Building on leading practices in emerging markets, scaling green logistics requires a systemic approach that aligns technological innovation with forward-looking business models. High-impact innovation opportunities in emerging markets were identified by mapping green logistics innovations along two key dimensions: their ability to address the identified challenges in the value chain, and their innovativeness and potential for future growth, particularly in terms of carbon abatement and commercial viability. Based on this, a detailed examination of pioneering public- and private- sector initiatives in the emerging market highlights 15 innovative levers under the four overarching themes. These levers hold significant potential to accelerate transformation, enabling a low- carbon logistics system in these regions while simultaneously driving business growth and capturing first-mover advantages.2.1 The 15 innovation levers driving logistics transformation 15 innovation levers identified to drive green logistics transformation TABLE 1 Innovation lever Impact Green fuel production and use1Renewable fuels generation Low-carbon fuels produced from biomass or renewable sources, such as biodiesel, renewable diesel, or biomethane –Reduce overall carbon footprint –Enable transition for hard-to-abate sectors –Use existing infrastructure 2Hydrogen and derivatives production Green hydrogen produced with renewable electricity and derivative fuels such as green ammonia or methanol –Eliminate tailpipe emissions –Power heavy-duty and long-haul transport –Enable renewable energy storage Green vehicle and propulsion manufacturing and adoption3Electric and hydrogen-powered vehicles Vehicles powered by battery or hydrogen fuel cells –Cut freight transport emissions –Offer flexibility for different route lengths –Lower long-term operating costs 4Fully SAF-powered and light-weight cargo aircraft Aircraft operating on 100% SAF built with lightweight composites –Improve fuel efficiency –Drastically cut life cycle CO2 emissions –Increase payloads and ranges 5Alternative-propulsion maritime and inland vessels Ships and barges powered by hydrogen, ammonia, methanol, battery-electric and fuel-saving technologies, such as wind-assisted systems –Significantly cut vessel emissions –Reduce fuel consumption –Meet international and regional mandates 6Low-emission freight locomotives Electric, hybrid, battery-electric and hydrogen-powered freight locomotives –Lower rail transport emissions –Improve air quality near railways –Enable modal shift from road to rail Green infrastructure construction7Green fuelling and charging networks Infrastructure delivering electricity, hydrogen, biofuels and ammonia for freight vehicles, vessels, aircraft and trains –Enable adoption of clean energy fleets –Support a diverse range of fuel types –Improve grid stability and integration 8Smart and green transport hubs and networks Integrated intermodal hubs using loT, Al and clean-energy systems –Reduce hub emissions and energy use –Increase cargo throughput and capacity –Improve operational resilience 9Green warehouses and distribution centres Energy-efficient facilities with on-site renewables, smart HVAC, LED lighting and microgrids –Reduce facility energy consumption –Increase adoption of green-certified logistics –Ensure operational uptime Green Logistics Innovation for Emerging Markets: Driving Competitiveness and Shared Value 12

Green Logistics Innovation for Emerging Markets Driving Competitiveness and Shared Value 2025