FedEx has launched a reusable packaging system for business-to-business (B2B) shipments, developed in collaboration with Returnity, to reduce packaging costs and simplify operations for retail and distribution networks.
The system features a reusable box designed specifically for FedEx operations and is intended to enable B2B customers to switch from single-use corrugated packaging without incurring the handling fees often associated with alternative packaging formats.
Neil Gibson, senior vice president of global customer experience at FedEx, said, “In collaboration with Returnity, we have created the first scalable, reusable box solution for B2B customers, which is especially useful for our soft-goods shippers. By pairing Returnity’s durable, easy-to-integrate packaging with our global network, we’re helping retailers unlock meaningful cost savings while reducing environmental impact, all without sacrificing speed or reliability.”
Reusable packaging has historically faced challenges when integrated into parcel delivery networks due to cost, operational complexity and compatibility with existing logistics systems. The new box has been designed to address these issues by providing a durable, collapsible container that can move through the FedEx network and work with automated handling processes.
The solution is intended for closed-loop supply chain environments such as store replenishment, internal transfers and field service operations, where packaging can be returned and reused in a controlled system rather than relying on consumer returns.
Each box can be reused for up to 50 shipment cycles and carry loads of up to 50lb (22.7kg). FedEx said the system could reduce packaging costs by up to 30% per cycle and lower carbon emissions by between 64% and 88% compared with single-use corrugated packaging, assuming a non-return rate of 40% or less.
“FedEx made reuse make sense by building the business case, doing the work and creating a model for how circular logistics can succeed at scale,” said Mike Newman, CEO of Returnity.
The reusable box system has been piloted with several FedEx B2B customers across North America. According to the company, pilot users reported faster unpacking and restocking processes, improved labor efficiency, better backroom organization and reduced product damage.
The packaging system is currently available to FedEx customers in the USA. The company said it plans to expand the offering internationally, including into Australia and Europe.
Related news, FedEx breaks ground on automated air cargo hub at Navi Mumbai International Airport
