Arc gets its first major order for electric tugboats worth $160M

Arc Boats, a Los Angeles startup founded in 2021 by former SpaceX employees, has secured its first major order for hybrid-electric tugboats valued at $160 million. The contract, signed with Curtin Maritime, involves building eight ship-assist tugboats designed to help maneuver large cargo ships at the Port of Los Angeles, with deliveries expected by 2027. These tugs will be constructed in partnership with Snow & Co. shipyard. Unlike traditional diesel-powered tugs that emit significant pollution, Arc’s hybrid-electric models use large batteries and electric motors supplemented by a smaller diesel generator for extended range, aiming to drastically reduce harmful emissions such as black carbon and sulfur oxides. Arc’s hybrid system not only cuts pollution but also frees up space by eliminating large exhaust stacks, potentially allowing for improved crew quarters and better visibility from the wheelhouse. Each tug will feature over 4,000 horsepower powered by a 6MWh battery, with the diesel generator acting primarily as a backup for charging