The logistics industry is essential for global commerce, ensuring that goods move efficiently from production centers to consumers. However, this system comes at a steep environmental cost, with logistics emissions contributing significantly to climate change.
In this guide, we’ll break down the main sources of emissions in logistics—such as freight transportation, warehouse operations, and business facilities—and explore actionable ways to reduce your carbon footprint.
Logistics emissions refer to greenhouse gases (GHG) generated during the transportation, storage, and handling of goods. The primary sources include:
Freight emissions from air, sea, rail, and truck transport
Energy consumption in warehouses
Operational emissions from offices and business processes
According to the United Nations, transportation alone accounts for 25% of global carbon emissions, with freight playing a major role due to its reliance on fossil fuels.
Where do logistics emissions come from?
Freight transportation
According to the United Nations, about 25% of global carbon emissions come from transportation. Since 95% of transportation is powered by fossil fuels, the emissions in this sector are high. The expansion of e-commerce and global trade markets keeps demand for freight and transportation services high.
Planes, trains, trucks, and ocean vessels emit different amounts of carbon per ton-mile traveled. Air is the most emissions-intensive mode of transportation by far.
Warehouses, especially those with temperature-controlled environments, contribute to logistics emissions via:
Excess packaging and food waste in some sectors
High electricity use for lighting and HVAC systems
Energy loss through frequent door operations
Opportunities for improvement warehouse missions
Making small changes can be very effective for lowering bills and becoming more eco-friendly. For instance, you may be surprised to learn how much changing the lights from incandescent bulbs to LEDs can impact a warehouse’s emissions and utility bill.
Install LED lighting and smart thermostats
Use renewable energy sources like solar panels
Implement waste reduction programs
Company operations
Offices require computers, printers, paper, chairs, desks, electricity, heating, cooling, and employees who commute from home. Each one of these aspects contributes to GHG emissions.
Electricity, heating, cooling, and employee commutes are also responsible for carbon emissions because they rely on energy largely sourced from fossil fuels.
Opportunities for improvement
Operational emissions vary greatly depending on the company. However, no matter how small or large your business is, you can make a difference by integrating sustainable practices into the model of your business.
Companies can implement recycling/composting campaigns, work-from-home policies, and renewable energy and efficiency projects to lower operational emissions. Providing public transportation passes and/or bike racks on-site can help reduce emissions from commuting.
Working with a logistics provider committed to greener logistics
Carbon emissions come from many sources in the logistics industry, which can seem daunting. However, this also means there are many different opportunities to lower emissions and make a difference.
As a global 4PL provider for e-commerce retailers, we at Wayfindr (CBIP Logistics) have many remote employees and do not directly produce any goods. We see our lack of direct impact as an opportunity to help our retail and logistics partners to lower their emissions.
At Wayfindr, we have invested in various sustainable accounting methods for the future, including collaborating with sustainability partner South Pole, which helps us track emissions throughout our network of partners and gives us ideas on how to reduce and/or offset those emissions.
When it comes to sustainable logistics, the industry has a long way to go. If you are interested in joining forces with a logistics provider that’s investing for a greener future, we’d love to hear from you. Reach out today for a free logistics consultation.
Additionally, if you are interested in seeing how we keep ourselves accountable for our emissions, check out our sustainability page, where you can download and read our sustainability report for free.
About Author
Chris Crutchley
Co-founder & Director
As Wayfindr's Director, he draws on 10+ years of experience in corporate finance and cross-border operations across the Asia Pacific region—helping build the systems behind Wayfindr’s global, carbon-neutral 4PL model.
We’re here to make things simpler for you – we won’t spam your inbox or blow up your phone. When you enter your information:
(Within 24 hours) A member of the Wayfindr team will read your request and schedule a meeting by email. A more in-depth form will be attached to the email.
We will ask you about your needs and specific logistics requirements.
We will take your information and put together a plan designed for your business.
