Ikea to electrify all deliveries in India by 2025, expand EV fleet by 40%

Currently, 88% of Ikea's deliveries in India are made using electric vehicles

Ikea, the Swedish home furnishings giant, has announced plans to transition all its deliveries in India to electric vehicles (EVs) by 2025. The company, which entered the Indian market in 2018, currently operates EV deliveries in Hyderabad, Bengaluru, and Pune, where it has achieved 100 per cent zero-emission deliveries.

Currently, 88 per cent of Ikea's deliveries in India are made using electric vehicles.

In a statement released on Tuesday, Ikea revealed that it has deployed around a hundred EVs in Hyderabad, Bengaluru, Pune, Mumbai, and Gujarat.

“At the country level, these sets of EVs have helped us reach more than 90 per cent of zero-emission customer home deliveries as of July 2024,” Saiba Suri, country customer fulfilment manager,  Ikea India, told Business Standard.

The company first introduced electric vehicles into its delivery fleet in 2019. Globally,  Ikea aims to become climate positive, halve greenhouse gas emissions across the value chain by 2030, and reach net zero by 2050.

Ikea also plans to launch operations in Delhi-NCR next year, where deliveries will be conducted exclusively by EVs from the outset. The company has partnered with three major automotive manufacturers—Tata Motors, Ashok Leyland, and EKA—to build its delivery fleet.

“After rigorous internal testing for an extended period, Ikea onboards EVs. Today we have Tata Motors Tata Ace EV, Ashok Leyland’s SWITCH, and EKA onboarded in our EV portfolio,” Suri said.

The company also aims to increase the size of its fleet by around 40 per cent.

“It would be difficult to get the exact count in advance. At an overall level, we expect around 40 per cent growth in EV count by 2025,” Suri said.

In line with these plans,  Ikea India has been facilitating partnerships between last-mile delivery partners and OEMs, to pivot to 100 per cent EV deliveries across markets.

Ikea is also piloting same-day delivery in Hyderabad and plans to scale it across all its markets in the coming year.

Susanne Pulverer, CEO and chief sustainability officer, IKEA India, said, “For  Ikea , a sustainable value chain is an essential part of our growth journey. This is just the first of many milestones in that effort, and we are proud to lead the EV journey from our foundational years in India.”