Over the next five years, Amazon will invest more than one billion euros (R17.7 billion) in electric vans, lorries, and low-emission package hubs across Europe. Taking this step accelerates the company’s efforts to reach net-zero carbon emissions.
According to the statement made by the company, the investment was also made to foster innovation within the transportation industry and support the development of additional public charging infrastructure for electric vehicles.
The US-based online store says that the investment will allow it to more than triple the number of electric vans in Europe, from 3,000 to over 10,000 by 2025.
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Amazon places an order for 100,000 Electric Vans
The largest order that Amazon has placed for electric vans is with Rivian Automotive for 100,000 vehicles to be delivered between now and 2025.
The company did not specify what proportion of its European last-mile delivery fleet is electric at present, but it did state that those 3,000 vehicles with zero emissions delivered more than 100 million products in 2021.
Amazon has stated that it has the intention of purchasing more than 1,500 electric heavy-goods vehicles in the upcoming years. These vehicles are utilized for “middle-mile” transportation to packaging hubs.
Even though large logistics companies like United Parcel Service and FedEx have promised to buy a lot of electric vans and trucks with no emissions, there are still not that many of these vehicles for sale.
A number of start-up companies are engaged in a competition to be the first to bring electric vans or trucks to market. Manufacturers like Ford and General Motors are becoming more of a threat to these companies. The largest order that Amazon has placed for an electric van was with Rivian Automotive for 100,000 vehicles to be delivered between now and 2025.
Amazon also plans to Install car chargers around Europe
In addition to electric cars, the company has said it plans to put money into installing thousands of chargers in different parts of Europe.
The store said it would also put money into expanding its network of “micro-mobility” hubs, which are already in more than 20 cities in Europe.
Amazon has used these strategically placed hubs to try out new delivery methods, like electric cargo bikes or deliveries on foot, in an effort to reduce the company’s overall emissions.
The corporation has set a goal to attain carbon neutrality by the year 2040.
About Amazon
U.S-based Amazon.com, Inc. works in many different areas, including e-commerce, cloud computing, online advertising, digital streaming, and artificial intelligence. As “one of the most influential economic and cultural forces in the world,” it is also one of the most valuable brands in the world. Along with Alphabet, Apple, Meta, and Microsoft, it is considered one of the Big Five IT firms in the United States.