The shift toward electric vehicles (EVs) is picking up speed—not just in consumer markets, but across commercial fleets as well. This growth, however, brings more than just opportunity for fleets, but risk, regulation and operational complexity.
The problem? The large-format lithium-ion batteries that power EVs.
EV batteries are big and bulky, and each company their own battery design and weight distribution points. They can also enter “thermal runaway,” which can result from an unknown internal chemical reaction or an accident that can be followed by an immediate flame that can propagate to other cells and surrounding packaging.
These safety concerns are why there are such strict regulatory requirements in place for shipping and storing lithium batteries. And the stakes for noncompliance go beyond just fines, including insurance implications, liability exposure, operational delays, or accidents can seriously impact your bottom line.
As fleet operators adopt EVs or transport large-format lithium-ion batteries for automakers and OEMs, they must navigate these unique challenges. Whether you’re handling new, damaged-defective-recall (DDR), or end-of-life batteries, it’s a complicated endeavor, and there’s no room for shortcuts. Sudden recalls, market expansions and changing warehouse locations can all throw curveballs at your operations. Your fleet’s logistics operations need to be agile, responsive and ready for anything.
There’s no one-size-fits-all solution. But with the right game plan and partner, you can stay ahead of the game and keep your supply chain running safely and efficiently.
From Storage to Shipping: The Secrets to a Strong EV Supply Chain
A smooth logistics ecosystem is one that can delicately balances safety, cost and speed while ensuring compliance every step of the way. Here are time-tested secrets to a rock-solid supply chain:
Secret 1: Only Real-Time Logistics Create Peace of Mind
To keep logistics running smoothly, companies need more than just the basics.
Using DG shipping software that syncs with WMS, TMS, and ERP systems is like a cheat code for your supply chain. It gives you access to real-time dashboards and end-to-end visibility—which means you have zero stress about where your stuff is.
Think of it like a centralized, all-in-one distribution machine that handles everything from LTL to hub-and-spoke setups without breaking a sweat.
Secret 2: Warehousing is So Much More Than Just Storage
EV batteries require specialized storage. A well-planned warehouse isn’t just a place to store inventory—it’s the backbone of your entire supply chain. Safety starts in the warehouse, and when the space is compliant, it creates safer, more streamlined operations from start to finish.
Inventory can be another challenge. Storing large numbers of these large format battery systems can put a serious strain on your resources. To stay agile, it’s best to work with a supplier that has storage capacity and experience in Dangerous Goods inventory management.
Secret 3: The Packaging of the Future is Already Here
Some companies assume their lithium batteries for EVs, solar storage or data centers don’t have to follow standard DOT regulations. They think “unique design” means special treatment. Or that they can ship them like any other cargo on standard pallets or in fiberboard boxes using LTL carriers.
But lithium batteries come with strict regulations for a reason. Ignoring them isn’t just non-compliant, it’s asking for trouble and liability.
It may take a custom-designed multi-component packaging system to safely and compliantly ship a large format lithium battery. This packaging will include fire retardant material, absorbent, padding tailored to the exact shape and dimensions of your battery, and other components essential for safe transport.
The Right Partner is a Game-Changer
Shipping EV batteries can be a nightmare if you’re doing it alone. It involves researching (and understanding) complex regulations, adhering to strict transport and warehousing requirements, having mandated training and, in many cases, specialized equipment.
But with the right partner who knows the ropes, you can streamline the entire process and go to bed at night knowing you’re covered. They’ve already figured out the ins-and-outs of DG shipping, so you don’t have to learn the hard way and end up with headaches, delays or costly mistakes.
Built for Batteries, Along with Warehousing, Technology and Support Services
DGeo has a unique edge in this highly regulated space, with offerings ranging from custom crate manufacturing and compliant packaging to warehousing, shipping, returns, and recycling. In fact, our network is fully equipped to manage a wide range of DG parts and components.
- Every node in our warehouse network is built to meet strict requirements: With EPA ID and Universal Waste status, ESFR fire suppression, and secure receiving and storage, we know how to keep your supply chain safe and compliant. We offer solutions for all types of DG parts, including: kitting and labeling to pick, pack, ship, cross-docking, returns processing, and real-time tracking.
- Our technology offerings bring automation and control into DG shipping. Rule-based processing, classification tools, and automated SDS/rate calculations keep everything running smoothly, while robust tracking and reporting give you full visibility from pickup to delivery.
- Our consulting team is always here with expert guidance and support. From hands-on training and SOP design to special permit applications and site audits, we help you build safer, smarter DG operations.
End-to-End or Modular: Choose Your Own Adventure
At DGeo, we act as a 3PL and let you customize the pieces of your DG supply chain that need support—whether you need us to manage the whole end-to-end process or just a small piece. Our flexible approach allows us to plug into your existing network or help you build one from the ground up.
- Need help keeping up with constantly changing DG regulations? We’re here to make compliance easier, so you can stop second-guessing your shipment.
- Overwhelmed by the complexity of warehousing, kitting, and handling DG goods? We have the expertise and the infrastructure to manage it all by the book.
- Need a full-scale partner who can handle your entire DG supply chain—from supplier to end-user, including transport, returns, and recycling? Don’t sweat. We work with you to design full-scale end to end solutions.
Hazmat doesn’t have to be a headache. Let us help you take the complexity out of DG warehousing and logistics—one package, one pallet, or an entire network at a time.
Learn more at www.DGeo.com.
Mike Cicalo, Director of EV Battery Strategy at DGeo, brings 25 years of experience in automotive warehousing and logistics to lead the company’s global EV battery initiatives focused on product and service innovation, OEM partnerships, and carrier collaborations.
