FedEx Express serves more than 100 markets across the AMEA (Asia Pacific, Middle East, and Africa) region.
This was contained in the FedEx’s annual economic impact report, analysing the company’s worldwide network and role in fueling innovation during its 2023 fiscal year. The study demonstrates the positive impact FedEx has on individuals and communities around the globe — otherwise known as the ‘FedEx Effect’.
The study found that with its extensive network, FedEx Express contributed 0.3% of net economic output in the Transportation, Storage, and Communications sector in AMEA during FY 2023.
Across all sectors of the AMEA economy, FedEx Express contributed 0.02% of total net economic output, which grew approximately 6% in FY 2023 to $44 trillion.
The study also concluded that transitioning commercial fleets to electric vehicles can play an important role in combatting climate change.
With an overall fleet of 210,000 motorized vehicles, FedEx has a goal to convert a substantial portion of its vehicle fleet, particularly its parcel pickup and delivery (PUD) vehicles, to electric vehicles (EVs).
In full year 2023, FedEx Express introduced dozens of EVs in markets across the Middle East and Africa, including 30 electric delivery vehicles in India that are expected to help avoid more than 1.3 tons of carbon emissions annually, each.
“Additionally, the company introduced 10 EVs in South Africa and 14 in Jordan, e-cargo bikes in Morocco and Pakistan, and completed an electric delivery van pilot program in the UAE.”
Beyond its direct impact, FedEx Express indirectly contributed $2.7 billion to the economy of the AMEA region in FY 2023. Among specific industries, FedEx Express indirectly contributed $1.0 billion to the region’s critical $9 trillion Manufacturing sector (estimated).23 The company’s indirect contribution to the Transportation, Storage, and Communications sector24 was estimated as $772 million.
The FedEx economic footprint in the region continues to grow:
- FedEx spent $3.7 billion with suppliers in the AMEA region in CY 2022.
- FedEx supplier spending makes a significant contribution to the small- and medium-sized enterprise (SME) market. The number of small business jobs supported by FedEx supply chain spending increased the most in AMEA and Europe, with both regions recording a 19% increase. In AMEA, 50% of FedEx supply chain spending went to SMEs.
“Sub-Saharan Africa is a rapidly emerging region in global trade, and we’re committed to fueling this growth. Our aim is to create more jobs and enhance economic opportunities across the region,” said Kami Viswanathan, president of FedEx Express Middle East, Indian subcontinent, and Africa.
“Our main focus is on delivering exceptional customer service and expanding access to the benefits of global trade. We believe that fostering a connected and sustainable future will strengthen the FedEx Effect for everyone in the region.”