The Impact of Electric Vehicles on the Logistics Industry

The transportation and logistics industry is advancing rapidly and has completely rewritten the standards for on-road delivery. Recently, more companies have begun directing their focus to the vehicles they use for deliveries and how they can improve upon their efficiency.

Electric vehicles, or EVs, have overhauled the automobile manufacturing process and are a clean and effective solution revolutionizing the logistics industry. As EVs have become more accessible, they’ve also had a considerable impact on supply chain distributions. This post will also discuss EVs’ impacts on the logistics industry and the advantages of electric vehicles in trucking.

How Does the Logistics Industry Use Electric Vehicles?

Many logistics companies have continually relied on vehicles with internal combustion engines (ICEs) as the primary choice for their delivery vans and trucks. However, these vehicles release additional carbon dioxide into the atmosphere, considerably reduce air quality and are far more expensive to maintain.

Businesses have begun to embrace using electric vehicles for delivery. EVs have proven to be a worthwhile investment as both the logistics industry and electric mobility have become increasingly related. Government subsidies and various economic factors have contributed considerably to companies’ use of sustainable vehicles for transporting freight, goods and packages.

Electric vehicles in logistics are versatile and suitable for many types of freight transportation and parcel delivery. EVs prove incredibly effective for last-mile delivery due to their high maneuverability and small carbon footprint. They also promote pollution-free circulation, cut back considerably on carbon emissions and are valuable for compact city centers, urban spaces and indoor spaces.

EVs also have the opportunity to create significant additional value for companies by promoting ongoing savings in operation and maintenance, improving delivery services’ routing efficiencies and providing the opportunity to build upon the services’ brand. As many logistics companies strive for more effective, efficient and dependable delivery services, they’ve discovered the benefits of EVs as an innovative and sustainable long-term investment.

The Future of Electric Vehicles in the Supply Chain

The decision of more car companies to transition from gasoline- and diesel-fueled vehicles to electric has had a substantial impact on the supply chain. How will EVs continue to change the supply chain game? Let’s take a look.

1. At the Front of the Pack

The transition toward EVs from ICEs is a considerable advancement that’s here to stay. With many parts of the world aiming for carbon neutrality in the future, EVs’ impact on supply chain deliveries will become increasingly green over time. In the era of electric transport, gasoline- and diesel-powered vehicles will eventually become irrelevant, and it’ll become even more vital to adapt to greener trends to maintain relevance.

The ultimate success of the automotive sector will depend on a flourishing regional supply chain. The commercial market has made substantial progress in recent years toward an electric future. Experts predict that EVs will reshape the automotive industry and cause an influx of positive relationships with suppliers. The purchase and use of EVs will also benefit local manufacturing, creating and allowing for the retention of more jobs.

2. Mandates on the Horizon

As EVs have grown in popularity, numerous countries have considered entering into the electric vehicle supply chain. Nations with key global markets such as England and China are adopting EVs as a more energy-efficient transportation and on-road delivery method. The electric vehicles’ share of the automobile market continues to expand as production facilities boom worldwide.

More states are promoting EVs as the optimal form of transportation that will prevent greater pollution in urban communities subjected to excessive carbon emissions. From lawmakers’ tax credit incentives to rebates, people in the United States are witnessing an increase in state legislation regarding electric vehicles in the supply chain.

3. Increased Opportunity for Circular Supply

EVs use an electric motor that requires a battery rather than an engine to run and are dependent on technologically advanced semiconductors, sensors and other electronic components. To produce batteries for EVs, manufacturers have to obtain and refine raw materials such as lithium, nickel, cobalt, copper, aluminum, manganese and graphite. As of 2021, new composite materials have also begun allowing for the production of lighter vehicles, which then extends the range of batteries for EVs.

A self-sustaining supply chain would allow companies to recycle or reuse raw materials from waste rather than mine from a limited supply.

What Are the Overall Benefits of Electric Vehicles?

As electric vehicles become more mainstream, more businesses recognize their many advantages for transportation and parcel delivery.

Economic

Compared to ICEs, EVs boast significantly lower fuel costs. With lower per-mile energy expenses, EVs are far more cost-effective than traditional fuel-powered vehicles with gasoline or diesel fuel. Charging stations also provide a cost-effective way to refuel.

EVs also offer tangibly lower maintenance and operational costs due to their radically simpler mechanical systems, which require little regular upkeep, such as not requiring costly oil changes. Because EVs have single-speed transmissions and regenerative braking, they drastically reduce the level of wear and tear on the vehicle’s brake system. In terms of both power and economic value, EVs are incomparable.

Efficient

EVs are also incredibly efficient in terms of energy, torque and performance. EVs convert over 77% of the electrical energy from the grid to driving power, whereas conventional ICE vehicles only convert 12-30% of energy from gasoline.

Additionally, EVs use less energy in stop-and-go city traffic. As they lack an exhaust system, they operate smoothly and quietly, reducing noise pollution alongside air pollution. EVs’ high-quality performance and convenience make them a highly compelling option for high-priority courier services.

Environmentally Friendly

EVs also have substantial environmental benefits due to their utilization of renewable energy. EVs produce zero tailpipe emissions, reduce the level of carbon dioxide in the atmosphere and lessen fossil fuel energy dependence. Every year, the carbon footprint of producing EVs continues to shrink as manufacturers prioritize electricity from nuclear-, hydro-, solar- or wind-powered plants, which cause no air pollutants.

According to the United States Environmental Protection Agency (EPA), the transportation sector produces 29% of the country’s greenhouse gas emissions, almost a quarter of which is due to trucks and vans. EVs are an excellent way to combat road pollution and help your business achieve a better bottom line.

ExpressIt’s Electric Vehicle Strategy

A growing number of logistics companies are adopting electric vehicles as a greener and more cost-effective e-commerce delivery method. ExpressIt has also made substantial efforts to ditch ICEs and take advantage of the many benefits of EVs to optimize our transportation network.

Aiming for the Future

ExpressIt Delivery has embraced the innovation of electric vehicles for delivery in the face of immense industry change and evolving customer expectations. By adding electric vans to our fleet, we’re consciously improving our contributions to a more sustainable future for transportation and courier services. We also aim to facilitate the transition to zero carbon emissions for a more sustainable and reliable delivery method. Additionally, we offer incentives to our drivers who already use electric vehicles as an internal motivation for adopting EVs.

Transforming With the Industry

ExpressIt’s wholehearted approach to the sustainable transportation of packages and freight is also central to our evolution. Our up-to-date logistics solutions and use of EVs are redefining how we satisfy the needs of numerous industries. Staying current with EVs’ impacts on the logistics industry also helps us maintain our position as a valuable delivery partner for your business.

Contact ExpressIt Delivery for Innovative Delivery Solutions

ExpressIt Delivery provides trusted delivery services across the Northeast and throughout the country. When you need same-day delivery and trucking services for high-priority items, ExpressIt will get the job done right. By embracing electric vehicles in the logistics industry and understanding their substantial impact on the automotive supply chain, we maintain an edge on faster, cleaner and more cost-effective services.

As a women-owned business in the logistics industry, we prioritize a family-oriented and compassionate approach to ensuring efficient and reliable delivery solutions for every business. Our experienced delivery professionals and specialists offer customized logistics options to accommodate your unique needs, such as routed delivery, last-mile delivery and on-demand service.

Contact us to schedule a delivery or request an obligation-free quote today.