Start-Up Scout Motors Taps Michigan for R&D Center

Scout Motors, a Volkswagen-backed start-up planning to sell a line of light-duty battery-electric trucks and off-road vehicles, is to open an R&D center in suburban Detroit after nailing down a $10 million grant from the Michigan Economic Development Corp.

The brand, named after the Scout rival to Jeep produced by the International Harvester company between 1961 and 1980, will now see its Scout Innovation Center in Novi, MI, employ up to 200 staff working in its product, design and engineering teams, according to a company announcement.

Naturally, the revived name plate expects to draw on the original brand’s history which included nearly half-million Scouts sold both to consumers and to the U.S. Department of Defense.

Over the following years, original versions of the Scout developed a cult following among hunters, off-roaders and collectors. Restoration of original Scouts is emerging as something of a cottage industry.

In 2021, Volkswagen completed a deal for Chicago-based Navistar, acquiring the rights to the Scout name. A year later VW announced plans to re-launch Scout as an all-electric brand. Referring to the brand’s historical links, president and CEO of Scout Motors Scott Keogh, says: “Our new vehicles will honor Scout’s hard-working heritage while injecting fresh American ingenuity to create a new era of iconic, all-purpose vehicles,”

The company says its trucks and SUVs will be built on an all-electric platform aimed at off-road performance with an emphasis on ground clearance, approach angles, payload capacity, range and new digital features. Production is expected to begin in late 2026.

Scout initially was expected to locate the engineering center near the site of the company’s new assembly plant in South Carolina but moved north after Gov. Gretchen Whitmer made the case for Michigan. Whitmer says: “Winning this investment proves that Michigan offers the best opportunity for automotive companies – from R&D to manufacturing.” []

Rivian, Ford, General Motors and Stellantis, major competitors for the off-road customer, all have extensive technical operations in Michigan.

However, the state’s ambitious plans to build up the state’s EV capacity has suffered setbacks of late. Ford has confirmed plans to reduce production of the F-150 Lightning in Dearborn, MI, and has scaled back plans for a battery plant in Marshall, MI. Also, plans by China-based Gotion to make critical EV components near Big Rapids, MI, have run into intense local opposition.

Scout hopes to tap into Michigan’s existing pool of talent in design and engineering seen recently when it named a veteran Stellantis design executive to serve as the company’s Chief Design Officer.