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    DHL Supply Chain and Diageo North America Power Up Sustainability Partnership with Deployment of Hydrogen Fuel Cell Trucks

    10/23/24 9:25:00 AM ET
    $DEO
    Beverages (Production/Distribution)
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    • Nikola trucks to be the first Class 8 hydrogen fuel cell electric vehicles operated day-to-day in the state of Illinois

    DHL Supply Chain, the Americas leader in contract logistics, and Diageo North America, a premium drinks company, have announced plans to incorporate two fuel cell electric trucks, powered with hydrogen, to their U.S. fleet. The Class 8 trucks, manufactured by Nikola Corporation, will be deployed and fueled with a HYLA modular refueler at the Diageo campus in Plainfield, Ill., marking a milestone for the state.

    DHL Supply Chain, Diageo North America's trusted contract logistics partner for over 20 years, has been actively working to develop innovative solutions that help to decarbonize its customers' logistics operations. The hydrogen fuel cell electric trucks are part of a broader sustainable supply chain strategy that has included use of battery electric vehicles, optimizing vehicle usage and routes, shifting to a multimodal approach, and increased use of US EPA SmartWay partner carriers. These efforts have resulted in year-over-year reductions in carbon dioxide emissions for both Diageo and DHL.

    "We are thrilled to integrate Nikola's hydrogen fuel cell electric trucks into our U.S. fleet," said Jim Monkmeyer, President of Transportation, DHL Supply Chain. "As a global logistics company with the goal of decarbonizing its business, we've integrated sustainability as a fourth strategic bottom line named "Green Logistics of Choice" in our newly announced Strategy 2030. The deployment of these fuel cell electric vehicles is one of many initiatives that demonstrates how we are putting action behind our words."

    Nikola's hydrogen fuel cell electric trucks offer a sustainable, and efficient alternative to traditional diesel-powered vehicles.

    • The trucks utilize fuel cell technology to convert hydrogen into electricity, powering the vehicle's electric motors providing up to 500 miles in range on a single fill.
    • Replacing two diesel trucks with fuel cell electric vehicles is expected to reduce 80% carbon emissions over the course of a year.
    • The trucks produce no tailpipe emissions, contributing to cleaner air and reduced greenhouse gas emissions.
    • The switch from diesel to fuel cell electric vehicles will significantly reduce local emissions including particulate matter and nitrogen oxide emissions.
    • The trucks also offer significant improvements in driver comfort and safety by reducing noise and vibrations, leading to less driver fatigue. It also enhances visibility with advanced camera support.

    "We are extremely excited to be a part of this partnership delivering the first set of heavy-duty hydrogen trucks to Illinois, home to our largest manufacturing hub in North America. This initiative is part of our continued work to decarbonize our footprint in Plainfield, Illinois making our operations more efficient and sustainable," said Marsha McIntosh, President of North America Supply at Diageo.

    Diageo's presence in Plainfield, Illinois has expanded significantly over the years, playing a strategic role in its regional operations. This hub is home to manufacturing, bottling, and warehousing facilities, and it is instrumental in producing some of the company's most iconic brands, like Captain Morgan and Smirnoff. Incorporating hydrogen fuel cell trucks into its fleet will contribute to Diageo's broader efforts to reach net zero carbon emissions across direct operations by 2030 and its value chain by 2050 or sooner, as outlined in its Spirit of Progress action plan.

    "We've prioritized sustainability and green initiatives in Plainfield and are thrilled to see DHL Supply Chain and Diageo North America introducing hydrogen fuel cell electric trucks and battery electric vehicles as part of their fleet - great companies at the forefront of innovation," said Plainfield Mayor John F. Argoudelis.

    "Will County is known for its strong manufacturing industry," said State Senator Meg Loughran Cappel (D-Shorewood). "Companies like Diageo are taking essential steps toward a sustainable environment that will help Illinois meet its clean energy goals."

    "We're proud to work alongside visionary partners like DHL and Diageo in driving the transition to zero-emissions transportation," said Nikola President and CEO Steve Girsky. "Their commitment to sustainability aligns perfectly with our mission, and we are honored to provide the HYLA hydrogen as well as the hydrogen fuel cell electric trucks that power this shared goal."

    With the trucks being the first of its kind to operate in Ill., DHL Supply Chain, Diageo North America, and Nikola collaborated for more than 18 months to ensure a successful deployment. The groundbreaking initiative involved extensive coordination with state and local stakeholders to enable a smooth and safe rollout. The collaboration entailed reviewing critical operational parameters, conducting trial runs under real-world operating conditions, and securing permissions to operate hydrogen fueling assets. Additionally, the companies provided education about the new technology, demonstrating the commitment of all parties involved to pioneering safe sustainable transportation solutions.

    DHL and Diageo North America have a longstanding partnership focused on sustainability, beginning in 2015 with the deployment of the first ever Class 8 Orange electric vehicle yard trucks in the U.S. Since then, the EV fleet has grown significantly, with over 10 EV Yard trucks now operating at Diageo's Plainfield, Ill. campus and close to 100 across DHL Supply Chain facilities in North America. By transferring the learnings from their initial EV Yard truck deployment to on-road applications, DHL and Diageo North America aim to continue leading the way in sustainable logistics and transportation.

    DHL – The logistics company for the world

    DHL is the leading global brand in the logistics industry. Our DHL divisions offer an unrivalled portfolio of logistics services ranging from national and international parcel delivery, e-commerce shipping and fulfillment solutions, international express, road, air and ocean transport to industrial supply chain management. With about 395,000 employees in more than 220 countries and territories worldwide, DHL connects people and businesses securely and reliably, enabling global sustainable trade flows. With specialized solutions for growth markets and industries including technology, life sciences and healthcare, engineering, manufacturing & energy, auto-mobility and retail, DHL is decisively positioned as "The logistics company for the world".

    DHL is part of DHL Group. The Group generated revenues of more than 81.8 billion euros in 2023. With sustainable business practices and a commitment to society and the environment, the Group makes a positive contribution to the world. DHL Group aims to achieve net-zero emissions logistics by 2050.

    About Diageo North America

    Diageo is a global leader in beverage alcohol with an outstanding collection of brands including Johnnie Walker, Crown Royal, Bulleit and Buchanan's whiskies, Smirnoff, Cîroc and Ketel One vodkas, Casamigos, DeLeon and Don Julio tequilas, Captain Morgan, Baileys, Tanqueray and Guinness. Diageo is listed on both the New York Stock Exchange (NYSE:DEO) and the London Stock Exchange (LSE: DGE) and their products are sold in more than 180 countries around the world. For more information about Diageo, their people, brands, and performance, visit www.diageo.com. Visit Diageo's global responsible drinking resource, www.DRINKiQ.com, for information, initiatives, and ways to share best practice. Follow on Instagram for news and information about Diageo North America: @Diageo_NA.

    About Nikola Corporation

    Nikola Corporation's mission is clear: pioneering solutions for a zero-emissions world. As an integrated truck and energy company, Nikola is transforming commercial transportation, with our Class 8 vehicles, including battery-electric and hydrogen fuel cell electric trucks, and our energy brand, HYLA, driving the advancement of the complete hydrogen refueling ecosystem, covering supply, distribution and dispensing.

    Nikola headquarters is based in Phoenix, Arizona with a manufacturing facility in Coolidge, Arizona.

    Experience our journey to achieve your sustainability goals at nikolamotor.com or engage with us on social media via Facebook @nikolamotorcompany, Instagram @nikolamotorcompany, YouTube @nikolamotorcompany, LinkedIn @nikolamotorcompany or X / Twitter @nikolamotor.

    View source version on businesswire.com: https://www.businesswire.com/news/home/20241023191334/en/

    Get the next $DEO alert in real time by email

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    Q&A

    New
    • What is the partnership between DHL Supply Chain and Diageo North America about?

      DHL Supply Chain, in partnership with Diageo North America, announced plans to introduce hydrogen fuel cell electric trucks in their U.S. logistics fleet.

    • Where will the hydrogen fuel cell electric trucks be deployed?

      The trucks will operate at the Diageo campus in Plainfield, Illinois, marking the first deployment of Class 8 hydrogen fuel cell electric vehicles in the state.

    • How much carbon emissions reduction can be expected from this initiative?

      The implementation is expected to lead to an 80% reduction in carbon emissions over a year by replacing two diesel trucks with hydrogen fuel cell trucks.

    • What benefits do Nikola's hydrogen fuel cell electric trucks provide over traditional diesel vehicles?

      Nikola's hydrogen fuel cell electric trucks provide a sustainable alternative with no tailpipe emissions, contributing to cleaner air and improved driver comfort and safety due to reduced noise and vibrations.

    • What are Diageo's long-term sustainability goals related to this initiative?

      The goal of this initiative is to align with Diageo's commitment to achieving net-zero carbon emissions across its direct operations by 2030 and its value chain by 2050.

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