Self-driving truck startup TuSimple stated Tuesday it raised a further $120 million from traders to be used to develop long-haul services for truck lines and collectively develop an autonomous industrial vehicle with truck manufacturers and suppliers.
TuSimple said the new investments had been a part of a round of fundraising that was oversubscribed and reached a total of $215 million.
The firm’s new investors include Chinese alternative funding agency CDH Investments, Hong Kong-based funding agency Lavender Hill Capital and Korean auto supplier Mando. TuSimple stated the most recent investments bring its total funding up to now to $398 million.
That same round of funding included an investment by UPS Ventures, the enterprise capital unit of United Parcel Service. TuSimple is also conducting street tests for UPS’s supply-chain enterprise on a busy stretch of highway covering a little more than 100 miles (160 km) between Phoenix and Tucson.
However, self-driving vehicles are seen as an easier proposition as most run regularly on predictable, revenue-making highway routes around the clock, often early in the morning when driving conditions are ideal.
Until the firm has its own specially engineered truck on the highway, the startup aims to expand the service it’s currently running for 18 truck freight clients in the U.S. using retrofitted trucks.
TuSimple currently has a driver and engineer in every truck on freight runs while its self-driving technology is tested.
TuSimple further ran a two-week test for the U.S. Postal Service earlier this year transporting mail across three southwestern states.