What Is Carbon Neutral Shipping? The Complete Guide

December 19, 2022

Reading 6 minutes
carbon neutral shipment

Shipping is a huge industry responsible for billions of tons of emissions annually. This is why finding ways to make shipping more environmentally friendly is a top priority for many companies and organizations. 

One of the most promising solutions is carbon neutral shipping. But what is it, and how can it help reduce emissions? This article will answer those questions and give you a complete guide to carbon-neutral shipping.

What Is Carbon Neutral Shipping?

Carbon-neutral shipping is the term used to describe the shipment of goods where the release of carbon dioxide into the atmosphere equals the amount of carbon dioxide that is sequestered or offset. 

For shipping to be considered carbon-neutral, the net release of carbon dioxide must be zero. There are many ways to achieve this, including using clean energy sources, investing in carbon offsets, and improving shipping efficiency.

One of the most common ways to make shipping carbon-neutral is using clean energy sources. This can be done using electric vehicles or powering ships with wind or solar energy. 

Electric vehicles are becoming increasingly prevalent in the shipping industry, as they are more efficient and emit far less pollution than traditional diesel-powered vehicles. Similarly, wind and solar energy can power ships, although this option is not yet widely available.

Another way to make shipping carbon-neutral is by investing in carbon offsets. Carbon offsets are credits that can be purchased to offset emissions. 

For example, suppose a company emits 1,000 tons of carbon dioxide through its shipping activities. In that case, it can purchase 1,000 tons of offsets from a project sequestering carbon dioxide from the atmosphere. This would eliminate the company’s emissions and make its shipping operations carbon-neutral.

carbon neutral shipment

Why Should My Business Offer Carbon Neutral Shipments? 

1. Carbon-neutral shipments are important for businesses because they help to reduce the company’s carbon footprint.

As businesses become more aware of the need to reduce their carbon footprint, many are looking for ways to ship their products more sustainably. 

One option is to use carbon-neutral shipping methods. This means offsetting the emissions produced by shipping by investing in projects that reduce carbon dioxide emissions elsewhere. For example, a company might invest in tree planting or solar panels. 

By offsetting their emissions, businesses can help reduce their environmental impact and demonstrate their commitment to sustainability. In addition, carbon-neutral shipping can also help businesses to save money by reducing their fuel costs. 

2. Carbon-neutral shipments are also important for people because they help to reduce the environmental impact of shipping products.

As the world increasingly becomes aware of the importance of sustainability, carbon-neutral shipments are becoming more and more popular. And for good reason – they help reduce shipping products‘ environmental impact. There are several ways to make your shipments carbon-neutral. 

One is to use green shipping methods that don’t rely on fossil fuels. This includes using ships powered by renewable energy sources, such as wind or solar power. Another way to offset the carbon emissions of your shipments is to purchase carbon offsets. 

These credits can be used to fund projects that help reduce greenhouse gas emissions. For example, you could purchase offsets that go towards planting trees, which help to absorb carbon dioxide from the atmosphere.

3. Carbon-neutral shipments help to preserve the environment by reducing emissions of greenhouse gases.

The debate surrounding the environment and climate change is constantly evolving. And with good reason – the health of our planet is at stake. 

One of the most impactful ways businesses can help reduce emissions of greenhouse gasses is by ensuring their shipments are carbon-neutral. This means offsetting the emissions from shipping goods by investing in projects that help reduce carbon emissions elsewhere. 

There are several ways to achieve carbon neutrality, but the most important thing is that businesses take action. Shifting to carbon-neutral shipments is good for the environment and sends a strong message to customers and employees that your company is committed to sustainability.

4. Carbon-neutral shipments help to save money for businesses by reducing the cost of shipping products.

One way that businesses can save money on shipping costs is by using carbon-neutral methods. This means offsetting the emissions from shipments by investing in projects that reduce carbon emissions elsewhere. 

This can be done by directly purchasing carbon offsets or participating in a voluntary carbon market. In addition, it can also save businesses money on shipping costs.

5. Carbon-neutral shipments also help to create a more sustainable supply chain.

As businesses strive to become more sustainable, they are looking for ways to reduce their environmental impact across their entire supply chain. One way to do this is by shipping products using carbon-neutral methods. 

Carbon-neutral shipping can help businesses offset their emissions from transportation and other activities related to their supply chain. This can be done through various methods, such as investing in carbon offsets or using clean transportation options. 

Carbon-neutral shipping has many benefits, including reducing a business’s environmental impact, improving its sustainability credentials, and saving money on energy costs. Additionally, carbon-neutral shipping can help to create a more sustainable supply chain overall.

carbon neutral shipment

Steps To Achieve Carbon Neutral Shipping

Eco-Friendly Packing Materials (Recycled, Recyclable, Etc)

There are many benefits to using eco-friendly packing materials for your shipments. Perhaps most importantly, it can help you achieve carbon-neutral shipping. This means that the greenhouse gas emissions associated with your shipments are offset, making them climate-neutral. 

Eco-friendly packing materials often have a smaller environmental footprint than traditional packaging options. They may be made from recycled materials or sustainable sources like bamboo or hemp. Some eco-friendly packing materials can even be composted after use.

Reduce Waste In Packaging And Shipping

As the world becomes more aware of the need to reduce our carbon footprint, businesses are looking for ways to make their operations more sustainable. One area that is often overlooked is packaging and shipping. 

Businesses can significantly impact their carbon emissions by reducing the amount of waste generated in the last mile delivery part. There are several simple ways to reduce waste in packaging and shipping. 

One is to use recycled materials whenever possible. Recycled paper, for example, can create packaging cushions or void fill. Other sustainable materials that can be used include bamboo, wool, and cornstarch peanuts.

Reduce Carbon Emissions From Transport (Multiple Fulfillment Centers, Optimized Routes, Etc)

One way to reduce carbon emissions from the shipping industry is to use multiple fulfilment centers. This would allow for optimized routes and reduced emissions. Another way to achieve carbon neutrality is to use electric or hybrid ships. These types of ships have zero emissions and are much more efficient than traditional vessels. 

Finally, another way to reduce emissions is to utilize green shipping practices. This could involve using cleaner fuels, investing in energy-efficient technologies, and supporting research and development of new green shipping technologies. 

carbon neutral shipment

Make Warehouses And Offices More Energy Efficient

Warehouses and offices are responsible for a significant amount of the energy used in shipping. To achieve carbon-neutral shipping, making these buildings more energy efficient is essential. 

This can be done through various measures, such as installing energy-efficient lighting and heating/cooling systems, improving insulation, and using renewable energy sources. Installing energy-efficient lighting is a simple and effective way to reduce the energy used in warehouses and offices. 

LEDs use far less energy than traditional incandescent bulbs, and they last much longer, so they can save money in the long run. Improving insulation will also help reduce energy consumption, as it will keep heat in the winter and cool air in the summer. 

Finally, using renewable energy sources, such as solar panels or wind turbines, can help to offset the carbon emissions from these buildings.

Purchase Carbon Offsets 

If you want to achieve carbon neutral shipping, one option is to purchase carbon offsets. Carbon offsets are a way to reduce your carbon footprint by funding emissions-reducing projects elsewhere. 

For example, you could purchase offsets that support renewable energy projects like wind or solar farms. When choosing a carbon offset provider, it’s important to ensure that they are reputable and that a third party verifies their projects. 

You should also look for offsets that will have the greatest impact on reducing emissions. Purchasing carbon offsets is just one way to achieve carbon-neutral shipping. 

Other options include using alternative fuels, investing in energy-efficient technologies, and offsetting emissions through other means, such as planting trees. With the right approach, it’s possible to achieve carbon-neutral shipping and positively impact the environment.


The benefits of going carbon neutral include reducing your environmental impact, improving public image and brand value, and gaining access to new markets with stricter sustainability requirements. 

A common way to achieve carbon neutrality is to calculate your organization’s total annual emissions and then purchase offsets equal to that amount. For each metric tonne of CO2 emitted, you would need to invest in an equivalent offsetting project. 

Carbon neutrality also gives companies a competitive edge in the race for sustainability leadership.  As consumers become more environmentally conscious, they are increasingly looking for products and services from brands that share their values. 

Offsetting your business’s greenhouse gas emissions is one way to show customers that you care about the planet and are taking steps to reduce your ecological footprint.


Rachelle Regua

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