Amazon said on Monday it plans to spend 1 billion euros, or $972 million, on electric vehicles for its European fleet.
The investment would increase the company’s fleet to at least 10,000 electric delivery vans by 2025, up from the 3,000 it already operates and more than 1,500 electric long-haul trucks. It is part of Amazon’s goal to produce net zero carbon emissions by 2040.
Amazon said it also hopes to deliver more packages via electric cargo bikes and on foot, using centrally located delivery stations, which it is calling “micromobility hubs.” The company said it already operates these centers in 20 major European cities, including London, Munich and Paris.
“In Europe’s traditionally dense cities, hubs allow Amazon to operate new delivery methods … to get packages to customers more sustainably,” the company said in a statement. Amazon expects to double the number of these hubs by the end of 2025.
Amazon said the investment will help drive industry-wide innovation and encourage more public charging infrastructure, which will allow the broader transportation sector to more quickly reduce emissions.
“Our transportation network is one of the most challenging areas of our business to decarbonize, and achieving net zero carbon will require substantial and sustained investment,” said Andy Jassy, CEO of Amazon.
“Deploying thousands of electric vans, trucks and long-haul bikes will help us move further away from traditional fossil fuels.”
Several automakers are ramping up production plans for electric delivery vehicles. One is Rivian, an electric truck newcomer, in which Amazon was a major early investor.
Rivian announced last month that it had signed a “memorandum of understanding” with Mercedes to work together on producing electric vans in Europe.
Delivery vehicles, which run short routes at regular times, are relatively easy to fully recharge each night in a company’s warehouse or warehouse.
But electric semi-trucks are more challenging as they tend to be on long-distance routes that make efficient charging difficult. Tesla, which has been planning to launch a semi-electric for years, is expected to deliver its first to Pepsi in December, CEO Elon Musk said last week.
*Peter Valdes-Dapena of CNN contributed to this story
Source: CNN Brasil
Joe Jameson, a technology journalist with over 2 years of experience, writes for top online news websites. Specializing in the field of technology, Joe provides insights into the latest advancements in the industry. Currently, he contributes to covering the world stock market.
