Freight forwarders keep global trade moving, but the industry also comes with a heavy environmental cost. As demand grows, so does the pressure to cut emissions. Governments are tightening regulations, major corporations are pushing for cleaner supply chains, and rising fuel costs are making efficiency a priority. 

For any business involved in freight forwarding, sustainability is no longer a choice. It is a commercial and operational reality that affects costs, competitiveness, and long-term strategy.

In this blog, we look at real steps freight forwarders are taking to cut emissions. From alternative fuels and electrification to supply chain optimisation and green logistics, we explore the challenges slowing progress, the companies leading change, and what all this means for businesses navigating sustainability targets.

The Current State of Sustainability in Global Logistics

Freight transportation is under increasing scrutiny as industries look to lower emissions and adopt sustainable supply chain management strategies. While freight accounts for around 7% of global CO₂ emissions, its role in road, sea, and air transport makes it a focal point for climate action. 

Road freight contributes the most, with trucks and vans responsible for 72% of transport-related emissions in the EU, while maritime shipping accounts for around 2% of global CO₂ output. As demand for global freight forwarding rises, governments and businesses are pushing for greater accountability and greener operations.

Regulations are tightening worldwide. The EU’s Emissions Trading System (ETS) now includes maritime transport, requiring shipping companies to track and pay for their carbon output. More cities are introducing low-emission zones (LEZs) that restrict older diesel-powered trucks, forcing logistics companies to adopt cleaner alternatives. 

At the same time, corporate clients are setting stricter sustainability goals, increasing the need for freight forwarding services to align with sustainable transportation methods.

Main Environmental Impacts of Moving Freight:

• Greenhouse gas emissions: Freight transport remains heavily dependent on fossil fuels, with road transport leading emissions in the sector.

• Air pollution: Freight operations contribute NOx, SOx, and particulate matter, worsening air quality in high-traffic trade corridors.

• Noise pollution: Increased freight activity, particularly in urban areas and around ports, has led to stricter noise regulations.

• Habitat destruction: Expansion of transport infrastructure, including highways, rail lines, and logistics hubs, disrupts ecosystems.

• Marine pollution: The shipping industry continues to face scrutiny over ballast water discharge, oil spills, and plastic waste.

• Waste generation: Growing e-commerce and global trade have increased packaging waste and disposal challenges.

The freight industry is adapting, but large-scale change is complex. 

Established Industry Practices for Emission Reduction

Sustainability in logistics is no longer optional. Governments are introducing stricter regulations, fuel costs are rising, and businesses are under growing pressure to reduce their environmental impact. While full decarbonisation remains a challenge, the industry is making measurable progress through a mix of alternative fuels, operational efficiencies, and new technologies.

One major shift is the transition to lower-emission fuels, though widespread adoption remains slow. Some shipping operators are investing in methanol and biofuels, offering a potential path to reducing emissions in maritime transport. 

Aviation is increasing its reliance on sustainable aviation fuel (SAF), but production challenges and high costs limit availability. Electric and hydrogen-powered trucks are being introduced in road freight, particularly for regional transport, but the lack of refuelling and charging infrastructure prevents large-scale use.

Beyond fuel, many freight forwarders are improving operational efficiency to lower emissions. AI-driven route optimisation is reducing unnecessary mileage, while automated logistics systems are helping to consolidate loads and limit empty trips. 

At ports, automated berth scheduling is being used to reduce vessel idle time, cutting both fuel consumption and costs. These efficiencies are becoming key to sustainable freight forwarding, helping businesses lower their environmental impact while maintaining profitability.

Key strategies include:

• Investing in newer, more fuel-efficient trucks, ships, and aircraft, including hybrid and electric models.

• Expanding the use of biofuels, hydrogen, and LNG (liquefied natural gas) to replace diesel.

• Shifting freight from road to rail and waterways, which have a lower carbon footprint per tonne-kilometer.

• Maximising cargo capacity to reduce the number of trips and cut fuel consumption.

• Using blockchain, IoT, and automation to improve logistics efficiency and track carbon emissions.

• Engaging with suppliers, customers, and policymakers to drive sustainable supply chain management.

Rail is becoming an increasingly viable alternative for long-haul freight, particularly in regions investing in sustainable transportation methods. Some logistics networks are also integrating multi-modal transport systems, combining rail, sea, and road freight to reduce reliance on high-emission transport options.

While these efforts are making a measurable impact, challenges remain. Costs, infrastructure gaps, and inconsistent regulations continue to slow progress. Sustainability in global freight forwarding will require long-term investment and policy support.

Current Barriers and Strategic Considerations

Global freight demand is set to triple by 2050, with emissions expected to more than double without significant changes. Many freight forwarding companies are adopting sustainability initiatives, but high costs, infrastructure gaps, regulatory complexities, supply chain dependencies, and skills shortages can hinder progress. 

Below are the key challenges and how companies are addressing them.

High Costs and Limited Infrastructure

Transitioning to sustainable transportation methods such as biofuels, hydrogen, and electric freight requires significant investment. Many freight forwarding services operate on tight margins, making the high upfront costs difficult to justify. 

Infrastructure remains a significant barrier, with limited access to refuelling and charging stations, particularly for long-haul transport. Electric and hydrogen-powered vehicles also face range and payload limitations, restricting their viability at scale.

Regulatory Complexity and Compliance Burden

Governments worldwide are tightening emissions regulations, but policies vary across regions, creating compliance challenges for global freight forwarding companies. 

Carbon pricing mechanisms such as the EU Emissions Trading System add financial pressure, requiring companies to balance sustainability investments with cost competitiveness. Mid-sized businesses without dedicated sustainability teams often struggle with the administrative burden of emissions tracking and reporting.

Technology Gaps and Supply Chain Limitations

Despite advances in sustainable freight forwarding, long-haul transport remains dependent on diesel. Battery and hydrogen fuel technologies are improving but remain costly and operationally challenging. 

Many freight forwarders also depend on broader supply chain collaboration, which can slow progress when warehouses, third-party carriers, and port operators have not adopted aligned sustainability goals.

Market and Customer Pressures

Demand for sustainable supply chain management is increasing, but cost remains a key factor in decision-making.

• Supply chain inconsistencies. Many freight forwarders have sustainability targets, but warehouses, third-party carriers, and port operators may not be making the same commitments.

• Limited availability of low-emission solutions. Companies may want to transition to greener alternatives but lack access to suppliers offering viable solutions.

Talent and Expertise Gaps

The shift toward sustainable freight forwarding requires expertise in emissions tracking, carbon offsetting, and regulatory compliance. However, the industry faces a shortage of professionals with these specialised skills. 

Many freight forwarding companies are investing in upskilling existing teams, but freight recruitment is increasingly focused on securing sustainability specialists who can drive long-term environmental strategies.

Freight Forwarders Taking Action

Despite these challenges, some global freight forwarders are making real progress in reducing their environmental impact.

• DHL has committed to net-zero emissions by 2050. The company is expanding its use of electric and alternative fuel vehicles while optimising operations to reduce fuel consumption.

• Kintetsu World Express (KWE) is investing in sustainable aviation fuel (SAF) to cut Scope 3 emissions while monitoring and reducing Scope 1 and 2 CO2 emissions across its operations.

• DSV has set near-term carbon reduction targets validated by the Science Based Targets initiative (SBTi) and is embedding sustainable supply chain management into its core business strategy.

The ability of freight forwarders to transition to sustainability successfully will depend on strategic investments, regulatory adaptation, and a skilled workforce. Businesses that take early action will be better positioned as environmentally friendly shipping becomes an industry expectation.

The Role of Hiring in Sustainable Freight Operations

Sustainability in logistics looks simple on paper. Invest in cleaner fuels, optimise routes, and track emissions. In practice, it is far more complex. Companies need people who can turn strategy into action, ensuring sustainability efforts meet targets and make business sense.

For many freight forwarders, the challenge is not just finding the right solutions but having the right teams in place to implement them. Leadership must balance commercial priorities with sustainability goals. Operations teams need expertise in fuel transition, efficiency improvements, and emissions tracking. Sales teams must be able to communicate the value of sustainable logistics options to customers. Without the right talent, even the best sustainability strategies stall.

Where Businesses Are Struggling to Find Talent

Many companies are facing skills shortages in critical areas that impact sustainability efforts. Some of the most in-demand roles include:

• Sustainability and Compliance Specialists – Many companies are under pressure to track emissions and improve reporting accuracy. Hiring specialists in carbon management and environmental compliance is becoming essential as businesses look to avoid penalties and ensure long-term alignment with sustainability targets.

• Fuel Transition Experts – The shift to biofuels, hydrogen, and electrification is creating demand for professionals who can assess infrastructure needs, fuel availability, and cost-effectiveness. Without this expertise, companies risk making decisions that disrupt operations rather than improve efficiency.

• Sales and Business Development Teams – Customers are paying more attention to supply chain sustainability, but many sales teams lack the technical knowledge to communicate how different fuel options, logistics strategies, and efficiency improvements impact emissions. Companies that invest in commercial teams with a clear understanding of sustainable freight forwarding will have a competitive edge.

Building the Right Teams for Sustainable Freight Forwarding

Freight & logistics businesses serious about sustainability know that hiring decisions need to be just as strategic as their investment in fuel transitions and emissions tracking. The expertise required to manage these shifts is highly specialised, and companies are now thinking beyond just hiring for vacancies.

To keep ahead of compliance requirements, fuel transition planning, and operational changes, many businesses are taking a structured approach to recruitment, focusing on:

• Securing leadership with hands-on experience in sustainable freight operations rather than relying on internal teams to adapt on their own.

• Upskilling existing employees through targeted training on emissions reporting, alternative fuels, and technology-driven efficiency improvements.

• Working with freight-specific recruiters who understand the commercial, regulatory, and operational challenges of sustainability in logistics and can connect companies with candidates who have the right mix of technical and industry expertise.

With competition for experienced sustainability talent increasing, companies that plan ahead and act early will be in a stronger position to meet sustainability targets, maintain compliance, and drive real change within their operations.

Final Thoughts on Sustainable Freight Operations

The push for sustainability in freight and logistics is growing, but making real progress is not straightforward. The shift to alternative fuels, lower-emission transportation, and digital optimization requires investment, planning, and the right expertise to manage the transition effectively. Many companies are already making changes, but challenges around cost, infrastructure, and operational impact remain key concerns.

Success will depend on how well companies adapt, plan, and build the right teams to lead sustainability efforts. Hiring people with the knowledge to integrate new fuel technologies, track emissions accurately, and ensure compliance will be just as important as investing in the solutions. Those who bring in the right expertise early will be in the strongest position to meet sustainability targets, maintain efficiency, and stay ahead of shifting market and regulatory expectations.

Build a Team That Drives Sustainable Freight Operations

If your business is focused on meeting sustainability targets while maintaining efficiency, Freight Appointments is here to help. We connect freight forwarding companies with expert talent in operations, sales, middle management, and executive roles, ensuring you have the right people to implement sustainable strategies and keep your business competitive.

Contact us today to discuss your recruitment needs. Let’s build the team to support your sustainability goals and long-term success.