AC Propulsion is a San Dimas, California, USA company founded in 1992 by Alan Cocconi, Wally Rippel, and Paul Carosa, that specializes in alternating current-based drivetrain systems for electric vehicles. It offers AC-induction traction motors. The company produces electric vehicle drive systems featuring high performance, high efficiency induction motors and integrated high power battery charging. Previously, they built an electric sports car, the tzero and the eBox, an electric conversion based on the Scion XB. They also develop prototype electric vehicles for OEM customers.

The tZero is a hand-built electric sports car designed and built in very limited numbers by the U.S. pioneering company AC Propulsion in the mid 1990's. It was the inspiration and direct predecessor of the Tesla line of electric cars. The only part of the tZero that was not proprietary was the body that was based on the Piontek Sportech sports car, yet many parts of the body and interior were extensively modified. It consists of a Kevlar & Carbon Fiber reinforced body built over a custom hand-built reinforced stainless steel fabricated to package batteries space frame with double wishbone independent suspension and rack and pinion steering. AC Propulsion utilized their AC-150 drivetrain, a single-speed electric system with an overall gear ratio of 9:1.