FedEx Drives Global Economic Impact, Investing in Sustainable Infrastructure and EVs in Africa

FedEx delivered an estimated $280 million in indirect impact to the Middle East, Indian Subcontinent and Africa region’s overall economy in FY 2024.

JOHANNESBURG, GAUTENG, SOUTH AFRICA, November 6, 2024 /EINPresswire.com/ -- FedEx Corp. (NYSE: FDX) released its annual economic impact report, analyzing the company’s worldwide network and role in building prosperity in local communities during its 2024 fiscal year (FY 2024) . Produced in consultation with Dun & Bradstreet (NYSE: DNB), a leading provider of business decisioning data and analytics, the study underscores the ‘FedEx Effect’—the impact FedEx has on accelerating the flow of goods and ideas that generate economic growth across countries and regions.

“At FedEx, we have a vision to make supply chains smarter for everyone by leveraging advanced data and technology to better serve our customers and their customers, thereby extending our reach and impact,” said Raj Subramaniam, president and CEO, FedEx Corporation. “The ‘FedEx Effect’ represents our relentless commitment to excellence, economic growth, and the communities where we live and work.”

The report reveals that FedEx contributed more than $85 billion in direct impact to the global economy in FY 2024, accounting for approximately 0.1% of the world’s total net economic output . This activity reflects the scale of the FedEx network and the company’s ongoing efforts to enhance its innovative services that help businesses of all sizes connect with customers and strengthen their operations. The company has the most extensive transportation network in the world, providing service to more than 220 countries and territories. Additionally, FedEx employs more than 500,000 people across more than 5,000 facilities and moves an average of 16 million packages per day.

Middle East, Indian Subcontinent, and Africa Impact
FedEx is committed to enabling the ongoing growth of the Middle East, Indian Subcontinent, and Africa (MEISA) region. The company’s network reaches 80 countries and territories across MEISA, and in 2024, FedEx directly contributed 0.1% to the net economic output of the MEISA region's Transportation, Storage, and Communications sector. In addition, FedEx indirectly contributed an estimated $280 million to the region’s overall economy in FY 2024.

“At FedEx, we’re dedicated to supporting the remarkable growth and transformation happening across the MEISA region,” said Kami Viswanathan, regional president, FedEx MEISA. “Be it helping businesses in the Middle East diversify into emerging technologies, supporting Africa’s young and dynamic population, or connecting India’s digital innovations to the world, our infrastructure and services are designed to expand trade opportunities. By investing in sustainable solutions like electric vehicles and innovative shipping options, we’re proud to contribute to both the economic and environmental progress of the region.”

In South Africa, FedEx's focus on sustainable logistics and a company-wide goal of transforming the FedEx pickup and delivery (PUD) fleet to zero-emission tailpipe vehicles by 2040 has led to the addition of electric delivery vehicles and the consolidation of operations into a more energy-efficient hub in Johannesburg. These efforts demonstrate FedEx's role in expanding logistics capabilities across MEISA and building a more sustainable future for the region.

Key highlights of the FedEx Economic Impact Report include:
• Trade: In FY 2024, FedEx installed a new screening machine at the imports gateway facility in Johannesburg to improve the customs inspection process. The screening machine allows customs officials to review the contents of a shipment without having to physically handle the package, reducing inspection time.
• Infrastructure enhancements: FedEx also consolidated four of its stations into a single hub in Johannesburg that incorporates sustainable technologies. Features include motion-activated lights to conserve energy and multiple rainwater collection tanks to reduce the company’s draw on municipal water sources.
• Small businesses: Beyond logistics, FedEx has positioned itself as a growth enabler, connecting businesses to global opportunities. To further help small and medium-sized businesses accelerate their growth, FedEx launched the SME Connect Series in South Africa, Kenya and Nigeria, allowing SMEs to extend their global reach, which in turn supports local job creation and economic activity. In FY 2024, FedEx continued to enhance its portfolio of SAM-focused services, including offering discounted packaging services and domestic/international shipping to smaller companies around the world. The most significant benefit of these partnerships has been the ability to offer tailored solutions that help SMEs optimize their operations, reduce costs, and expand their market presence.
• Sustainability: Following successful trials in 2021, FedEx formally deployed its first pick-up and delivery (PUD) electric vehicles (EVs) into service in Johannesburg in 2023. In FY 2024, FedEx added electric vehicles to its fleet in the South Africa.
• Supply chain: FedEx supports small businesses through its supplier purchasing and is committed to sourcing from diverse businesses that are competitive in quality, service, and cost. In calendar year 2023, 85% of the suppliers FedEx contracted in MEISA were small businesses.
Giving: In FY 2024, more than 1,000 FedEx team members dedicated 2,400 volunteer hours for community projects in 13 cities across MEISA. In South Africa, FedEx donated a container classroom to The Wana Johnson development Project and contributed to rural African education. This classroom serves as a Montessori for children in Taweni village in Eastern Cape, South Africa.

Read the full FY 2024 FedEx Global Economic Impact Report and explore the FedEx Effect in communities and regions around the world at fedex.com/economicimpact.

About FedEx Corp.
FedEx Corp. (NYSE: FDX) provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce, and business services. With annual revenue of $88 billion, the company offers integrated business solutions utilizing its flexible, efficient, and intelligent global network. Consistently ranked among the world's most admired and trusted employers, FedEx inspires its more than 500,000 employees to remain focused on safety, the highest ethical and professional standards, and the needs of their customers and communities. FedEx is committed to connecting people and possibilities around the world responsibly and resourcefully, with a goal to achieve carbon-neutral operations by 2040. To learn more, please visit fedex.com/about.

Khensani Mahlangu
FedEx Sub-Saharan Africa
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