US-based retailer Amazon has started the construction of a £40m ($54.45m) delivery station in Stockton-on-Tees, UK, which is due to open later this year.

The 10,800m² facility will handle parcel sorting for North Yorkshire and parts of County Durham and is expected to generate around 100 jobs.

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Amazon said the site is designed to pursue “Living Future’s Zero Carbon Certification” and will be built to the “UK Net Zero Carbon Buildings Standard”.

The company said construction will use locally sourced, lower-carbon construction materials, including timber, reduced-carbon concrete and “high-recycled-content” steel produced with renewable electricity.

Amazon said construction-related carbon emissions are expected to be at least 20% lower than its previous design standards.

Measures cited include cement-free paving made with steel slag, carbon-storing concrete and AI-powered carbon tracking across building systems. 

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Photo-based tracking will monitor materials entering and leaving the site to provide real-time data on usage and help limit waste.

Amazon Logistics UK director Prajvin Prakash said: “Decarbonising buildings means tackling both how we build and how we operate. This site shows how we’re using smarter materials, advanced technology, and AI-driven insights to cut emissions from day one and improve performance over the long term.”

More than 1,400m² of rooftop solar panels will provide daytime electricity, while an all-electric heating and cooling system is planned.

Amazon said the Stockton-on-Tees development would be the “first” project in its global network outside the US to register for “Living Future’s Zero Carbon Certification”.

The company has previously secured certification for its SCA5 logistics site in Sacramento, California, and is testing further sustainability technologies at its DII5 delivery station in Indiana.

The project forms part of Amazon’s planned £40bn investment in the UK between 2025 and 2027.

Since 2010, the company said it has invested more than £80bn in UK operations spanning logistics, technology and corporate functions.