
<v Speaker 1>wrench on your truck and fix what you broke during

0:27:05.359 --> 0:27:06.880
<v Speaker 1>the week in order to get it back to work

0:27:06.920 --> 0:27:10.160
<v Speaker 1>on Monday. If they can't service it and they can't

0:27:10.200 --> 0:27:14.240
<v Speaker 1>fix it. In a lot of the industry is owner operator.

0:27:14.280 --> 0:27:17.880
<v Speaker 1>I forget the exact statistic, but it's like of truck

0:27:17.960 --> 0:27:22.840
<v Speaker 1>drivers are single truck owner operators, one man small businesses.

0:27:22.920 --> 0:27:29.160
<v Speaker 1>That's almost of the industry. What is Edison Motors doing

0:27:29.400 --> 0:27:33.280
<v Speaker 1>in the design of your truck? So the retrofitting to

0:27:33.400 --> 0:27:37.520
<v Speaker 1>assuage the concerns of someone who's up on the hill,

0:27:37.720 --> 0:27:40.800
<v Speaker 1>up on a mountain and worried that they you know,

0:27:40.880 --> 0:27:45.960
<v Speaker 1>and the concerns about can you really repair these electrified vehicles? Okay,

0:27:46.040 --> 0:27:48.240
<v Speaker 1>So we had a real simple way. We took our

0:27:48.280 --> 0:27:50.879
<v Speaker 1>experience working on when we got up to like a

0:27:50.880 --> 0:27:54.040
<v Speaker 1>four truck company. We had all trucks from the nineteen

0:27:54.119 --> 0:27:57.199
<v Speaker 1>sixties to the nineteen eighties, and we learned about the

0:27:57.240 --> 0:28:00.640
<v Speaker 1>common core components of these trucks that they put back then,

0:28:01.480 --> 0:28:04.159
<v Speaker 1>and it goes back to that U. S. Military. We

0:28:04.160 --> 0:28:06.240
<v Speaker 1>got a touch on it on a brief synopsis of

0:28:06.280 --> 0:28:09.800
<v Speaker 1>how it worked back then. Basically, in the sixties, the U. S.

0:28:09.840 --> 0:28:13.000
<v Speaker 1>Military and NATO was worried about the Soviet Union and

0:28:13.040 --> 0:28:16.000
<v Speaker 1>they learned from in World War Two. What they did

0:28:16.080 --> 0:28:18.560
<v Speaker 1>is when they war broke out, they bomb the hell

0:28:18.600 --> 0:28:21.280
<v Speaker 1>out of the German factories, and they realized that if

0:28:21.280 --> 0:28:24.879
<v Speaker 1>the Soviets do that and they start nuking our manufacturing hubs,

0:28:24.920 --> 0:28:29.080
<v Speaker 1>bombing the manufacturing hubs, trucking is so vital for national

0:28:29.400 --> 0:28:32.800
<v Speaker 1>defense national security that we need to be able to

0:28:33.040 --> 0:28:36.240
<v Speaker 1>pick parts not manufactured, may be able to pull parts

0:28:36.240 --> 0:28:38.200
<v Speaker 1>from one truck and put them into another, or people

0:28:38.240 --> 0:28:39.960
<v Speaker 1>are going to start to death. They won't be able

0:28:40.000 --> 0:28:44.080
<v Speaker 1>to maintain their military operations. So what they did is

0:28:44.120 --> 0:28:47.120
<v Speaker 1>they mandated that if you wanted a contract with the

0:28:47.240 --> 0:28:50.240
<v Speaker 1>US government as a manufacturer, you had to use a

0:28:50.320 --> 0:28:53.400
<v Speaker 1>common course set of parts. That's the reason why you

0:28:53.440 --> 0:28:56.440
<v Speaker 1>see these trucks from the nineteen sixties. I can take

0:28:56.480 --> 0:28:59.880
<v Speaker 1>the spedometer out of my nineteen sixty two ken Worth

0:29:00.200 --> 0:29:03.200
<v Speaker 1>and I can put it into my nineteen five Western Star.

0:29:03.320 --> 0:29:07.320
<v Speaker 1>It is the exact same spedometer, the treadle, valve, the Bendix,

0:29:07.400 --> 0:29:10.640
<v Speaker 1>the Type thirty break pots, all of them. The only

0:29:10.680 --> 0:29:13.520
<v Speaker 1>thing you were buying from a manufacturer that was different

0:29:13.680 --> 0:29:17.520
<v Speaker 1>was the body. The internal workings of the truck. We're

0:29:17.560 --> 0:29:21.640
<v Speaker 1>all common because of that national defense industry, so you

0:29:21.640 --> 0:29:24.560
<v Speaker 1>can service these trucks and these parts really stayed in

0:29:24.640 --> 0:29:28.000
<v Speaker 1>like the turn signal from my nineteen sixty two Kenworth

0:29:28.560 --> 0:29:32.240
<v Speaker 1>is the same turn signal that a twenty twelve Western

0:29:32.280 --> 0:29:37.040
<v Speaker 1>Star has. Isn't that kind of cool? That's awesome? So

0:29:37.720 --> 0:29:42.160
<v Speaker 1>when did we start moving away from that model is

0:29:42.560 --> 0:29:46.600
<v Speaker 1>my next question. They dropped their requirements in them sometime

0:29:46.680 --> 0:29:49.240
<v Speaker 1>around the mid eighties, around the fall of the Soviet

0:29:49.320 --> 0:29:51.960
<v Speaker 1>Union wall coming down in Germany. They weren't as worried.

0:29:52.000 --> 0:29:54.800
<v Speaker 1>They started laxing it, and then you see in the

0:29:54.960 --> 0:29:59.320
<v Speaker 1>nineties late nineties that manufacturers really start moving away as

0:29:59.560 --> 0:30:03.320
<v Speaker 1>we get more computerized, more specific like now this is

0:30:03.480 --> 0:30:06.800
<v Speaker 1>strictly a turn signal for this year and modeler truck,

0:30:06.840 --> 0:30:09.400
<v Speaker 1>and they realized they could make a lot of money

0:30:09.400 --> 0:30:12.640
<v Speaker 1>off of the part sales. It goes back to that

0:30:12.720 --> 0:30:16.200
<v Speaker 1>theory and economics is that you have a locked in customer,

0:30:16.760 --> 0:30:20.720
<v Speaker 1>so you could save money by selling a cheaper truck

0:30:21.120 --> 0:30:23.000
<v Speaker 1>and then making your money on the parts. Is that

0:30:23.240 --> 0:30:26.200
<v Speaker 1>somebody buys a three hundred thousand dollar truck, they're now

0:30:26.320 --> 0:30:28.440
<v Speaker 1>locked into maintaining that truck. You're not going to throw

0:30:28.480 --> 0:30:31.360
<v Speaker 1>out a three thousand dollar truck because of a turn

0:30:31.480 --> 0:30:33.760
<v Speaker 1>signal goes out. You're you're gonna buy that four or

0:30:33.760 --> 0:30:36.360
<v Speaker 1>five turn signal, So you went away from having a

0:30:37.440 --> 0:30:39.880
<v Speaker 1>turn signal. Right now, that old one in sixty two

0:30:40.120 --> 0:30:44.960
<v Speaker 1>is about forty dollars, A new turn signal about four

0:30:45.040 --> 0:30:47.720
<v Speaker 1>hundred and fifty dollars at ten times increase in the

0:30:47.720 --> 0:30:50.400
<v Speaker 1>amount of parts because it's specifically molded to the truck

0:30:50.440 --> 0:30:55.520
<v Speaker 1>and only that one component will work. This is so interesting.

0:30:55.560 --> 0:30:59.400
<v Speaker 1>I hadn't considered like sort of supply chain resilience and

0:30:59.520 --> 0:31:03.400
<v Speaker 1>in turn change ability as a security concern, just more

0:31:03.560 --> 0:31:06.840
<v Speaker 1>of like a convenience thing. I hadn't thought about either.

0:31:07.000 --> 0:31:11.480
<v Speaker 1>I'm sure there's like some like PhD term paper to

0:31:11.520 --> 0:31:14.880
<v Speaker 1>be written or probably has been written about like the

0:31:15.000 --> 0:31:19.560
<v Speaker 1>end of the Cold war, neo liberalism market, you know,

0:31:19.760 --> 0:31:22.560
<v Speaker 1>diversity and market parts and sort of like a lack

0:31:22.600 --> 0:31:27.920
<v Speaker 1>of supply chain resilience as government purchasing ceases to be

0:31:27.960 --> 0:31:31.000
<v Speaker 1>a centralize hitting all the buzzwords, all the buzzwords, but

0:31:31.080 --> 0:31:34.520
<v Speaker 1>it really does feel like there's like a fairly profound

0:31:34.560 --> 0:31:39.239
<v Speaker 1>economic story here. So think about it this way, they

0:31:39.240 --> 0:31:41.640
<v Speaker 1>have a look at it is. When we hit COVID

0:31:41.680 --> 0:31:44.760
<v Speaker 1>and the supply chains went down, the trucking industry was

0:31:45.000 --> 0:31:49.920
<v Speaker 1>massively shortened by parts parts supplies. Now that was just

0:31:50.000 --> 0:31:53.160
<v Speaker 1>a supply due to COVID and the natural way the

0:31:53.160 --> 0:31:57.120
<v Speaker 1>pandemic happened. If there was an actual military event where

0:31:57.200 --> 0:32:01.080
<v Speaker 1>say a incident broke up, but between China and the US,

0:32:01.840 --> 0:32:05.680
<v Speaker 1>our entire trucking industry would collapse overnight. Without those common

0:32:05.680 --> 0:32:08.320
<v Speaker 1>core parts and those older trucks, you can't maintain those

0:32:08.320 --> 0:32:11.880
<v Speaker 1>computer sensors. The truck go down. And that's a major issue,

0:32:11.960 --> 0:32:14.400
<v Speaker 1>is that how do you feed the population? The grocery

0:32:14.400 --> 0:32:17.280
<v Speaker 1>stores only have two three days worth of food on

0:32:17.320 --> 0:32:20.640
<v Speaker 1>the shelf. The trucks go down. What do you actually

0:32:20.720 --> 0:32:26.080
<v Speaker 1>do to these cities? So yeah, oblique thought to say

0:32:26.120 --> 0:32:29.000
<v Speaker 1>the least, So talk to us like, Okay, you're competing

0:32:29.000 --> 0:32:32.560
<v Speaker 1>with Elon Musk. Yeah, Like what is the plan here?

0:32:32.600 --> 0:32:35.720
<v Speaker 1>So I and I know your company is young and

0:32:35.880 --> 0:32:39.840
<v Speaker 1>you've started off doing retrofitting. But and that's sounds it's

0:32:39.920 --> 0:32:42.320
<v Speaker 1>very intriguing, but that's a long way. You know, there's

0:32:42.320 --> 0:32:46.200
<v Speaker 1>a seems like there's a big gap between retro electrifying

0:32:46.480 --> 0:32:51.000
<v Speaker 1>a truck from the nine sixties versus actually competing against

0:32:51.000 --> 0:32:53.720
<v Speaker 1>the biggest or one of the biggest vehicle manufacturers in

0:32:53.720 --> 0:32:56.920
<v Speaker 1>the world, and eventually creating your own trucks. Like, what

0:32:57.200 --> 0:32:59.280
<v Speaker 1>is your vision here? Why do you think you have

0:32:59.320 --> 0:33:03.720
<v Speaker 1>an opportunity? Okay, yes, so we've got an opportunity is

0:33:03.760 --> 0:33:07.440
<v Speaker 1>we got that market segment. So with those common core parts,

0:33:07.480 --> 0:33:10.040
<v Speaker 1>that's essentially all we used. We went, what are those

0:33:10.040 --> 0:33:12.480
<v Speaker 1>common core parts that are still on the shelf, cheap,

0:33:12.640 --> 0:33:16.320
<v Speaker 1>easy to install, That's what we built our trucks off of.

0:33:16.800 --> 0:33:19.080
<v Speaker 1>So that allowed us we didn't have to make any

0:33:19.160 --> 0:33:21.840
<v Speaker 1>specific parts. You know how fast that speeds up your

0:33:22.000 --> 0:33:24.120
<v Speaker 1>ability to get to production when you don't have to

0:33:24.160 --> 0:33:29.000
<v Speaker 1>make any parts. It also simplifies our supply chain logistics

0:33:29.040 --> 0:33:31.920
<v Speaker 1>is that we partnered with several parts stores. They can

0:33:31.960 --> 0:33:34.840
<v Speaker 1>get that they all have those parts and shelves. We

0:33:34.960 --> 0:33:37.440
<v Speaker 1>partnered with these parts stores and we're like, okay, what

0:33:38.040 --> 0:33:40.320
<v Speaker 1>are the parts that you always have on your shelf?

0:33:41.320 --> 0:33:42.800
<v Speaker 1>What are this thing that a trucker is going to

0:33:42.840 --> 0:33:44.719
<v Speaker 1>go in there and get perfect? Now, we don't need

0:33:44.760 --> 0:33:48.280
<v Speaker 1>a warehouse for these parts. So we stepped up our

0:33:48.320 --> 0:33:51.920
<v Speaker 1>production that way. That's how we're now in just a year,

0:33:51.960 --> 0:33:58.240
<v Speaker 1>went from prototype to production. And when it comes to competing, yeah,

0:33:58.320 --> 0:34:01.360
<v Speaker 1>we're not going to compete on the freight liner cascade. Yah,

0:34:01.480 --> 0:34:05.680
<v Speaker 1>hundreds of thousands of trucks per year. It's just you

0:34:05.720 --> 0:34:08.960
<v Speaker 1>need a million dollars, a billion dollar facility, two billion

0:34:08.960 --> 0:34:11.840
<v Speaker 1>dollar facility. But what a lot of Sorry? Is my

0:34:11.880 --> 0:34:14.960
<v Speaker 1>dog barking in the background, But it's okay, we're a

0:34:15.000 --> 0:34:20.480
<v Speaker 1>dog friendly show. What kind of dog is it? Border Collie? Look,

0:34:21.760 --> 0:34:24.680
<v Speaker 1>I have a hurting dog as well. I have a corky.

0:34:25.680 --> 0:34:26.960
<v Speaker 1>I don't know what it is. When I go on

0:34:26.960 --> 0:34:30.200
<v Speaker 1>the phone, she's outside. She's just looking in my office window,

0:34:30.320 --> 0:34:35.239
<v Speaker 1>crying at me. Sorry, but yeah, it's to get us

0:34:35.280 --> 0:34:38.720
<v Speaker 1>back on track there. We can't compete with a hundred

0:34:38.719 --> 0:34:41.719
<v Speaker 1>thousand trucks per year. And that's a lot of where

0:34:41.719 --> 0:34:45.800
<v Speaker 1>these manufacturers focus on. Like they're going after the there's

0:34:46.239 --> 0:34:49.000
<v Speaker 1>three hundred thousand of these dry v and trucks sold

0:34:49.000 --> 0:34:53.120
<v Speaker 1>every year in the US and Canada. We're targeting the

0:34:53.239 --> 0:34:56.960
<v Speaker 1>heavy vocational market, which is still about five of the

0:34:57.000 --> 0:34:59.480
<v Speaker 1>truck markets. But what a lot of people don't realize

0:34:59.560 --> 0:35:02.279
<v Speaker 1>is that when you're into that heavy vocation, I'll say

0:35:02.440 --> 0:35:07.040
<v Speaker 1>ken worth S five model, they're not built on an

0:35:07.080 --> 0:35:10.200
<v Speaker 1>assembly line. Every single one of those trucks is built

0:35:10.280 --> 0:35:14.000
<v Speaker 1>by hand. There's a small kind of assembly line, but

0:35:14.120 --> 0:35:17.080
<v Speaker 1>they are so custom it's not like building a car

0:35:17.560 --> 0:35:21.879
<v Speaker 1>where every Chevy Malibu is basically the same same wheel base,

0:35:21.960 --> 0:35:24.759
<v Speaker 1>tires going the same spot. When you get into these

0:35:24.800 --> 0:35:28.279
<v Speaker 1>heavy vocational trucks and you get into places that have

0:35:28.440 --> 0:35:33.920
<v Speaker 1>bodybuilders they're putting on tow truck body cement trucks, everything

0:35:34.040 --> 0:35:37.560
<v Speaker 1>is so customized to what your wheelbase is, where your

0:35:37.600 --> 0:35:40.560
<v Speaker 1>axles go, does it have twin steering, does it have

0:35:40.640 --> 0:35:44.040
<v Speaker 1>three drive axles, does it have one drive axle? Where

0:35:44.080 --> 0:35:46.279
<v Speaker 1>does the fuel tank go? How much room do I

0:35:46.320 --> 0:35:48.840
<v Speaker 1>need here? It's you can't build that on an assembly

0:35:48.880 --> 0:35:53.120
<v Speaker 1>line because every single truck is so custom and it's

0:35:53.160 --> 0:35:56.080
<v Speaker 1>builed down to the even the engine size. Do you

0:35:56.120 --> 0:35:58.440
<v Speaker 1>want a seven leader engine? Do you want a sixteen

0:35:58.560 --> 0:36:01.600
<v Speaker 1>Leader engine? What transmission do you want? Is it going

0:36:01.640 --> 0:36:04.240
<v Speaker 1>to be an automatic? An eighteen speed to five speed?

0:36:04.840 --> 0:36:08.160
<v Speaker 1>Is it going to have auxiliary transmissions? Like, there's so

0:36:08.200 --> 0:36:11.440
<v Speaker 1>many different options that every one of these is basically

0:36:11.480 --> 0:36:15.280
<v Speaker 1>built by hand. That's why the price tag also jumps

0:36:15.480 --> 0:36:18.319
<v Speaker 1>way up. You're looking at a hundred and fifty two

0:36:18.920 --> 0:36:21.800
<v Speaker 1>d dollars for a highway truck. You're looking great now

0:36:22.200 --> 0:36:25.520
<v Speaker 1>at three hundred to half a million for one of

0:36:25.520 --> 0:36:28.280
<v Speaker 1>these heavy vocational trucks because it is still hand built.

0:36:29.120 --> 0:36:32.760
<v Speaker 1>So two things I hadn't actually I wasn't actually familiar

0:36:32.840 --> 0:36:35.719
<v Speaker 1>with the term vocational truck before. But you know, now

0:36:35.760 --> 0:36:37.719
<v Speaker 1>I understand what you're talking about in these sort of

0:36:37.760 --> 0:36:41.880
<v Speaker 1>like specialized trucks for things like logging or oil fields

0:36:41.880 --> 0:36:44.680
<v Speaker 1>and so forth. And I also did not realize that,

0:36:45.120 --> 0:36:47.680
<v Speaker 1>you know, that there is not an assembly line for

0:36:47.719 --> 0:36:49.759
<v Speaker 1>these type of vehicles which we see, we see dump

0:36:49.760 --> 0:36:53.319
<v Speaker 1>trucks things like that. I hadn't realized that they're much

0:36:53.400 --> 0:36:56.840
<v Speaker 1>more bespoke than the typical semi that you see in

0:36:56.880 --> 0:36:59.880
<v Speaker 1>the highway. Yeah, and the fancier you get with the truck,

0:37:00.080 --> 0:37:03.280
<v Speaker 1>the more bespoke it is. Like, think about a crane truck,

0:37:03.640 --> 0:37:08.359
<v Speaker 1>a large crane truck. Look how custom and bespoke that

0:37:08.440 --> 0:37:11.600
<v Speaker 1>has to be to accommodate those cranes, those outriggers, tow

0:37:11.640 --> 0:37:14.200
<v Speaker 1>truck bodies. It's kind of a cool thing that when

0:37:14.239 --> 0:37:17.320
<v Speaker 1>you get into the large things like the C five hundred,

0:37:17.360 --> 0:37:21.040
<v Speaker 1>that they're not assembly line produced, and that makes it

0:37:21.080 --> 0:37:24.439
<v Speaker 1>a lot easier for somebody, a smaller company like us

0:37:25.040 --> 0:37:27.560
<v Speaker 1>to really come in there. Is that we can focus

0:37:27.600 --> 0:37:31.960
<v Speaker 1>on those high end not mass produced, mass produced trucks.

0:37:32.440 --> 0:37:36.759
<v Speaker 1>We're very cost competitive building these by hand. What's the

0:37:36.840 --> 0:37:39.600
<v Speaker 1>resale value on these trucks then, you know, if if

0:37:39.600 --> 0:37:42.279
<v Speaker 1>they're so customized and bespoke, but at the same time,

0:37:42.320 --> 0:37:46.160
<v Speaker 1>I guess they're using the common core parts. Well, they're

0:37:46.160 --> 0:37:48.239
<v Speaker 1>actually getting away from it more and more, even on

0:37:48.280 --> 0:37:51.840
<v Speaker 1>the bespoke one, which is like even on the logging trucks,

0:37:51.840 --> 0:37:55.520
<v Speaker 1>it's getting more and more away from it. Is manufacturers

0:37:55.680 --> 0:37:58.960
<v Speaker 1>don't focus on these trucks. They're not a huge part

0:37:59.040 --> 0:38:02.280
<v Speaker 1>of their volume. You know, you're selling a hundred thousand

0:38:02.400 --> 0:38:06.920
<v Speaker 1>highway trucks a year. There's only five thousand logging trucks

0:38:06.960 --> 0:38:09.560
<v Speaker 1>in all of BC with normally you keep them for

0:38:09.640 --> 0:38:13.680
<v Speaker 1>ten years, which means that each manufacturer might sell fifty

0:38:13.719 --> 0:38:16.120
<v Speaker 1>of these trucks per year. They're not going to tool

0:38:16.200 --> 0:38:18.920
<v Speaker 1>up an entire assembly line for logging trucks for fifty

0:38:18.960 --> 0:38:21.719
<v Speaker 1>trucks a year. They don't care about it. So now

0:38:21.800 --> 0:38:23.959
<v Speaker 1>you start they're starting to get well, now you're gonna

0:38:23.960 --> 0:38:26.320
<v Speaker 1>get a highway chassis and we're just gonna send the

0:38:26.400 --> 0:38:29.480
<v Speaker 1>highway cab, the highway hood into the place that makes

0:38:29.520 --> 0:38:31.400
<v Speaker 1>the frame rails and they'll do all the extra stuff,

0:38:31.440 --> 0:38:35.080
<v Speaker 1>so it's getting less bespoke, which is also causing more

0:38:35.200 --> 0:38:38.560
<v Speaker 1>reliability issue problems is that it's essentially a highway truck

0:38:38.640 --> 0:38:42.360
<v Speaker 1>cab put into an off highway situation. Can we go

0:38:42.440 --> 0:38:45.239
<v Speaker 1>back and talk a little bit more. I wanna I

0:38:45.280 --> 0:38:48.000
<v Speaker 1>still want to wrap my head around why electric. And

0:38:48.040 --> 0:38:54.160
<v Speaker 1>I'm also curious about like the supporting infrastructure for vocational trucks,

0:38:54.200 --> 0:39:00.000
<v Speaker 1>particularly logging trucks for electric vehicles, and you know, I'm

0:39:00.080 --> 0:39:03.080
<v Speaker 1>do you know there's there is not much of an

0:39:03.080 --> 0:39:06.920
<v Speaker 1>electric vehicle infrastructure still just for regular cars on the highway,

0:39:06.920 --> 0:39:09.680
<v Speaker 1>although that's getting built out rapidly, but there's still a

0:39:09.680 --> 0:39:12.440
<v Speaker 1>lot of work to do. What does what is the

0:39:12.560 --> 0:39:16.080
<v Speaker 1>sort of like charging infrastructure look like when you think

0:39:16.080 --> 0:39:21.160
<v Speaker 1>about your markets, Well, we run that diesel generator, so

0:39:21.200 --> 0:39:26.480
<v Speaker 1>we don't need charging infrastructure, And that whole charging infrastructure

0:39:26.600 --> 0:39:29.480
<v Speaker 1>being built up is a bit of a misnomer. The

0:39:29.560 --> 0:39:33.680
<v Speaker 1>charging stations are there, but if you look about fifteen

0:39:33.760 --> 0:39:37.759
<v Speaker 1>years ago, we had about four arra wats or four

0:39:37.800 --> 0:39:42.440
<v Speaker 1>thousand terra wats of power in the US. It was

0:39:42.480 --> 0:39:47.319
<v Speaker 1>four thousand one. Now we have four thousand one and ten.

0:39:47.440 --> 0:39:51.160
<v Speaker 1>We've only increased the capacity of the amount of electricity

0:39:51.160 --> 0:39:56.279
<v Speaker 1>on the grid in the last ten years by ten

0:39:56.760 --> 0:39:59.920
<v Speaker 1>like it's it's so insignificant that the amount of electric

0:40:00.280 --> 0:40:02.399
<v Speaker 1>we have on the grid has not increased at all

0:40:02.440 --> 0:40:05.759
<v Speaker 1>in ten years. If you compare that to China, ten

0:40:05.840 --> 0:40:08.440
<v Speaker 1>years ago, China had about two thousand on the grid.

0:40:08.920 --> 0:40:11.960
<v Speaker 1>They're now at seven thousand, five hundred terra wats of

0:40:12.000 --> 0:40:14.040
<v Speaker 1>power on the grid. They've done a three and a

0:40:14.120 --> 0:40:19.280
<v Speaker 1>half times increase, almost four times increase, and North America

0:40:19.400 --> 0:40:21.839
<v Speaker 1>has stayed flat lined in the same amount of time.

0:40:21.920 --> 0:40:23.680
<v Speaker 1>So they say that yeah, we're putting in the charging

0:40:23.719 --> 0:40:27.440
<v Speaker 1>stations and you see more charging stations, but we're don't

0:40:27.600 --> 0:40:32.520
<v Speaker 1>have the extra energy and electricity to support those charging stations.

0:40:32.560 --> 0:40:35.480
<v Speaker 1>And where that comes into real effect is that cars

0:40:35.480 --> 0:40:38.040
<v Speaker 1>are okay, they increase the gride load where they're at

0:40:38.040 --> 0:40:40.359
<v Speaker 1>a little bit. The price of electricity does go up,

0:40:41.080 --> 0:40:43.200
<v Speaker 1>but the amount of power that a car uses is

0:40:43.320 --> 0:40:46.000
<v Speaker 1>nothing compared to the amount of semi truck uses. So

0:40:46.040 --> 0:40:48.160
<v Speaker 1>if we were to make all the logging trucks in

0:40:48.200 --> 0:40:52.800
<v Speaker 1>British Columbia, Canada all five thousand electric at two and

0:40:52.840 --> 0:40:56.399
<v Speaker 1>a half mega wants of power per day for five

0:40:56.440 --> 0:41:00.960
<v Speaker 1>thousand trucks gives you about twelve thou in five hundred

0:41:01.000 --> 0:41:06.239
<v Speaker 1>megawatts twelve gigawatts of power. Right now, our government has

0:41:06.239 --> 0:41:09.600
<v Speaker 1>been building a new dam, the site see Dam. It's

0:41:09.600 --> 0:41:13.319
<v Speaker 1>been into construction for fifteen years. They've spent twenty one

0:41:13.480 --> 0:41:16.080
<v Speaker 1>billion dollars on it and it has a one point

0:41:16.200 --> 0:41:19.720
<v Speaker 1>one gigawatt capacity, which means you would need to build

0:41:20.480 --> 0:41:27.040
<v Speaker 1>about eight to twelve more of these dams in order

0:41:27.080 --> 0:41:32.239
<v Speaker 1>to just supply the electricity required four logging trucks in

0:41:32.320 --> 0:41:35.560
<v Speaker 1>a small province in Canada, a niche industry and a

0:41:35.640 --> 0:41:39.440
<v Speaker 1>small thing needs at least ten more hydroelectric dams in

0:41:39.560 --> 0:41:42.840
<v Speaker 1>the twenty billion dollar range. That kind of shows on

0:41:42.920 --> 0:41:46.320
<v Speaker 1>where our infrastructure is at. No, it's it's not happening

0:41:46.320 --> 0:41:50.160
<v Speaker 1>anytime soon unless we have levels of infrastructure investments similar

0:41:50.160 --> 0:41:55.719
<v Speaker 1>to what China does. It's it's just there's there's not

0:41:55.800 --> 0:41:59.160
<v Speaker 1>going to be a smooth, easy transition. It's why I'm

0:41:59.280 --> 0:42:03.440
<v Speaker 1>still in favor of these diesel electric hybrids, a much smaller,

0:42:03.800 --> 0:42:07.600
<v Speaker 1>much more efficiently ran diesel that's running at its peak

0:42:07.719 --> 0:42:11.279
<v Speaker 1>ideal rpm that then just recharge of the batteries, and

0:42:11.400 --> 0:42:13.560
<v Speaker 1>right now, what we found in our prototypes is that

0:42:13.680 --> 0:42:16.680
<v Speaker 1>you get about two hours of driving out of the

0:42:16.719 --> 0:42:19.440
<v Speaker 1>truck and you run the generator for about half an

0:42:19.480 --> 0:42:22.840
<v Speaker 1>hour to recharge the batteries half hour to forty minutes,

0:42:22.920 --> 0:42:26.240
<v Speaker 1>so it burns in that half hour about thirty liters

0:42:26.239 --> 0:42:31.000
<v Speaker 1>of diesel to drive the truck about two hundred kilometers

0:42:31.040 --> 0:42:34.359
<v Speaker 1>two hours of driving for thirty liters of diesel. If

0:42:34.400 --> 0:42:37.760
<v Speaker 1>you consider that same amount of fuel burn, you're looking

0:42:37.840 --> 0:42:40.640
<v Speaker 1>at a hundred liters of diesel to a hundred and

0:42:40.680 --> 0:42:43.839
<v Speaker 1>twenty liters of diesel. So if we're trying to reduce emissions,

0:42:44.360 --> 0:42:49.480
<v Speaker 1>reduce fuel consumption by going diesel electric, you can still

0:42:49.560 --> 0:42:54.759
<v Speaker 1>have that seventy reduction in fuel mileage burnt much more

0:42:54.800 --> 0:42:58.560
<v Speaker 1>efficiently as you go electric. And then as the grid improves,

0:42:58.880 --> 0:43:02.520
<v Speaker 1>if we do invest in our electrical infrastructure like China does,

0:43:02.600 --> 0:43:05.239
<v Speaker 1>with that charge and capacity and that electric capacity on

0:43:05.280 --> 0:43:08.880
<v Speaker 1>the grid, over time, as the batteries get better, you

0:43:08.920 --> 0:43:10.960
<v Speaker 1>can put more batteries in there, and you can make

0:43:11.000 --> 0:43:13.799
<v Speaker 1>your generator smaller instead of a nine leader, six leader,

0:43:13.880 --> 0:43:15.799
<v Speaker 1>maybe a three leader, and then you can get rid

0:43:15.840 --> 0:43:19.040
<v Speaker 1>of it all together. And that's the way I believe

0:43:19.080 --> 0:43:22.200
<v Speaker 1>that we need to transition into this zero emissions electric

0:43:22.239 --> 0:43:25.520
<v Speaker 1>economy over the next twenty thirty years is by making

0:43:25.520 --> 0:43:30.920
<v Speaker 1>that hybrid electric drive train more efficient. An evolution instead

0:43:30.920 --> 0:43:34.200
<v Speaker 1>of a revolution, I guess Chase. There was one other

0:43:34.239 --> 0:43:36.239
<v Speaker 1>thing I wanted to ask you about, which is how

0:43:36.239 --> 0:43:39.520
<v Speaker 1>have you been fundraising so far? And what's that been like?

0:43:41.280 --> 0:43:45.880
<v Speaker 1>So we did. Our first fundraising was off this crowdfunding

0:43:46.640 --> 0:43:49.759
<v Speaker 1>we uh we started off. I announced this business on

0:43:49.800 --> 0:43:54.680
<v Speaker 1>TikTok and within four days we raised about half a

0:43:54.719 --> 0:43:58.560
<v Speaker 1>million dollars and okay cool. That allowed us to get

0:43:58.560 --> 0:44:02.799
<v Speaker 1>the first retro fit quote type built. Then we built that,

0:44:03.040 --> 0:44:05.120
<v Speaker 1>we showed it off, We showed that we people we

0:44:05.160 --> 0:44:08.360
<v Speaker 1>could build it. Then we had another crowdfunding and we

0:44:08.440 --> 0:44:10.200
<v Speaker 1>had a goal of one and a half million to

0:44:10.640 --> 0:44:15.560
<v Speaker 1>start the production of the first production trucks, and we

0:44:15.719 --> 0:44:18.440
<v Speaker 1>raised that one and a half million in about four days.

0:44:18.800 --> 0:44:21.560
<v Speaker 1>And this is one of the nice things that we

0:44:21.560 --> 0:44:24.920
<v Speaker 1>were trying to stay away from venture capital, because I

0:44:25.000 --> 0:44:27.239
<v Speaker 1>made a point on that first round of investment to

0:44:27.400 --> 0:44:30.839
<v Speaker 1>call everybody that don't invested over a thousand dollars into

0:44:30.840 --> 0:44:33.279
<v Speaker 1>the company. I wanted to make sure that they were

0:44:33.320 --> 0:44:36.160
<v Speaker 1>okay with the investment. I mean literally, you invested in

0:44:36.200 --> 0:44:41.480
<v Speaker 1>a tech startup off of TikTok, Are you sure about this? Like?

0:44:41.760 --> 0:44:44.879
<v Speaker 1>And then what I found out though in that oh god,

0:44:44.880 --> 0:44:46.760
<v Speaker 1>it took three weeks to do all those phone calls.

0:44:47.160 --> 0:44:49.680
<v Speaker 1>But what I found out is that of all their

0:44:49.680 --> 0:44:53.120
<v Speaker 1>people were owner operators, small fleet owners or truck drivers.

0:44:53.680 --> 0:44:57.680
<v Speaker 1>Our investors, especially like Annex, stayed true even going into

0:44:57.680 --> 0:45:00.480
<v Speaker 1>the next thing. Our investors weren't invest thing in us

0:45:00.560 --> 0:45:03.880
<v Speaker 1>because they wanted a huge return. I can't wait to

0:45:03.920 --> 0:45:06.440
<v Speaker 1>see that return I'm investing. I mean, yeah, some of

0:45:06.440 --> 0:45:08.799
<v Speaker 1>them are hoping that, yeah, we're successful, we take the

0:45:08.800 --> 0:45:11.560
<v Speaker 1>company public, they can see a return on that initial investment.

0:45:12.120 --> 0:45:14.120
<v Speaker 1>But what they were mainly invested in is that they

0:45:14.160 --> 0:45:16.880
<v Speaker 1>wanted to buy our trucks. They believed in the trucks

0:45:16.920 --> 0:45:19.839
<v Speaker 1>we were building, they believed in how we were doing it.

0:45:20.040 --> 0:45:25.160
<v Speaker 1>So all our investors themselves, our truck drivers and company owners,

0:45:25.200 --> 0:45:27.879
<v Speaker 1>that their return on investment isn't the money they're making

0:45:27.920 --> 0:45:30.279
<v Speaker 1>off of it. Their return on investment is being able

0:45:30.280 --> 0:45:32.680
<v Speaker 1>to buy a good truck that does the job for

0:45:32.760 --> 0:45:36.040
<v Speaker 1>them without the planned obsolescence. With the efficiency of the

0:45:36.080 --> 0:45:39.080
<v Speaker 1>diesel electric system, So it's kind of put us in

0:45:39.120 --> 0:45:42.440
<v Speaker 1>this really unique thing is that we don't have venture

0:45:42.480 --> 0:45:46.040
<v Speaker 1>capital behind us asking for a big return on their investment.

0:45:46.640 --> 0:45:52.200
<v Speaker 1>We have these small owner operators, these medium sized companies

0:45:52.200 --> 0:45:54.320
<v Speaker 1>that says our return on the investment is just getting

0:45:54.360 --> 0:45:57.239
<v Speaker 1>the truck. So I think that's kind of unique in

0:45:57.280 --> 0:46:04.120
<v Speaker 1>the tech space. Chase Barbera, This is such a fascinating conversation.

0:46:04.400 --> 0:46:07.480
<v Speaker 1>I learned a lot in this episode, but I think

0:46:07.560 --> 0:46:09.719
<v Speaker 1>that's a good place to leave it. It sounds good.

0:46:09.840 --> 0:46:12.319
<v Speaker 1>I'm I'm glad I could help. There's a lot of

0:46:12.360 --> 0:46:18.600
<v Speaker 1>information to cover, yeah, super quick, everything about logging work,

0:46:18.920 --> 0:46:23.120
<v Speaker 1>vocational trucking, the the interchangeability of the parts of the

0:46:23.160 --> 0:46:27.480
<v Speaker 1>connection there to the military, the fact that these are like, uh,

0:46:27.880 --> 0:46:30.480
<v Speaker 1>sort of more bespoken, limited run so it doesn't really

0:46:30.520 --> 0:46:32.919
<v Speaker 1>make sense to stand up an assembly line for most

0:46:32.920 --> 0:46:36.080
<v Speaker 1>of these things. None of the sort of uh, the

0:46:36.200 --> 0:46:38.879
<v Speaker 1>energy systems of like charging on the way down, all

0:46:39.000 --> 0:46:43.640
<v Speaker 1>things I hadn't really thought about before, but fascinating, very fascinating.

0:46:43.880 --> 0:46:47.040
<v Speaker 1>Really appreciate you coming on, alts Oh, thanks for having

0:46:47.040 --> 0:46:49.080
<v Speaker 1>me on. I had a lot of fun talking about

0:46:49.120 --> 0:47:11.840
<v Speaker 1>this interesting great Tracy. I found that to be really fascinating.

0:47:11.880 --> 0:47:14.160
<v Speaker 1>Like I said, this was like totally new stuff. The

0:47:14.600 --> 0:47:18.439
<v Speaker 1>part about interchangeable parts of I think was like sort

0:47:18.440 --> 0:47:22.080
<v Speaker 1>of very eye opening, Like obviously I should have rephrased

0:47:22.120 --> 0:47:25.200
<v Speaker 1>what I said earlier. Obviously, supply chain resilience is a

0:47:25.280 --> 0:47:31.160
<v Speaker 1>security concern, but I had not considered interchangeability of trucking

0:47:31.280 --> 0:47:36.720
<v Speaker 1>parts or manufacturing parts more generally as part of that considerations.

0:47:36.960 --> 0:47:39.960
<v Speaker 1>And the role of the U. S. Army in doing

0:47:40.040 --> 0:47:43.359
<v Speaker 1>that was absolutely fascinating to hear. I will say, I

0:47:43.360 --> 0:47:45.400
<v Speaker 1>have a feeling the way some of our listeners feel

0:47:45.480 --> 0:47:48.759
<v Speaker 1>about our market structure episodes might be the way I

0:47:48.800 --> 0:47:52.040
<v Speaker 1>feel about some of the conversation over you know, like

0:47:52.120 --> 0:47:55.800
<v Speaker 1>engine size and structure and power needed for logging trucks.

0:47:56.040 --> 0:47:57.960
<v Speaker 1>But I think I got most of it. I I

0:47:57.960 --> 0:48:00.719
<v Speaker 1>will admit, even after all of these episodes that we've

0:48:00.760 --> 0:48:04.080
<v Speaker 1>done on energy and electricity, like I don't have an

0:48:04.120 --> 0:48:09.080
<v Speaker 1>intuitive sense of like kilowatt hours or you know, some

0:48:09.120 --> 0:48:11.520
<v Speaker 1>of thes or some of these things, like I haven't

0:48:11.719 --> 0:48:16.440
<v Speaker 1>totally internalized them. But like this like basic idea and

0:48:16.520 --> 0:48:20.720
<v Speaker 1>you know it's come up in multiple times in multiple conversations,

0:48:20.840 --> 0:48:23.799
<v Speaker 1>which is that when we're talking about electricity, there is

0:48:23.920 --> 0:48:26.960
<v Speaker 1>always this tension that doesn't really exist, you know, in

0:48:27.000 --> 0:48:30.759
<v Speaker 1>sort of other forms of like peak versus average, and

0:48:30.840 --> 0:48:33.920
<v Speaker 1>so you need to have the capacity to deliver at peak,

0:48:34.280 --> 0:48:37.360
<v Speaker 1>but oftentimes there's like a waste in terms of because

0:48:37.360 --> 0:48:39.279
<v Speaker 1>at the average time you don't need that. And so

0:48:39.320 --> 0:48:41.759
<v Speaker 1>it's interesting this idea that maybe the sort of the

0:48:41.840 --> 0:48:47.359
<v Speaker 1>diesel hybrid, the diesel hybrid electric solution is one way

0:48:47.440 --> 0:48:49.520
<v Speaker 1>to address that. And at first, like I didn't really

0:48:49.560 --> 0:48:51.439
<v Speaker 1>understand like this idea of like how are you gonna

0:48:51.480 --> 0:48:53.840
<v Speaker 1>have like a truck and company and it's sort of

0:48:53.880 --> 0:48:56.080
<v Speaker 1>like crowdfunded, like do you need like hundreds of millions

0:48:56.120 --> 0:48:59.600
<v Speaker 1>and billions of dollars? But if they're bespoke or if

0:48:59.680 --> 0:49:03.120
<v Speaker 1>it's if they're certain owner operators as well, where the

0:49:03.200 --> 0:49:08.680
<v Speaker 1>expectation is for bespoke and it's sort of these interchangeable parts,

0:49:09.120 --> 0:49:11.480
<v Speaker 1>then it makes a little bit more sense to me. Yeah,

0:49:11.520 --> 0:49:14.920
<v Speaker 1>the peak versus average use thing is really important, I think.

0:49:14.960 --> 0:49:18.280
<v Speaker 1>And also I hadn't, you know, listening to Chase talk

0:49:18.600 --> 0:49:24.000
<v Speaker 1>about the weight of actually moving logs, like I hadn't

0:49:24.040 --> 0:49:27.279
<v Speaker 1>really considered it. But that tree that fell down, we

0:49:27.320 --> 0:49:29.000
<v Speaker 1>have to, um, my husband and I we have to

0:49:29.080 --> 0:49:32.000
<v Speaker 1>lift it up before we can chop it into pieces

0:49:32.080 --> 0:49:35.160
<v Speaker 1>because it's flat on the ground. And trying to lift

0:49:35.200 --> 0:49:37.799
<v Speaker 1>that thing, you start to get a sense of what

0:49:37.920 --> 0:49:40.680
<v Speaker 1>it must be like to cart around a whole load

0:49:41.280 --> 0:49:46.080
<v Speaker 1>of logs. They're just incredibly heavy. Just that him hearing

0:49:46.120 --> 0:49:49.560
<v Speaker 1>him talk about like going downhill turn and then having

0:49:49.600 --> 0:49:55.920
<v Speaker 1>to like use stress as a plow to sort of

0:49:55.960 --> 0:49:58.600
<v Speaker 1>like build up resistance and slow down, like having to

0:49:58.640 --> 0:50:00.440
<v Speaker 1>wear with all. And I remember the So I think

0:50:00.480 --> 0:50:03.200
<v Speaker 1>this is something that I'm Gord talked about too, which

0:50:03.200 --> 0:50:05.359
<v Speaker 1>is that if you want to make more, make some

0:50:06.080 --> 0:50:08.600
<v Speaker 1>better money and trucking, you have to be you have

0:50:08.640 --> 0:50:12.359
<v Speaker 1>to specialize in some way. And you can see how

0:50:12.480 --> 0:50:15.600
<v Speaker 1>specialized knowing how is like knowing how to do that,

0:50:15.840 --> 0:50:18.840
<v Speaker 1>or like having like half the wheelbase be over the edge,

0:50:19.239 --> 0:50:20.719
<v Speaker 1>like if I guess if you're going to have like

0:50:20.760 --> 0:50:24.080
<v Speaker 1>a higher a higher salary and trucking than these are

0:50:24.120 --> 0:50:26.400
<v Speaker 1>some of the choices you have to make. Absolutely. The

0:50:26.440 --> 0:50:28.839
<v Speaker 1>other thing I was thinking about was just this comes

0:50:28.880 --> 0:50:30.800
<v Speaker 1>up on all thoughts all the time, but the idea

0:50:30.880 --> 0:50:34.719
<v Speaker 1>of in a very cyclical industry, how do you sort

0:50:34.760 --> 0:50:38.319
<v Speaker 1>of encourage people to build up capacity that you know,

0:50:38.440 --> 0:50:40.719
<v Speaker 1>at some point it is probably going to get furloughed, right,

0:50:40.719 --> 0:50:44.400
<v Speaker 1>And Chase was talking about how when the lumber industry

0:50:44.400 --> 0:50:47.600
<v Speaker 1>experiences a downturn, a lot of logging trucks just end

0:50:47.680 --> 0:50:49.440
<v Speaker 1>up on the sidelines. But at the same time, you

0:50:49.480 --> 0:50:52.680
<v Speaker 1>don't actually have that many logging trucks when the industry

0:50:52.719 --> 0:50:55.320
<v Speaker 1>starts to heat up again. Yeah, all right, shall we

0:50:55.400 --> 0:50:57.480
<v Speaker 1>leave it there. Let's leave it there. Okay. This has

0:50:57.520 --> 0:51:01.120
<v Speaker 1>been another episode of the All Thoughts podcast. I'm Tracy Allowait.

0:51:01.239 --> 0:51:03.759
<v Speaker 1>You can follow me on Twitter at Tracy Alloway and

0:51:03.800 --> 0:51:06.600
<v Speaker 1>I'm Joe Isn't All. You can follow me on Twitter

0:51:06.800 --> 0:51:10.400
<v Speaker 1>at the Stalwart. Follow our guest Chase Barber. He's on TikTok.

0:51:10.440 --> 0:51:13.040
<v Speaker 1>I don't even think he's on Twitter. He's at Chase

0:51:13.120 --> 0:51:15.560
<v Speaker 1>Barber on TikTok. If he had lots of videos about

0:51:15.600 --> 0:51:19.719
<v Speaker 1>all this stuff super interesting. Follow our producers Carmen Rodriguez

0:51:19.760 --> 0:51:24.480
<v Speaker 1>at Carmen Armand and Dashel Bennett at dashbot. And follow

0:51:24.520 --> 0:51:28.440
<v Speaker 1>all of the Bloomberg podcasts under the handle at podcasts

0:51:28.600 --> 0:51:31.719
<v Speaker 1>and for more odd Lots content, go to Bloomberg dot

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<v Speaker 1>com slash odd Lots or Tracy and I blog, We

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<v Speaker 1>push transcripts. We have a weekly newsletter that comes out

0:51:38.440 --> 0:51:41.480
<v Speaker 1>every Friday. Go there, subscribe to it and check it out,

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<v Speaker 1>and thanks for listening to do it. E.