The Cleaner Road Ahead: How Logistics Leaders Are Cutting Carbon and Costs

From SmartWay-certified carriers to renewable fuels and route optimization, third-party logistics providers are leading the charge in reducing emissions, saving fuel, and shaping a greener, more cost-effective supply chain.

• By Dutch Fry
• Jun 18, 2025

Shaping a more sustainable supply chain doesn’t just benefit the earth; it also streamlines logistics, maximizes efficiency, and cuts costs in the process. Third-party logistics (3PL) providers are well-positioned to drive meaningful environmental change. This responsibility also offers a unique opportunity to explore how logistics and sustainability go hand in hand to shape a cleaner and more efficient supply chain.

In addition to implementing procedures at transportation and warehousing facilities which encourage eliminating waste and minimizing energy usage, industry leaders can leverage supply chain solutions that reduce carbon emissions and increase efficiency for both shippers and carriers.

The transportation industry is one of the largest producers of greenhouse gases globally. While this creates a significant challenge, it also provides a critical opportunity for notable improvement. Here are a few examples of solutions and strategies that can help lower emissions while maximizing efficiency:

Mode Optimization

It’s important to promote sustainability through mode and backhaul optimization. Certain shipping solutions, such as intermodal rail and retail consolidation, inherently offer lower emissions by natural design. These modes release significantly fewer emissions than their traditional counterparts. Rail, for instance, allows one ton of freight to move 500 miles on a single gallon of gas, using less fuel and emitting less CO2 than trucks on the road. Retail consolidation reduces empty miles and maximizes truckload capacity by consolidating shipments into one trailer. This means fewer trucks on the road, and more direct delivery. Additionally, backhaul optimization reduces empty return trips, lowering fuel usage and carbon emissions, while improving profitability for carriers.   

Tracking Emissions Through EPA SmartWay

For example, Echo has been a proud partner of the EPA’s SmartWay Transport program since 2010, ranking highly in numerous categories of the SmartWay Carrier Performance rankings. This program enables us to document, track, and report freight emissions data for our shipper and carrier partners. We actively encourage carriers to register with SmartWay and utilize the program to provide accurate reporting on their emissions.

Through our use of SmartWay certified carriers, our team has successfully prevented approximately 38,270 metric tons of carbon dioxide emissions from polluting the environment.

SmartWay encourages accountability and productivity. By supporting carriers to leverage SmartWay data to improve emissions, transportation organizations not only can achieve greater fuel efficiency, but also access cost savings in the long run. The data on SmartWay-certified carriers can also be leveraged to help shippers save money while improving their carbon footprints. 

Driving Sustainability with Innovative Tools and Partnerships

Transportation industry professionals can also take other measures to enhance sustainability in the supply chain. As we’ve seen, investing in environmentally friendly initiatives not only can improve companies’ carbon footprints, but also save money. Investing in the right technology and partnerships further helps the environment while enabling both shippers and carriers to succeed. 

Leading logistics providers, like Echo, invest millions of dollars each year in technology to support shippers and carriers. This enables us to provide the top-of-the-line solutions our partners have come to count on, as well as leverage SmartWay data to provide reporting on shipper and carrier carbon footprints. This type of technological investment allows providers to provide actionable recommendations for optimizing mode and route selection, leading to greater efficiency for their partners. 

We’ve also found ways to lower emissions by keeping drivers on the road instead of having to stop at weigh stations and inspection sites, practices that while important, also can cause shipping delays. Through EchoDrive Preferred, our driver rewards program, carriers can access tools such as DriveWyze PreClear, an innovative software that allows registered drivers to bypass weigh stations and inspection sites. Not only does this mean that drivers can save time on the road, but it also reduces fuel costs, and therefore emissions. On average, each bypass saves users $8.68, boosting their bottom line.  

Lower Emissions Options

As supply chains evolve, so do the options for reducing emissions. For instance, renewable diesel has been shown to reduce greenhouse gas emissions by approximately 62%, as compared to petroleum diesel usage by heavy vehicles. Made from fats and oils, such as animal tallow and soybean oil, renewable diesel is specifically processed to be nearly chemically identical to petroleum diesel. While similar products, such as biodiesel, made from animal fats and recycled grease, offer comparable alternatives, these options tend to limit engine performance due to increased oxygen levels in fuel, making renewable diesel a much better option. For the time being, renewable diesel is limited to certain areas, making it more important to establish access now, as investment in such alternatives increases.

Leveraging these sustainability tools is becoming more and more essential to the supply chain. Our industry is ever changing and finding ways to increase efficiency while saving on costs helps transportation professionals stay ahead of these changes. Promoting a more sustainable supply chain is much easier than it seems and doing our part to mitigate the significant impact our industry has on the environment is essential.

Improving sustainability in the transportation sector is not just about environmental conservation. The steps we take to reduce our environmental impact also deliver tangible business benefits including lower costs, better efficiency, and stronger long-term value for shippers and carriers. By leveraging data, advanced technology, and strategic partnerships, we can continue to develop creative solutions to complex problems and build a more sustainable future for our industry.