By optimizing truckloads, Less-Than-Truckload (LTL) shipping helps to reduce the environmental impact of the freight industry. As the rest of the world looks to the shipping industry to reduce its carbon emissions, this solution is more important than ever.
In this article, we take a look at the environmental upsides of LTL.
The shipping industry is in the hot seat.
At the beginning of July 2023, United Nations Secretary-General Antonio Guterres called for agreement to reach net zero greenhouse gas emissions by 2050. Guterres pointed to the shipping industry for its contribution to carbon emissions. Specifically, the proposal made by several member nations to introduce a global carbon dioxide emissions levy on shipping.
Overall, the global shipping industry accounts for 3% of the world’s CO2 emissions. Concerningly, if things don’t change, shipping emissions are projected to increase by up to 120% by 2050.
In the United States, the transportation sector accounts for approximately 27% of emissions.
How does LTL help?
While there are many proposals of how to reduce the environmental impact of the shipping industry, LTL is one solution already doing good.
When using LTL shipping, the shipper pays for the space its goods take up on the truck. The rest of the cost of the truck trailer is divided among shippers paying to have their goods transported. This means that shipments aren’t going out unoptimized. Each LTL shipment is therefore more fuel efficient, reducing emissions and cost.
It’s a win-win-win.
The only way LTL is effective is if it’s as efficient as possible. Meaning, each trailer carrying its optimal load, making the most efficient deliveries, and consuming only as much fuel as needed. In this sense, it’s a win for the provider, the business using the service, and the environment.
Consumers care about your commitment to environmental initiatives.
A commitment to using more eco-friendly shipping options, such as LTL, is a win for your customer relations, as well as your bank.
Increasing consumer awareness means your customers likely care about the environmental toll of the products they’re having shipped. In fact, recent studies have found that as many as 69% of consumers are willing to pay more for sustainable options.
Luckily, because of the efficiency and lower cost to the shipper, employing LTL solutions likely means you will not have to offset additional costs to the consumer.
With the world looking at the shipping industry to reduce its greenhouse gas emissions, LTL is one of many potential sources of more environmentally friendly practices.