Amazon (AMZN) said today that its first electric delivery trucks were – quietly – thundering down the roads of the U.K.
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First Batch
The e-commerce giant said that the first batch of eventually 160 electric Heavy Goods Vehicles or eHGVs had launched into service. The new Mercedes-Benz (MBGAF) Truck eActros 600s have a range of over 500 kilometers when fully charged and can transport up to a 22 metric ton load per journey.
The vehicles will transport products between Amazon fulfillment centers, sort centers and delivery stations across the U.K.
To help keep the trucks moving Amazon has installed fast charging points at its U.K. sites that can power the 40-ton trucks from 20 to 80% battery capacity in just over an hour.
Amazon said that the electric heavy trucks are expected to cover an annual travel distance equivalent to more than 450 trips around the world on UK roads, carrying more than 300 million products each year.
The company is also adding 800 new electric Mercedes-Benz eSprinter vans across the U.K.
In addition, in London, Amazon is expanding on-foot delivery services to reduce traffic congestion. Building on successful pilots in Hackney, Westminster, and Islington, it has now also launched operations in Camden.
Major Milestone
Nicola Fyfe, of Amazon Logistics, said: “This marks a major milestone in our journey to decarbonise our UK transportation network. These trucks, alongside more electric vans and on-foot deliveries, are a win for our customers, the environment, and our business.”
Amazon also has eHGVs on the roads of America, including in California. However, this move makes the U.K. home to the highest number of eHGVs in its global transportation network.
The tech titan is trying not only to meet sustainable targets and goals as demand for e-commerce deliveries grow, but to fight off competition from rivals such as retailer Walmart (WMT) in the U.S. and parcel carriers.
It is why technology and innovation are key risks for the stock and its investors – see below:
As part of this innovation drive Amazon has also invested in Prime Air delivery drones. However, these have been blighted by a series of crashes which have led to investigations from the Federal Aviation Administration (FAA.)
Is AMZN a Good Stock to Buy Now?
On TipRanks, AMZN has a Strong Buy consensus based on 41 Buy ratings. Its highest price target is $340. AMZN stock’s consensus price target is $295.62, implying a 16.39% upside.
