FedEx provides sustainable packaging options designed for circular shipping processes

FedEx Launches Reusable Packaging Solution for B2B Shipping

FedEx has unveiled a reusable packaging system tailored for business-to-business shipments, aiming to help retailers lower expenses and simplify store operations. The innovative packaging is compatible with automated conveyor belts and delivery vehicles within the FedEx network.

This collapsible box, developed by FedEx (NYSE: FDX), is built to withstand up to 50 shipping cycles. By transitioning from traditional cardboard boxes to this reusable option, retailers can cut handling costs and potentially decrease carbon emissions by as much as two-thirds compared to single-use alternatives.

The packaging is intended for closed-loop logistics environments—such as internal fulfillment centers, store restocking, and field service support—where the return and reuse of packaging can be closely managed.

FedEx partnered with Returnity, a company specializing in circular logistics solutions, to create this system.

Designed to hold up to 50 pounds, the automation-ready box integrates seamlessly into existing FedEx processes without adding complexity for retailers, according to the company.

Pilot programs across North America have demonstrated the box’s effectiveness in scenarios like store replenishment, internal transfers, and reverse logistics. Businesses testing the solution reported quicker unpacking and restocking, improved labor productivity, better backroom organization, and reduced product damage. The packaging is currently available in the United States, with plans to expand to Australia and Europe soon.

Neil Gibson, FedEx’s Senior Vice President of Global Customer Experience, stated, “By working with Returnity, we’ve introduced the first scalable, reusable box for B2B clients, which is particularly valuable for soft-goods shippers. Combining Returnity’s robust, easy-to-use packaging with our global network enables retailers to achieve significant cost savings and reduce their environmental footprint, all while maintaining speed and reliability. This initiative supports our goal of creating smarter supply chains for everyone.”

While reusable packaging is not a new concept, integrating it into standard parcel networks has been challenging due to cost, operational complexity, and compatibility. FedEx claims that the Returnity container fits effortlessly into its current logistics infrastructure.

The company also notes that this modern packaging can lower packaging costs by up to 30% per shipping cycle.

FedEx’s leadership has emphasized a strategic shift toward B2B logistics, including returns, as these services are more profitable than standard last-mile deliveries.