The next generation of electric freight trucks may begin with vehicles already on the road. Toronto-area battery manufacturer Electrovaya has announced approximately US$26 million in initial battery orders from Australian company Janus Electric, opening a new chapter in efforts to convert existing diesel-powered trucks into electric vehicles across Canada and the United States.
Announced on October 28, 2026, the agreement supports Janus Electric’s growing North American operations, where heavy-duty truck conversions are gaining interest among commercial fleet operators.
Instead of replacing entire trucks, Janus removes diesel engines and installs electric drivetrains supported by interchangeable battery systems. Deliveries of Electrovaya batteries have already begun, although the full value of the purchase orders remains conditional on confirmed delivery schedules.
A $26-Million Agreement Opens a New Market for Electrovaya
Electrovaya, a Canadian lithium-ion battery technology company listed on the Toronto Stock Exchange and Nasdaq under the symbol ELVA, has entered into a strategic supply agreement with Janus Electric Holdings Limited. The Australian company specializes in transforming existing Class 8 diesel trucks into battery-electric vehicles. Under the arrangement, Electrovaya has received approximately US$26 million in initial purchase orders for battery systems supporting planned conversions in Canada and the United States. Janus separately reported the value at approximately A$37.5 million, reflecting the different currencies used in the companies’ announcements.
The agreement is particularly significant because it connects a Canadian battery supplier with a growing market for heavy-duty vehicle electrification. Unlike passenger vehicles, commercial trucks often remain in service for many years, making their replacement expensive. However, Electrovaya’s announcement includes an important qualification: the purchase orders will not become binding until delivery schedules are confirmed. The agreement therefore represents a substantial potential business opportunity rather than guaranteed revenue. For both companies, the challenge now is converting purchase commitments into completed deliveries and operating electric trucks.
Existing Diesel Trucks Will Get Electric Powertrains Instead of Being Replaced
Janus Electric’s technology offers an alternative to the traditional approach of purchasing entirely new electric trucks. The company removes a vehicle’s diesel engine and installs an electric drivetrain, battery connections and supporting electronics while retaining much of the existing vehicle. The conversion is designed to preserve familiar driving characteristics and allow transport operators to continue using equipment that already fits their business. Rather than purchasing a completely new tractor, a fleet could potentially electrify a truck whose chassis and other components remain suitable for years of additional service.
This approach addresses a particularly important problem in commercial transportation: the enormous investment already tied up in existing fleets. Natural Resources Canada notes that many medium- and heavy-duty trucks remain in operation for more than a decade, meaning new-vehicle emissions standards alone cannot immediately transform the trucks already on Canadian roads. Conversions could provide another route toward reducing diesel consumption. Nevertheless, every vehicle must still meet relevant safety and operating requirements, and the economics depend on its condition, remaining service life and conversion costs. A relatively young, well-maintained tractor may be a more attractive candidate than a truck approaching retirement.
Battery Swapping Could Keep Electric Trucks Moving Without Long Charging Stops
One of the most distinctive features of Janus Electric’s platform is its battery-swapping technology. Each conversion is expected to use approximately 600 kilowatt-hours of Electrovaya battery capacity, according to the October 28 announcement. Rather than requiring a truck to remain connected to a charger while its batteries replenish, the system uses specialized Janus Charge & Change Stations to exchange depleted battery packs for charged replacements. Janus says the process can take minutes, potentially allowing drivers to resume their deliveries with substantially less charging-related downtime.
The concept already has operational experience behind it. In its 2026 annual report, Janus stated that 28 converted electric trucks were operating on customer routes in Australia by June 30. Together, those vehicles had travelled more than 750,000 kilometres and completed over 4,000 battery swaps, supported by a network of 11 stations. These figures offer evidence that the system can function beyond laboratory testing. However, translating that experience into North America will require reliable charging infrastructure, sufficient spare batteries and stations positioned near the routes fleets actually use. The technology’s commercial value ultimately depends on whether battery availability matches the demanding schedules of freight operators.
Janus Electric’s North American Order Book Has Already Reached 124 Trucks
The latest agreement arrives as Janus Electric expands its North American customer base. Electrovaya’s October 28 announcement referred to orders and commitments covering 118 diesel-to-electric truck conversions across Canada and the United States. However, Janus had announced an additional six-truck order from California-based King Fio Trucking on October 27, increasing its reported North American order book to 124 vehicles. The new order, valued at approximately A$3.1 million, doubled King Fio’s commitment to 12 trucks and brought the broader North American order book to approximately A$64.6 million in gross contract value.
California has emerged as a particularly important market. Logistics operator Ability Tri-Modal expanded its planned conversions to 20 trucks in July, while additional operators have placed orders as Janus develops its presence around the state’s freight and port networks. The appeal is understandable: trucks serving ports and distribution centres frequently operate on repeatable routes where energy infrastructure can be planned around established movements. Nevertheless, purchase commitments should not be confused with completed conversions. Some orders remain subject to incentives, funding arrangements and delivery conditions. The company’s next milestone will be demonstrating that its expanding customer pipeline can translate into a dependable fleet operating on American roads.
Canada’s Initial Deployment Will Begin With a Smaller Group of Trucks
Canada is also included in Janus Electric’s expansion plans, although its initial deployment is considerably smaller than the company’s American order book. Earlier in 2026, Janus established a strategic partnership with a Toronto-based consortium involving transportation, alternative energy and asset financing businesses. The Canadian arrangement covers a potential 25 heavy-duty truck conversions. Under the first commercial phase outlined in July, the partners planned five conversions, 15 swappable battery packs and two charging stations, with deliveries targeted for November 2026. A successful initial phase could be followed by another 20 conversions, 60 battery packs and seven charging stations.
The Canadian operation would also create a cross-border manufacturing arrangement. Janus conversion equipment is intended to be exported from its New South Wales operation in Australia, with trucks converted in Ontario. This approach could allow Canadian transport businesses to adopt the technology without establishing a completely new truck manufacturing operation. However, the subsequent deployment remains conditional on financing, regulatory approvals and commercial progress. The Canadian market offers considerable potential, particularly among operators with established regional routes, but fleet owners will want evidence that electric conversions can withstand Canadian operating conditions while delivering competitive long-term costs.
Electrovaya’s Batteries Are Designed for Demanding Industrial Applications
Electrovaya’s role extends beyond simply supplying electricity storage capacity. The company develops lithium-ion battery systems using its proprietary Infinity Battery Technology, which it promotes for applications requiring durability, safety and long operating life. Those qualities are especially important in heavy trucking, where vehicles may travel substantial distances and batteries can experience repeated charging and discharging cycles. The Janus arrangement places Electrovaya’s technology in an environment where dependable daily performance matters just as much as the maximum energy a battery can store.
Janus has also been working to improve the performance of its conversion equipment. Its 2026 annual report highlighted a lighter JCM 2.0 conversion package that reduces drivetrain weight by approximately 400 kilograms. Combined with its newer JBS650 battery system, the company reported improvements of up to 900 kilograms in freight-carrying capacity and approximately 12% in vehicle range. These are company-reported performance improvements rather than guarantees for every truck. For fleet operators, however, the underlying issue is straightforward: a converted electric vehicle must carry enough cargo to earn its keep. Battery weight, operating range, reliability and maintenance requirements can determine whether electrification makes financial sense.
Electrovaya Is Expanding Battery Manufacturing in New York
Although Electrovaya maintains its Canadian research and manufacturing operations, its next major expansion is taking place south of the border. The company is developing a battery manufacturing facility in Jamestown, New York, on a 52-acre property containing approximately 135,000 square feet of manufacturing space. The site is intended to support lithium-ion cell, module and battery-pack production. Electrovaya expects the new manufacturing capabilities to come online during its 2027 fiscal year, potentially strengthening its ability to supply customers throughout North America.
Progress has been underway, but the project has not yet reached full commercial production. In an October 14 business update, Electrovaya reported that factory acceptance testing of its module manufacturing equipment had been completed, while testing of cell manufacturing equipment was continuing. The company also projected approximately US$71 million in normalized revenue for fiscal 2026, based on preliminary unaudited results. Against that backdrop, the Janus battery orders represent a potentially meaningful addition to its commercial pipeline, although their value cannot yet be treated as realized sales. Regional battery production could eventually improve delivery flexibility and reduce some cross-border supply-chain exposure, provided the manufacturing expansion proceeds as planned.
Electrovaya Is Also Planning a $1.4-Million Investment in Janus Electric
The relationship between the two businesses goes beyond a conventional supplier-and-customer arrangement. Electrovaya has entered into a term sheet to invest approximately A$2 million, equivalent to US$1.4 million, in Janus Electric through a proposed share placement. Under the announced terms, Electrovaya could receive approximately 4.2 million Janus shares, along with up to 6.3 million warrants. The final share allocation depends on the agreed pricing mechanism, which references Janus’s five-day volume-weighted average share price on the Australian Securities Exchange.
The warrants would allow Electrovaya to purchase additional shares at 125% of the placement issue price and would expire three years after issuance. Janus intends to use the investment proceeds for working capital as it expands its commercial activities. The proposed investment gives Electrovaya a potential financial interest in the success of the conversion platform that uses its batteries. It also creates additional exposure to Janus’s ability to execute its business plan. Importantly, the placement remains subject to customary completion conditions and required approvals. For Janus, dependable battery supply and access to capital are both essential if it is to convert a growing order book into delivered vehicles.
Heavy-Duty Truck Electrification Could Deliver Meaningful Emissions Benefits
The broader environmental importance of the deal becomes clearer when examining the transportation sector. Environment and Climate Change Canada reported that transportation generated approximately 151 million tonnes of carbon dioxide-equivalent emissions in 2024, representing 22% of the country’s total greenhouse gas emissions. Heavy-duty freight transportation is a substantial contributor. In the United States, federal emissions inventories have similarly identified medium- and heavy-duty trucks as responsible for roughly 23% of transportation-related emissions. Reducing dependence on diesel-powered freight vehicles could therefore make a meaningful contribution to transportation decarbonization.
Independent research supports the potential benefits, although results vary depending on vehicle operation and electricity sources. A 2026 life-cycle study published in Environmental Science & Technology found that battery-electric medium- and heavy-duty vehicles can produce approximately 10% to 60% fewer greenhouse gas emissions than comparable diesel vehicles under the conditions studied. Electric trucks also eliminate diesel exhaust from their tailpipes, offering potential air-quality benefits along busy transport corridors. However, battery production and electricity generation still have environmental impacts. Converting existing trucks may preserve usable vehicle components, but its overall environmental advantages must be assessed alongside battery manufacturing, energy consumption and the remaining life of each vehicle.
Government Incentives and Real-World Economics Will Determine What Happens Next
Financial incentives remain an important consideration for operators evaluating electric trucks. In California, the Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project has supported qualifying battery-electric conversions, including Janus equipment. However, funding availability and program conditions can change. In Canada, the federal Incentives for Medium- and Heavy-Duty Zero-Emission Vehicles program, which previously provided support of up to C$200,000 for eligible purchases, closed on March 31, 2026. That makes other available financing arrangements, provincial programs and the underlying economics of electric operation especially important for Canadian fleets considering conversions.
The biggest question now is whether the technology can consistently deliver financial savings without disrupting operations. Fleet managers must consider electricity costs, battery replacement, maintenance, payload, insurance, infrastructure investment and the time trucks spend earning revenue. A rapid battery swap can reduce downtime, but only when sufficiently charged packs and functioning stations are available. Electrovaya and Janus have made progress by linking battery supply with a growing collection of North American customer commitments. Yet the real measure of success will come when those commitments become completed conversions, when battery stations operate reliably, and when transport companies demonstrate that their existing trucks can move freight economically without burning diesel.
