Can Anyone Satisfy Amazon’s Craving for Electric Vans?

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This number is growing rapidly. Amazon has spent several years and tens of billions of dollars delivering packages, moving away from relying on big carriers like UPS. Amazon has ordered 20,000 diesel Sprinter pickup trucks from Mercedes-Benz to begin expansion.

Amazon delivers more than half of its orders globally and even more in the United States through its network of contractors. According to data from MWPVL, a logistics consulting firm, Amazon now has six times more delivery warehouses than in 2017, and at least 50 percent more new facilities will open this year.

This logistical explosion, accelerated by the pandemic’s shift to online shopping, amplifies the challenges the company faces in fulfilling its commitment to reducing its climate impact. The promise to make half of its deliveries carbon neutral by 2030 is part of the company’s commitment to be net carbon neutral by 2040.

“Electrification of delivery fleets is a really important part of this strategy,” said Anne Goodchild, who heads the University of Washington’s supply chain, logistics and freight transport studies.

Delivery vans are well suited for electric propulsion because they typically travel 100 miles or less in a day, meaning they don’t need the large battery packs that drive up the cost of electric cars. Delivery trucks are typically used during the day and can be charged overnight and generally require less maintenance than petrol trucks. Electric vehicles lack transmissions and some other mechanical components that wear out quickly in the intense stop-start situations typical of delivery roads.

In September 2019, Mr. Bezos placed it at the center of Amazon’s commitment to reducing its carbon footprint when it announced its massive Rivian order, Amazon’s largest ever order for electric vehicles. At the time, he said he expected 100,000 vans to be on the roads “by 2024”.

Amazon has invested at least $1.3 billion in Rivian and says Amazon should produce 10,000 pickup trucks earlier this year. Amazon also locked out the exclusive rights to Rivian’s commercial vans for four years, giving it a first refusal for the next two years. Companies have been testing vans for almost a year.

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