Germany’s postal service could become a manufacturer of electric vehicles sold to other fleets.

Deutsche Post DHL Group has 2,500 Streetscooter electric delivery vans in its fleet. The company will be doubling its current annual production level to 4,000 by the end of the year.

Part of that production output can be sold to external fleet customers at a price of 32,000 euros ($34,000), according to Automotive News.

The company is now considering launching a second assembly plant that could increase annual production to 20,000 a year.

Deutsche Post DHL bought Streetscooter in 2014 and planned initially to build 2,000 electric vans a year. Steetscooter also offers electric work trucks and delivery scooters.

Volkswagen Group CEO Matthias Mueller said he was “annoyed beyond measure” that the postal group didn’t reach out to VW’s commercial vehicles unit before deciding to work with Streetscooter.

Now the German postal and courier service company is preparing to compete with Volkswagen and others for fleet customers.

This year, Deutsche Post DHL plans to sell about half of its manufactured EVs to third-party customers.

Opportunity is being explored for ramping up production with Streetscooter to 100,000 EVs per year.

SEE ALSO:  Volkswagen Electric e-Crafter Delivery Van Coming Next Year

Automakers are exploring electric vans and other vehicles to better service the rapidly growing urban mobility sector.

Volkswagen has brought its e-Crafter all-electric delivery van close to production level. It was introduced last fall at the IAA Commercial Vehicle Show in Hannover, Germany.

VW’s e-Crafter has 312 lithium-ion cells hidden under the cargo floor. The cells store 43-kilowatt hours, which is enough to provide 129 miles (208 km) of driving range.

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