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Amazon is accelerating its transition to sustainable logistics in Europe, significantly increasing its reliance on rail and sea transport. This eco-friendly shift not only reduces the company’s carbon footprint by nearly 50% but also empowers independent sellers, particularly small and medium-sized enterprises (SMEs).
“Europe’s unique geographic landscape and infrastructure means that rail and sea routes are often a more efficient and even faster mode of transport for transporting goods,” said Helder Velho, EU Vice President of Surface Transportation.
By partnering with European carriers like Cargo Beamer, VIIa, and Mercitalia Group, Amazon now operates over 100 rail lanes and 300 sea routes across the continent. This extensive network allows for the flexible and efficient movement of products between Amazon’s fulfillment centers, ultimately reaching customers faster.
“Sea routes provide a more efficient, less carbon intensive, and, in some cases faster mode of freight transport in comparison to other alternatives,” explained Velho.
The move towards rail and sea transport also benefits small and medium-sized businesses (SMEs) that sell on Amazon. These companies, which account for 60% of total sales on the platform, rely on Amazon’s logistics expertise to reach customers across Europe.
“We analyze which items are ordered most frequently in each location so that we can place those products closer to where customers live,” said an Amazon spokesperson. “Sea and rail routes are increasingly essential for moving those products between our buildings, including for SMEs.”
Several SMEs, like Mameido, Amarcords, and Gamble & Gunn, have benefited from Amazon’s investment in rail and sea transport. These companies are able to reach a wider customer base without having to worry about the logistics of shipping their products.
Related Article: Amazon Greens Up Europe: Eco-Logistics Boost SMEs, Slash Carbon Footprint by 50%
“It has always been the dream of five friends from Dusseldorf to create simple yet beautifully designed water bottles and mugs that would accompany people around the world throughout their day,” shared a spokesperson for Mameido. “When they started their own company, they decided to focus on products and design, and entrusted Amazon with taking care of how their bottles and mugs reach customers.”
Marco Avarello, founder of Amarcords, echoed this sentiment: “While Marco focuses on the colours, shapes and materials of his bulbs, we ensure they reach and delight their customers across Europe.”
The environmental benefits of Amazon’s shift to rail and sea transport are significant. By moving products by rail and sea instead of trucks, the company is able to reduce its carbon footprint by almost 50%.
“In 2023, like the year before, we will transfer thousands of truckloads between our buildings by sea and rail in Europe, saving thousands of tons of CO₂ emissions,” said the Amazon spokesperson.
Overall, Amazon’s increased reliance on rail and sea transport is a win-win for customers, SMEs, and the environment. This shift towards more sustainable and efficient transportation methods is paving the way for a greener future for the e-commerce industry.