Top 10: Sustainable Fleets

As global emissions and environmental concerns intensify, sustainable fleet management has become a priority for businesses and governments worldwide.

Transitioning to eco-friendly vehicles and optimising fuel efficiency not only lowers greenhouse gas (GHG) emissions but also reduces operational costs, boosts public image and aligns with regulatory demands for lower carbon footprints.

Sustainable fleets, incorporating electric, hybrid and alternative fuel vehicles, support cleaner air, conserve resources and help organisations meet near- and long-term sustainability goals. 

With advancing technology and growing infrastructure, adopting sustainable fleets is more achievable and impactful than ever, promoting long-term environmental stewardship while driving operational efficiency and resilience in transport.

Here, Supply Chain Digital takes a look at the top 10 sustainable fleets.

10. Siemens

• Revenue: US$83.1bn

• Employees: 320,000

• CEO: Roland Busch

• Founded: 1847

Establishing a fully-electrified ­vehicle fleet and a reliable charging infrastructure are key aspects of Siemens’ ambitious goal to reach net-zero operations by 2030, with 90% emission reduction compared to 2019 levels. 

Siemens committed to Climate Group’s EV100 initiative in 2021 and, in doing so, pledged to make all its vehicles weighing under 3.5 tonnes 100% electric by 2030. Those between 3.5 and 7.5 tonnes must be 50% electrified. 

This also entails investing in the installation of necessary charging infrastructure at Siemens locations.

9. Schneider Electric

• Revenue: US$38.7bn

• Employees: 150,000

• CEO: Olivier Blum

• Founded: 1836

Sustainability can be found at the heart of Schneider Electric’s purpose, culture and business as it attempts to achieve net-zero emissions by 2030.

Fleet electrification undoubtedly forms a crucial part of the organisation’s path toward carbon neutrality. 

Schneider Electric has previously committed to electrifying 14,000 vehicles globally by 2025, 1,200 of which are based in the UK. 

“Sustainability is at the heart of everything we do and, everyday, our employees have a crucial role to play in positively impacting climate,” says David Hall, Vice President, Power Systems at Schneider Electric.

8. IKEA

• Revenue: US$50.4bn

• Employees: 219,000

• CEO: Jesper Brodin (Ingka Group)

• Founded: 1943

It’s safe to say IKEA has gone all-in on achieving zero-emission deliveries by 2025. 

Since embarking on this bold transition back in 2017, the iconic home furnishing specialist has managed to double its EV fleet each year globally, with the exception of FY22. 

IKEA’s methodology for achieving zero-emission deliveries involves:

• Setting clear and achievable targets for reducing IKEA CO2 emissions within its delivery fleet

• Identifying and adopting technologies and fuels suitable for national infrastructure

• Collaborating closely with local authorities, partners and communities to create an enabling environment for zero-emission logistics

• Regularly monitoring and transparently reporting progress to ensure accountability.

7. DHL

• Revenue: US$87.5bn

• Employees: 594,000

• CEO: Tobias Meyer

• Founded: 1969

DHL is continuously striving to modernise its fleet by adding electric vehicles and introducing alternative drive systems. 

These innovations span the entire supply chain, from the critical first mile to the complex last. 

Today, the logistics leader operates around 30,000 electric vehicles worldwide and, by 2030, three in five pick-ups and deliveries will be handled by EVs if DHL manages to make good on its target. 

“Every major DHL region worldwide now operates electric vehicles in the last mile,” explains Ben Gesing, Director of Global Ground Operations at DHL Express. “It’s truly an exciting time for all involved in ground operations and fleets.”

6. UPS

• Revenue: US$91bn

• Employees: 500,000

• CEO: Carol B. Tomé

• Founded: 1907

Believe it or not, UPS has been investing in, researching and driving electric vehicles (EVs) since the 1930s. 

One of the organisation’s key present-day sustainability commitments is to reimagine its network with innovation-driven investments that include electric ground vehicles and climate-conscious facilities.

A significant advancement came about in 2022 when the shipping giant set about electrifying the entirety of its fleet in China. Soon, almost all of UPS’ delivery fleet in the downtown areas of Beijing and Xi’an had been fully electrified.

UPS aims to reach 40% alternate fuel in ground operations by 2025.

5. PepsiCo

• Revenue: US$91.5bn

• Employees: 318,000

• CEO: Ramon Laguarta

• Founded: 1965

PepsiCo, the food and drink powerhouse, is playing a big part in the global effort to lower greenhouse gas (GHG) emissions by adapting vehicle fleets.

The organisation is expanding the use of hydrotreated vegetable oil (HVO) diesel across its supply chain, including when it comes to the transportation of Walkers – Britain’s most popular crisps – around the UK. 

This year, trucks powered by HVO were used to transport Walkers products from its distribution centre in Leicester, East Midlands, to retailers up and down the country. 

The move was estimated to save PepsiCo an additional 13,000 tonnes in GHG emissions by the end of 2024 when compared to using conventional diesel to travel the same distances.

4. Walmart

• Revenue: US$648bn

• Employees: 2.1 million

• CEO: Doug McMillon

• Founded: 1962

Walmart’s headline goal when it comes to fleet sustainability is for its entire fleet – including long-haul trucks in the US and Canada – to be producing zero emissions by 2040 courtesy of electrification.

Between 2005 and 2015, the retailer managed to double the efficiency of its truck fleet, and continues to work diligently alongside equipment manufacturers, policymakers, utilities, transportation working groups and other organisations to achieve its ambitious goals.

What’s more, Walmart perceives itself as an industry leader in this space. In keeping with its Project Gigaton, which aims to reduce or avoid one billion metric tons of GHG from the global value chain by 2030, the company encourages suppliers to set achievable goals to drive change.

3. Amazon

• Revenue: US$576bn

• Employees: 1,532,000

• CEO: Andy Jassy

• Founded: 1994

Amazon is dead set on decarbonising transportation across the organisation by increasing fleet efficiency, expanding the use of lower-carbon fuels and scaling electric and alternative-fuel vehicles. 

The e-commerce behemoth is involved in a host of initiatives aimed at reducing or completely avoiding carbon emissions across the wider transportation industry. It also engages with policymakers and other decision-makers to advance regulations and legislation in support of transportation decarbonisation.

Amazon’s fleet sustainability progress thus far includes:

• 680 million packages delivered by electric vehicles globally

• €1bn (US$1.07bn) investment to double Amazon's European zero-tailpipe-emissions delivery fleet over the next five years

• 100,000 custom electric delivery vehicles ordered from Rivian – the largest-ever order of its kind

2. XPO Logistics

• Revenue: US$7.7bn

• Employees: 39,000

• CEO: Mario Harik

• Founded: 2000

A leading global provider of end-to-end logistics solutions, XPO Logistics is one of the largest providers of asset-based LTL freight transportation in shipping in North America.

Together with its business in Europe, XPO provides around 50,000 customers with cutting-edge supply chain solutions including last-mile delivery and global forwarding, leveraging a network of 550 locations.

From fleet management and route optimisation to energy efficiency in its facilities, the company has implemented numerous innovative initiatives to reduce its carbon footprint.

XPO recently showcased its commitment to sustainable solutions by deploying hydrotreated vegetable oil (HVO) and electric-powered vehicles within its 4PL and transport control tower operations.

Paul Hayes, Director of Asset Light Solutions at XPO Logistics Europe, called it a “leap forward for our customers”.

1. FedEx

• Revenue: US$87.7bn

• Employees: 500,000+

• CEO: Raj Subramaniam

• Founded: 1971

FedEx is expanding green initiatives across the board through facility-wide renewable energy adoption, delivery fleet electrification and research into natural carbon capture methods for the transportation sector. 

Throughout 2024, the company has deployed a host of new vehicles, adding EVs and zero-emission motorcycles in Brazil, along with EVs in Canada, Chile, Spain, the UK, the Netherlands and the UAE.

A prime example of its electrification efforts came in February, when FedEx Express successfully executed the first-ever cross-border package delivery from Malaysia to Singapore using an EV. It was completed with just a single charge in Johor and demonstrated a 100kg reduction in tailpipe CO2 emissions when compared to diesel-powered vans.

The effort underscored FedEx’s commitment to achieving carbon neutrality in its operations by 2040.

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