The project goal is to develop and demonstrate a Class 4 delivery vehicle that reduces fuel consumption by 50% or more when compared to an equivalent vehicle with a conventional internal combustion engine (ICE) powertrain driven on a comparable duty cycle. This shall be achieved using a plug-in hybrid electric (PHEV) configuration that optimizes the efficiency of the ICE. The proposed solution aims to be commercially viable for fleets to procure the system without additional incentives. To accomplish this, commercialized light-duty vehicle electric drive components shall be used. A PHEV configuration for Class 4 MD/HD vocational vehicles using commercialized light-duty vehicle electric drive components will require the development of a new topology for the hybrid powertrain applicable to medium-duty vehicles. Prior research indicates that an identified novel power split device could provide a fuel economy improvement potential of up to 51%. Utilizing an advanced battery management algorithm that will allow operation closer to the battery limits, the project will minimize battery capacity to achieve the desired performance results while maintaining the cost target for high commercialization. The solution must be cost effective to purchase and integrate into a Class 4 delivery vehicle, deliver the intended fuel economy improvement, and perform as well, or better, than the current conventional ICE powertrain. MD/HD vehicles typically require higher power, which is one factor that results in high costs for the powerful electric machines typical in larger HEV/PHEV systems. A key element in the project is the use of commercially available Bosch electric drive components (e.g., motors, batteries, and power electronics) from the larger passenger vehicle segment. This leverages the economies of scale to decrease cost and improve reliability beyond current purpose-built low-volume commercial vehicle components. These innovations will result in a game-changing PHEV system that meets DOE?s 50% fuel consumption reduction target, grants the vehicle an uncompromised driving range, and achieves the cost point for widespread adoption.