One of the enduring success stories for reusable packaging has been its role in the automotive industry
When it comes to industries leading the way in adopting reusable packaging, automotive stands as a shining example. For decades, returnable packaging and pallet systems have revolutionized automotive supply chains, setting a gold standard that has influenced numerous other sectors.
Originally introduced to eliminate excessive scrap pallet and packaging waste, reusable packaging quickly became a cornerstone of lean manufacturing in the automotive industry. It improved ergonomics, enhanced productivity, streamlined automation, optimized inventory control, and elevated overall quality. And let’s not forget the significant transportation efficiencies it brought along.
Why Automotive Is a Perfect Fit for Reusables
From the outset, automotive proved to be an ideal match for reusable packaging. Factors such as short delivery distances between suppliers and assembly plants, predictable schedules, and dedicated transportation providers made returnable systems highly practical.
However, as automotive supply chains have expanded globally, the challenge of returning containers has grown. In response, manufacturers have increasingly explored third-party pooling solutions or, in some cases, reverted to expendable packaging—sometimes repacking expendables into returnable containers before integrating them into assembly plants.
A Look at Automotive Reusable Packaging
The automotive industry relies on a diverse range of reusable packaging, including handheld and bulk containers, racks, pallets, lids, and internal dunnage designed for part protection. While standard containers and dunnage sets are widely used, many applications require custom packaging due to the broad variety of part sizes, finishes, and geometries.
Reusable packaging has deep roots in automotive, dating back to Ford Motor Company’s Rouge Returnable Container Department in 1930. Back then, parts were delivered in crates designed so their wood could be repurposed for making running boards and bumpers. By the 1960s and 1970s, reusable plastic bulk bins and pallets had gained traction, and by 1985, many manufacturers had fully embraced plastic containers and pallets. Over time, reusable packaging became so dominant that many plants refused to accept expendable packaging altogether.
Handheld Containers, Pallets, and Lids
For small parts, straight-wall totes paired with pallet systems are a popular choice. Scott Krebs, Marketing Manager – Industrial at ORBIS Corporation, notes that handheld totes offer ergonomic benefits and improved workstation efficiency. These containers can also be customized with dunnage to protect Class A surfaces and adapted for specific part dimensions.
Typically injection-molded, handheld containers may also be made from reusable corrugated plastic for specialized applications. These systems often include a top lid and a seat belt mechanism, allowing them to be stacked securely for transport. The North American automotive industry primarily uses 45×48-inch pallets, though 30×32-inch footprints are also common.
Bulk Bins: A Key Component in Automotive Logistics
Choosing between handheld containers and bulk bins depends on various factors, including part size, geometry, fragility, and demand velocity. An assembly plant might, for example, require a container to hold enough parts to sustain one hour of production, influencing the ideal container size. Safety and transportation optimization are also key considerations.
Collapsible bulk containers are particularly favored in automotive logistics. These rugged structural foam bins conform to the industry’s 45×48-inch and 30×32-inch footprints, with longer containers available for specific applications like exhaust system components. Bulk bins maximize efficiency by stacking when full and folding when empty, minimizing storage and return costs. Parts inside these containers may be loosely loaded or secured with dividers and internal dunnage, depending on the need.
Steel Shipping Racks: Ideal for Challenging Parts
For larger, heavier, or uniquely shaped components, reusable steel shipping racks offer a durable and customizable solution. These tubular steel structures support parts such as drivetrains, bumpers, window glass, door panels, and instrument clusters. Racks can also be outfitted with dunnage to prevent abrasion and protect Class A finishes.
The Challenge of Longer Supply Chains
As supply chains extend globally, the cost of returning empty reusable packaging increases. This challenge has sparked renewed interest in solutions like third-party pooling and even expendable packaging. However, disposable packaging generates solid waste, requires repacking labor, and introduces inefficiencies—reminding manufacturers why they transitioned to reusables in the first place.
For more on automotive reusable packaging, check out our Industry Hub.
Originally published August 31, 2015.
Rick LeBlanc, EMBA, is the founder and editor of Reusable Packaging News (subscribe to the free newsletter) and editor of Western Pallet Magazine. A supply chain journalist with more than 30 years of experience, he specializes in pallets, reusable packaging, material handling and related operations. Rick is co-author of Pallets: A North American Perspective and Pallets & Progress: A Collected History of Pallets and Palletized Handling 1922–1945. He is also an advisory board member of the Virginia Tech Center for Packaging and Unit Load Design. Read Rick’s full bio.
