Successful autonomous deliveries at IKEA China

IKEA China has introduced self-driving vehicles in Anhui Province after a pilot project reduced average customer wait times by two-thirds, thereby improving both the customer experience and creating a more efficient workplace for employees.

The pilot project was carried out in collaboration with a local supplier to test autonomous vehicles that transport customer orders from an off-site warehouse to an IKEA store and restock products in the store. Since the start of the test, the vehicles have successfully traveled nearly 75,600 km.

– At IKEA, we want to make life at home better through simple, affordable, and comfortable solutions for the many. Improving the customer experience is a clear priority for us. “Our latest solution has shown us how new technology can reduce wait times, support our employees, and lower costs, all while keeping prices as low as possible,” says David McCabe, Fulfilment & Core Services Manager at IKEA Retail, Ingka Group.

For customers, the benefits of the new solution were immediate. Average wait times for self-pickup dropped from six hours to two, improving the overall customer experience. For the business, transportation costs between IKEA locations fell by more than 50 percent, offering a potentially cost-effective model for smaller stores or future formats. The positive results have led Ingka Group, the largest IKEA franchisee, to permanently implement the service at IKEA Hefei. Using data and lessons learned from the pilot, the company is evaluating which markets would benefit from this initiative where legislation and infrastructure are favorable. In China, autonomous deliveries to end customers are also currently being tested.

“Autonomous delivery is no longer just a concept. At IKEA, we’re using it in our day-to-day operations in China, together with our partners. The benefits are clear: smoother deliveries, better use of time, and a more efficient last mile,” says Susanne Waidzunas, Global Supply Manager, Inter IKEA Group.

PMI: The upward trend continues! Swedish industry remains strong.

The PMI Purchasing Managers' Index rose to 56.1 from 55.9 in January, marking a four-year high. This means the index has remained above its historical average of 54.3 for the eighth consecutive month.

“Swedish industry continues to expand. This is consistent with the growth in global trade, which has been more robust than expected, although the strengthening of the krona could pose a challenge for the Swedish export industry in the long run,” says Jörgen Kennemar, head of the Purchasing Managers’ Index analysis at Swedbank.

The rise in February was driven by the sub-indices for production and employment, both of which are above their historical averages. Inventory purchases and delivery times, however, dragged down the PMI’s overall index. Companies’ production plans continue to reflect economic optimism, with index levels above 65. The index for suppliers’ raw material and input prices fell in February to 56.5 from 58.2 in January, after rising for eight consecutive months. 

“Price pressure from the producer side eased in February, but looking at the past three months, there is now greater price pressure from the supplier side as global commodity prices rise, particularly for industrial metals,” says Jörgen Kennemar. 

The Purchasing Managers Index (PMI) is an economic indicator for the Swedish economy compiled in collaboration between Swedbank and Silf for both the manufacturing industry and the service sector. The purpose of the PMI is to provide a quick assessment of current economic conditions. Each month, economic statistics are collected from purchasing managers who are part of a survey panel. An index reading above 50 indicates growth, while an index reading below 50 indicates a decline.

Read this year's first issue of Supply Chain Effect!

The first issue of the year of Supply Chain Effects magazine is ready and will soon be rolling off the presses. This issue takes an in-depth look at how smart software solutions are increasingly creating value in the supply chain—not just as a support tool, but as a strategic resource.

THEME: SMART SOFTWARE FOR GREATER VISIBILITY, COLLABORATION, AND RESILIENCE

From the contents:

  • With their sights set on Europe – an interview with Sandra Lundegaard and Niklas Rönnbäck of the fast-growing Nordic company IMI.
  • “Start-up energy and the stability of a major corporation at Elisa Industriq Sweden. An interview with Sebastian Wollter.”
  • SAP specialist IGZ expands northward – an interview with Holger Häring.
  • European companies are regionalizing and diversifying their supply chains.
  • The U.S. is cracking down on customs evasion and customs fraud – by Jackson Wood.
  • Supply Chain 2026 – Uncertainty: The New Normal – by Marika Karlöf.
  • Global supply chains are being reshaped. With Jens Dremo, Daniel Ljungberg, Liam Burke, and Lars Persson.
  • SCE TALKs: Element Logic Scandinavia – “A Scandinavian powerhouse in warehouse automation”.

Download and read it here, or get your own subscription to the magazine!

SCE #1 2026

THEME: SMART SOFTWARE FOR GREATER VISIBILITY, COLLABORATION, AND RESILIENCE

  • Editorial: Smart software is changing the world.
  • With their sights set on Europe – an interview with Sandra Lundegaard and Niklas Rönnbäck of the fast-growing Nordic company IMI.
  • “Start-up energy and the stability of a major corporation at Elisa Industriq Sweden. An interview with Sebastian Wollter.”
  • SAP specialist IGZ expands northward – an interview with Holger Häring.
  • European companies are regionalizing and diversifying their supply chains.
  • The U.S. is cracking down on customs evasion and customs fraud – by Jackson Wood.
  • Supply Chain 2026 – Uncertainty: The New Normal – by Marika Karlöf.
  • Global supply chains are being reshaped. With Jens Dremo, Daniel Ljungberg, Liam Burke, and Lars Persson.
  • SCE TALKs: Element Logic Scandinavia – “A Scandinavian powerhouse in warehouse automation”.