FedEx deploys electric vehicles to advance sustainability goal.
FedEx Express (FedEx), a subsidiary of FedEx Corp. (NYSE: FDX) and the world’s largest express transportation company, is deploying 30 electric delivery vehicles in Delhi as part of its goal to achieve carbon-neutral operations globally by 2040.
Introducing electric vehicles (EV) marks a critical milestone for FedEx, as the company plans to transform its entire parcel pickup and delivery fleet to zero-emission electric vehicles by 2040. FedEx has a goal of converting 50% of its global pickup and delivery vehicle purchases to electric by 2025, with that increasing to 100% by 2030. Last year, the company conducted EV trials in India to test the vehicle technology and assess the vehicles’ operational effectiveness on a standard route fully loaded with packages. Based on these trials, each new electric vehicle added to the FedEx fleet is estimated to save up to 1.3 tons of carbon Emissions annually.
“At FedEx, we have ambitious sustainability goals, and our phased approach to vehicle electrification is a crucial part of our roadmap to reduce environmental impact in pursuit of a greener world”, said Suvendu Choudhury, Managing Director of FedEx Express India Operations. “The increasing popularity of e-commerce means transforming our operations to be more sustainable is more important than ever. The electrification of our fleet will go a long way towards minimizing carbon emissions in our operations while at the same time sustainably delivering to the same service standards,” he added.
Electric vehicles provide a technologically advanced, clean, and smart solution for e-cargo mobility. In addition to addressing the core need of timely and efficient last-mile deliveries, electric vehicles also help meet the future commitment and aspirations of its conscientious customers to achieve net zero carbon footprint. Its container is made of light-weight, durable materials that suits the logistic industry demands.
According to the research commissioned by FedEx, nine out of ten consumers in India expect businesses to deliver sustainably and those with sustainable operations are likely to get more business. Eight out of ten prefer to buy from companies with an effective environmental, social, and governance (ESG) strategy in place.
In 2003, FedEx was the first delivery company in the world to use hybrid vehicles for pickup and delivery and, in 1994, the company used its first electric vehicle – an acid battery-powered vehicle in California. FedEx has been a vocal advocate for improved fuel efficiency standards and policies to support the commercial deployment of alternative-fuel vehicles.