FedEx will replace its current delivery trucks with electric models until its entire fleet is zero-emission vehicles by 2040. The company is making this transition to help it achieve its goal of achieving neutral status in carbon the same year. In his ad, FedEx has said it will phase out its existing parcel delivery trucks and that 50% of its global vehicle purchases will be electric by 2025. All of its vehicle purchases will be electric vehicles by 2030, and it is targeting to completely withdraw its gasoline trucks 10 years later.
The delivery giant, which joins a long list of companies pledging to reach carbon neutral status (or carbon negative status, in Microsoft’s case), has earmarked an initial investment of $ 2 billion for the initiative. Some of that money will obviously be spent on purchasing electric vehicles, but FedEx will also continue to invest in alternative fuels to reduce emissions from its planes and vehicles. Since a delivery company will have to use fuel, FedEx has also pledged Yale University $ 100 million to launch the institution’s Center for Natural Carbon Capture. On the site of the center, the university wrote that it “will focus on the development of collaborative and innovative solutions to extract carbon dioxide from our atmosphere and mitigate the effects of greenhouse gas emissions”.
FedEx also plans to work with its customers to make their supply chains sustainable with carbon neutral shipping offerings and sustainable packaging solutions. In addition, it will invest money to make its facilities around the world more efficient and give them the capacity to run on renewable energy.