Intermodal helps Amazon Freight halve emissions, but also presents its own challenges
Author: Dennis van der Laan
24.10.205 | Intermodal transportation has helped Amazon reduce their logistics-related carbon emissions by 50% compared to road-only operations. Speaking at Intermodal Europe 2025, business developer at Amazon Freight James Moulds explained Amazon’s steps to move away from the road. Despite the carbon reduction success, intermodal is not a magic solution.
When Amazon Freight started, it was a fully outsourced model with carriers using their own equipment and routes. That has changed in recent years, with Amazon taking more matters into their own hands. It now does its own transportation, and wants to rely more on intermodal operations for various reasons.
Those include high fuel costs, which make up a substantial portion of the company’s expenses, as well as the persistent driver shortage. In some EU countries, fewer than 3% of drivers are under 25 years old, Moulds explains. Amazon Freight is encountering severe recruitment difficulties, and hopes to improve working conditions to reverse this trend.
The good and the bad of intermodal
Intermodal is also part of the answer, and Amazon’s intermodal shift is also driven by sustainability considerations, Moulds says. The company hopes to be climate neutral by 2040, and using the scheduled nature of rail and sea is part of the greening plan.
Yet, for Amazon, intermodal also provides its own challenges. With the rise of e-commerce, the demand for quick deliveries is growing fast: 44% of shippers now demand 24-hour pickup times. The speed of intermodal, slower than road-only operations, is a limiting factor here.
Rail is also more complex compared to the road, which complicates the modal shift. For example, Moulds says that trailer equipment needs to match with terminal equipment and have the appropriate weights.