Written by 11:00 Transportation

TIP Group and DSV invest in trailer refurbishment to improve sustainability

trailer refurbishment Schmitz

Trailer refurbishment is part of the emissions reduction programme

The logistics sector is a major source of carbon dioxide emissions. In order to meet climate targets, companies are actively implementing environmental initiatives. One such initiative is the trailer refurbishment scheme, which is being implemented jointly by TIP Group and DSV.

The companies plan to recondition Schmitz Huckepack trailers in 2025. This will double their service life and reduce carbon emissions by 8,000 tonnes. The refurbished equipment will operate on DSV’s European routes.

It is worth noting that the companies have already undertaken similar initiatives in previous years:

  • 1,100 units to be refurbished in 2023;
  • in 2024—991 units;
  • the plan for 2025 is to repair another 1,100 units.  

According to TIP’s analysis, trailer refurbishment can significantly lower carbon dioxide emissions. The refurbishment process releases approximately 2.3 tonnes of CO₂ per unit into the atmosphere. The refurbishment process uses fewer resources and less energy than the production of new transport units. As a result, less carbon dioxide is released into the atmosphere.

Refurbished trailers can carry goods for another 6 years (in addition to the original 5 years). This approach not only reduces the carbon footprint but also optimises the investment in fleet renewal.

The partnership between the companies also includes machinery maintenance activities. Remanufacturing will cover fleets across Europe. This will minimise downtime and increase vehicle productivity.

By expanding the trailer refurbishment programme, DSV will follow the principles of sustainable development. The company will also be able to optimise costs without losing productivity. 

trailer refurbishment

Business overview

DSV’s gross profit rose by 5% in the fourth quarter of 2024 compared with the same period in 2023. The good financial performance enabled the company to generate a free cash flow of DKK 2,524 million. The improved overall performance empowers the operator to plan major projects for 2025.

The company’s acquisition of Schenker was an important development. This transaction significantly expanded DSV’s service offering to customers and strengthened its position in the global logistics market.

Shipping showed a strong performance and increased its profit by almost 12% in the quarter. The aviation segment showed a slight decline in volumes, reflecting the general market trend of decreasing demand for air transport.

The road transport segment remained stable despite the tariff reduction. To optimise operating costs, DSV announced a forthcoming price increase for customers. At the same time, the company expanded its range of services, which will help offset the tariff rise by improving service quality.

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