FedEx has introduced a new reusable packaging system for B2B shippers aimed at helping retailers reduce costs and streamline store operations in a form factor compatible with automated conveyor systems and vans in the delivery network, the company announced on Thursday.

The collapsible FedEx (NYSE: FDX) box is engineered to survive up to 50 ship cycles and allows retailers to switch from using corrugated boxes, saving money on handling fees and potentially reducing carbon emissions by two-third, or more, compared to single-use packaging. It is suited for closed-loop environments, such as in-house fulfillment centers, store restocking or field service support, where returns and reuse are controlled and predictable.

FedEx said it developed the reusable system with Returnity, a packaging provider that specializes in circular logistics. The box can be leased or purchased from Returnity, a representative for FedEx said via email.

The automation-friendly box offering, which can hold up to 50 pounds of goods, is designed to smoothly integrate into existing FedEx workflows and doesn’t add handling complexity for retailers, FedEx said in a news release. In contrast to traditional reusable packaging options that come in unique shapes or are made of softer material, the Returnity boxes are not subject to non-standard shipment fees because they flow through the FedEx network without extra handling.

Read more: FreightWaves