Amazon Advances Towards Zero-Emissions with New Electric Trucks

On Tuesday, Amazon.Com Inc AMZN revealed the first of twelve Volvo electric big rigs it intends to operate this year, starting at Southern California’s bustling Los Angeles/Long Beach port complex. 

The e-commerce giant is already using eight of these semi trucks at the port, where regulations require all drayage trucks to have zero emissions by 2035.

Amazon’s deployment marks its first venture into electric big rigs, expanding its vehicle electrification initiative from ocean ports to customer doorsteps. This move is crucial for Amazon’s goal to achieve net-zero carbon emissions by 2040, the New York Post reports.

Also Read: EV Truck Maker Nikola’s Topline Plunges 30% in Q1 On Weak Demand, Stock Tanks 

Only slightly more than 1% of the 23,761 trucks serving the Los Angeles/Long Beach port complex are zero-emission vehicles, including 201 electric rigs, according to Long Beach port spokesperson Lee Peterson.

Since 2022, Amazon has deployed over 13,500 Rivian Automotive, Inc RIVN electric cargo delivery vans nationwide. The shift to electric semi trucks presents a more significant challenge due to their heavier loads and the more demanding charging infrastructure their batteries require, Reuters reports.

Adam Baker, Amazon’s vice president of global logistics, commented, “There is no playbook.” Amazon is collecting battery performance data to decide the number of trucks needed for their operations.

Keith Brandis, vice president of partnerships and system solutions at Volvo Trucks North America, noted that the manufacturer of Amazon’s electric drayage trucks will maintain collaboration with Amazon and J.B. Hunt Transport Services, Inc JBHT, which provides drivers for these vehicles, throughout their deployment.

“Charging infrastructure is the long pole in the tent. We have to get that right,” Brandis stated, highlighting the essential role of developing robust charging solutions. In response, ports, private companies, and truck owners are swiftly working to establish heavy-duty chargers to facilitate the shift to zero-emission vehicles.

In the short term, Amazon’s electric port trucks will utilize a charging facility operated by Forum Mobility, a startup supported by Amazon’s Climate Pledge fund, signaling a significant move towards sustainable transportation.

Meanwhile, analysts projected an upside for Amazon from new AI software features, an acceleration in U.S. eCommerce spend, Amazon’s Big Spring Sale, and Prime Video ads.

Price Action: AMZN shares traded lower by 0.06% at $188.64 premarket on the last check Wednesday.

Also Read: Rapid AWS Expansion and Increased Cloud Spending Signals Strong Outlook for Amazon: Analyst

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo via Volvo Group