Having inadequate infrastructure is the main barrier to electromobility in Mexico, according to specialists during the Logistics and Last Mile Transport Technology panel at LATAM Mobility & Net Zero Mexico 2024 , where they analyzed all the challenges that sustainable mobility brings with it .

In that sense, leaders of companies such as Mercado Libre , Huawei Digital Power Latin America , Estafeta and more offered their perspectives on how to overcome the barriers of infrastructure, regulation and organizational culture to adopt electric fleets .

Ernesto Tatay, District Director at Estafeta, highlighted that one of the biggest obstacles is the lack of charging infrastructure that guarantees safety for operators.

“The main barriers we see have to do with the paradigm shift and the ability to have adequate charging stations, security of spare parts, pieces, training of mechanics, is another barrier,” Tatay explained.

He also mentioned that while the initial cost of electric vehicles is high, in the long term it can result in significant savings. However, access to charging stations in remote areas remains a critical limitation.

For his part, José Milla, director of Transportation at Mercado Libre, highlighted that although large cities such as Mexico City, Guadalajara and Monterrey are making progress in infrastructure, there are still regions in the country where this technology is inaccessible.

“At Mercado Libre we already have one of the largest electric fleets in Latin America, but we need more charging stations to keep up with the pace of growth required by e-commerce,” Milla said.

Along the same lines, Santiago Canales, regional vice president of Motive , pointed out that the use of data will be key to the success of the transition towards electromobility.

“Technology should not only serve to replace the fossil fuel-based model, but also to improve operational efficiency. It is necessary to use data to optimize routes and reduce the number of vehicles in circulation,” Canales said.

Meanwhile, Francisco Cabeza Santillana, Commercial Director of EV Chargers at Huawei Digital Power Latin America , also highlighted the importance of technology and gave the example of the company he represents, since according to him they are developing fast charging solutions .

“They can reduce operating costs by 30%, which is crucial for business models based on electric fleets to be sustainable,” Santillana explained.

Also, Fausto López, CEO and founding partner of Yutong Guadalajara , emphasized that it is necessary to continue promoting the culture of electromobility in the country .

“There is a fear of change and a lack of knowledge about the technologies available. What we need is to demonstrate, through pilot projects and tests, that electric mobility is viable and profitable in the long term,” López said.

They also agreed that despite the challenges, electromobility in Mexico has a promising future.

“The last mile is the sector where electromobility can have the greatest impact, both in reducing carbon emissions and noise pollution. However, closer collaboration between the public and private sectors is needed for this to happen,” said José Milla.

Regarding government incentives , the panelists said that this is a key factor for the transition to electromobility. They called for public policies to offer more incentives for companies that opt ​​for electric mobility.

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Chazki, a technology company specialized in transportation and delivery services for e-commerce and retail, announced its merger with Lok , a Mexican startup , in order to strengthen the development of a network of smart lockers in Latin America.

This alliance aims to consolidate Chazki’s position in the regional logistics market and expand its presence in Mexico, with the aim of tripling its market share in the next two years .

The integration of Lok will allow Chazki to prioritize its out-of-home / OOH delivery point strategy , making it easier for customers to receive and return packages in smart lockers located near their homes, offices or points of delivery. interest such as supermarkets and pharmacies.

This solution promises to reduce shipping costs and improve convenience for users, in addition to contributing to sustainability by reducing carbon dioxide emissions in the last mile, which currently represent more than 20% of emissions in cities, according to a report on climate change from BBVA México.

Founded in 2014 in Peru, Chazki has established its presence in various markets in Latin America. It entered the Mexican market in 2018 and has formed partnerships with e-commerce players and retailers.

This company offers an integrated platform to optimize logistics processes from distribution centers to final delivery.

“Lockers and drop-off points can be strategically located in areas such as apartment buildings, residential areas, shopping centers and other busy locations. This network is especially useful in densely populated areas where recipients are not always at home to receive packages,” explained Gonzalo Begazo, CEO and founder of Chazki.

For its part, Lok , created in 2021 by Gonzalo Hevia Baillères, a Mexican businessman and investor, has developed a network of smart lockers with the aim of offering a convenient delivery service in Latin America.

“Latin America has a strong need and the conditions for a more convenient way to receive and return online purchases. Currently, 41% of the total shipping cost is in the last mile, and deliveries typically require two or three attempts before the customer is home. This merger reinforces our commitment to becoming the most convenient delivery company in Latin America,” said Hevia Baillères.

Chazki’s new OOH division, strengthened by Lok’s infrastructure, will provide additional delivery and return options, which could improve efficiency in densely populated areas and facilitate returns.

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Mexico, compared to Europe, Canada and the United States, still has areas of opportunity to understand and take advantage of the information generated by artificial intelligence that, accompanied by machine learning , contributes to optimizing logistics .

“In a good number of cases, when delivery routes are defined, it is assumed that the vehicle intended for the delivery of the goods is lost. That is, there is no monitoring of the units to verify their operating times or effective work spaces of the operators.

In this sense, the potential to continue using the vehicle and maximize profitability is a niche in which there is a lot of opportunity,” Adimir Benítez, founding partner and director of strategic solutions at TIASTICA , explained in an interview for T21 .

Another area of ​​opportunity that is important is the optimization of reverse logistics. The efforts made to prevent products from being returned are varied, since, in Benítez’s words, the products that leave the warehouse and are returned reach depreciate by up to 66%, this generates large economic losses and causes saturation in collection routes.

“We have to exploit the information to take advantage of the potential of the return of merchandise and look for how to disperse the displacement of product so as not to lose the profit margin of a sale, after a first sale that was not made correctly. Nor should we lose sight of the fact that there are still areas of opportunity in the maturity of the buyer so that the returns on the merchandise are increasingly smaller,” he defined.

Benítez emphasized that companies must also know how to implement actions with the help of technological tools to give the best purpose to the packages that are returned and that often do not return to the central warehouses.

Another great advantage of using artificial intelligence in logistics is making drivers’ time and productivity on the routes more efficient. “But this not only has to do with economics, but also with the quality of life of the operators. What we are looking for with technology is to make the companies’ business more profitable and at the same time dedicate less effort to managing the units and more time serving the market,” said Benítez.

Added to these objectives is the proper use of the units, and their care, especially when it comes to electric vehicles .

In Benítez’s opinion, the last mile in Mexico is in a stage of maturity, although, as a result of the pandemic and the growth of e-commerce , the implementation of technology increased, the reality is that today 34% of companies He is considering it, but does not have it in operation yet.

“Companies must understand that technology enhances their businesses, however, the tools must adapt to the needs of each company,” said the founding partner and director of strategic solutions at TIASTICA.

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At the end of 2023, 43,010 freight motor transport units were registered in the State of Mexico , that is, it accumulated 6.4% of the national total or the fourth entity with the largest fleet.

By type of fuel, the entity’s fleet was divided as follows: 37,494 diesel units, 5,366 gasoline, 112 gas and 38 correspond to gas-gasoline, according to the Basic Statistics of Federal Motor Transportation .

Given this reality and in order to contribute to the modernization of the fleet in the entity, as well as improve the mobility of cargo transportation , the Transportation Institute of the State of Mexico is working on the development of a diagnosis in which they are identifying industrial parks and areas that need better connectivity for the distribution of goods.https://translate.google.com/website?

“We have to define where we are to define clear strategies and actions towards where we want to go and set realistic goals to achieve it. Based on this study, we will be able to promote, for example, logistics corridors that already have charging points to begin introducing electric vehicles, because this is one of the most important issues to make the transition. Although today we consider that it can initially occur in last-mile distribution units,” Adriana Guzmán, deputy director of Planning and Gender Equality at the Transportation Institute of the State of Mexico, explained in an interview for T21.

Guzmán explained that, after the new government took office in the State of Mexico last year, the institute is outlining the technical standards that can regulate cargo transportation . To date, they are working on updating the technical standard in which the specifications that charging units must have to circulate in certain areas will be defined.

“We have to put a lot of focus on last-mile distribution, because currently there is no regulation for parcel and courier companies, in order to have integrated mobility,” said the spokesperson.

One of the biggest problems is that free passage to freight transport in congested areas cannot continue to be given, according to the first conclusions of the diagnosis carried out by the institute.

“The task is to define which roads can be built or which others can be improved so that they become functional industrial corridors and avoid driving on conflicting roads. We have to look for alternatives to redirect cargo transportation, because it is an urgent need because the State of Mexico is in a privileged area at the distribution level,” said Guzmán.

This plan would facilitate entry to distribution centers (cedis), reduce travel times and prevent units from being stopped in traffic . To achieve this, the institute evaluates different financial models that help solve the problem.

“We are looking for various sources of financing to make this a reality,” said Guzmán.

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