to invest more than a billion euros in a European fleet of electric vans and trucks

LONDON, Oct 10 (Reuters) – Inc (AMZN.O) said on Monday it will invest more than 1 billion euros ($974.8 million) over the next five years in electric vans , low-emission trucks and hubs across Europe, accelerating its efforts to achieve net zero carbon.

The retailer said the investment also aims to spur innovation in the transportation industry and encourage more public charging infrastructure for electric vehicles (EVs).

The US online retailer said the investment will help its fleet of electric vans in Europe more than triple from 3,000 vehicles to more than 10,000 by 2025.

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The company didn’t say what percentage of its European last-mile delivery fleet is electric today, but said those 3,000 zero-emission vans delivered more than 100 million packages in 2021.

Amazon said it also hopes to buy more than 1,500 electric heavy-duty trucks – used for “intermediate” shipments to packing centers – in the coming years.

Although a number of major logistics companies – including package delivery companies United Parcel Service Inc (UPS.N) and FedEx Corp (FDX.N) – have pledged to buy large numbers of vans and zero-emission electric trucks, there are still not many available for purchase.

A number of startups are racing to bring electric vans or trucks to market and are facing increasing competition from traditional manufacturers such as General Motors Co (GM.N) and Ford Motor Co (FN).

Amazon’s largest electric van order is for 100,000 vehicles from Rivian Automotive Inc (RIVN.O) through 2025.

The company said that alongside electric vehicles, it would invest in thousands of chargers in installations across Europe.

The retailer said it would also invest in doubling its European network of “micro-mobility” hubs from more than 20 cities today.

Amazon has used these centrally located hubs to run new delivery methods, including electric cargo bikes or walking deliveries to reduce emissions.

The company plans to achieve net zero carbon by 2040.

($1 = 1.0259 euros)

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Reporting by Nick Carey in London Editing by Matthew Lewis

Our standards: The Thomson Reuters Trust Principles.

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