Tesla Inc next month plans to unveil an electric big-rig truck with a working range of 200 to 300 miles, Reuters has learned, a sign that the electric car maker is targeting regional hauling for its entry into the commercial freight market.

Chief Executive Elon Musk has promised to release a prototype of its Tesla Semi truck next month in a bid to expand the company’s market beyond luxury cars. The entrepreneur has tantalized the trucking industry with the prospect of a battery-powered heavy-duty vehicle that can compete with conventional diesels, which can travel up to 1,000 miles on a single tank of fuel.

Tesla’s electric prototype will be capable of traveling the low end of what transportation veterans consider to be “long-haul” trucking, according to Scott Perry, an executive at Miami-based fleet operator Ryder System Inc (R.N). Perry said he met with Tesla officials earlier this year to discuss the technology at the automaker’s manufacturing facility in Fremont, California.

Perry said Tesla’s efforts are centered on an electric big-rig known as a “day cab” with no sleeper berth, capable of traveling about 200 to 300 miles with a typical payload before recharging. “I’m not going to count them out for having a strategy for longer distances or ranges, but right out of the gate I think that’s where they’ll start,” said Perry, who is the chief technology officer and chief procurement officer for Ryder.

Tesla responded to Reuters questions with an email statement saying, ”Tesla’s policy is to always decline to comment on speculation, whether true or untrue, as doing so would be silly. Silly!” Tesla’s plan, which could change as the truck is developed, is consistent with what battery researchers say is possible with current technology. Tesla has not said publicly how far its electric truck could travel, what it would cost or how much cargo it could carry. But Musk has acknowledged that Tesla has met privately with potential buyers to discuss their needs.