Major couriers adopt electric fleets and AI routing to curb petrol reliance amid rising fuel prices.
As jet fuel and petrol spike after the Middle East conflict, DHL, FedEx, J&T Express and regional platforms are scaling electric vehicles and AI route optimisation to cut fuel use and manage higher surcharges.
Fleet Electrification Progress
FedEx reports about 30 percent of its Singapore delivery vehicles are electric following recent deployments, while DHL says over 30 percent of its ground fleet in Singapore is EVs with 100 vans and solar panels powering EV charging needs.
Fuel Price Shock And Surcharges
Jet fuel rose from roughly US$85 a barrel pre-war to about US$200 a barrel by end-March; FedEx’s jet-fuel index showed kerosene-type jet fuel at US$4.073 a gallon for April 13 to 19 with a 46.75 percent international fuel surcharge, up from US$1.873 a gallon and 28.25 percent in January.
AI And Delivery Efficiency
Couriers use AI route mapping and order stacking to reduce mileage and idle time; J&T increased automated sorting lines and uses AI to optimise runs, while Lalamove and Foodpanda promote multimodal options such as bicycles and power-assisted bikes to lower petrol dependence.
Pricing And Customer Impact
Companies continue fuel surcharges on international and express shipments to manage costs; J&T has not raised local delivery fees as of April 15, while providers say any customer-facing price moves are considered carefully amid market volatility.
Regional Volumes And Growth
Despite higher fuel costs, FedEx reported strong shipment growth in March 2026 and J&T’s Q1 2026 parcel volume in Southeast Asia rose 79.9 percent year on year to 2.77 billion parcels, showing demand resilience even as operators adapt operations.
The courier sector’s shift to EVs, AI-driven routing, and diversified transport modes aims to reduce petrol dependence while passing some costs to customers via surcharges; Indonesians and Singaporeans alike should expect smarter, greener delivery options and occasional surcharge adjustments as carriers balance sustainability and operational viability.
Sources: Straits Times (2026) , Yahoo! Finance (2026)
Keywords: Fuel Prices, Electric Fleet, AI Routing, Fuel Surcharge, Parcel Volume
