Net Zero Strategies in the Automotive Sector – Thematic Intelligence
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Reasons to buy the ‘Net Zero Strategies in the Automotive Sector’ thematic intelligence report:
- Gain in-depth insight into the net zero targets and performance of 20 -automakers.
- Elucidate the importance of a net zero strategy in the automotive sector.
- Analyze the progress made by leading companies within the theme to achieve their emission target.
- Assess the net zero strategies in the automotive sector to develop effective business plans and gain a competitive edge.
How is our ‘Net Zero Strategies in the Automotive Sector’ report unique from other reports in the market?
- Understand the impact of the ESG theme in the automotive sector.
- Access the latest environmental and emissions data in the automotive sector to mitigate such emissions.
- Identify the leading net zero strategies that automotive companies are investing in to set smart business goals.
- Explore what leading players are doing in the ESG theme.
We recommend this valuable source of information to anyone involved in:
- Automotive Companies and Start-ups
- Automotive OEMs/Battery Manufacturers
- Semiconductors Suppliers/Auto Component Providers
- Regulatory Bodies
- Technology Leaders and Startups
- Business Development and Market Intelligence
- Investment Analysts and Portfolio Managers
- Professional Services – Investment Banks, PE/VC firms
- M&A/Investment, Management Consultants, and Consulting Firms
To Get a Snapshot of the Net Zero Strategies in the Automotive Sector Thematic Report
Net Zero Strategies in the Automotive Sector Thematic Overview
Net zero means cutting greenhouse gas emissions (GHG) to as close to zero as possible. Firms that achieve net zero emissions are called “carbon neutral”. Automotive companies are under pressure to cut emissions as countries aim to achieve their climate commitments. Emissions are offset by supporting projects that reduce emissions or remove greenhouse gases from the atmosphere. The CHG protocol classifies direct and indirect emissions into Scope 1, 2 & 3. Companies typically first aim to achieve net zero operations by reducing their Scope 1 and 2 emissions and purchasing offsets. Companies can then achieve net zero value chains by reducing their Scope 3 emissions and purchasing offsets to offset the remainder. For most companies, Scope 3 emissions are the largest and most difficult to measure and reduce.
The “Net Zero Strategies in the Automotive Sector” thematic intelligence report gives you an in-depth insight into the net zero targets and performance of 20 leading automakers. The report elucidates the importance of a net zero strategy in the automotive sector along with the progress made by the leading automotive companies to achieve the emission target. These detailed analyses are critical in developing effective business plans to gain a competitive edge.
A Stylized Net Zero Strategy
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Leading Companies | · Renault Group
· Mercedes-Benz · Stellantis · Tesla |
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Automotive Sector - Scope 1, 2, and 3 Emissions Strategies
The transition of energy consumption towards renewable and low carbon sources is the only viable decarbonization strategy that will allow vehicle manufacturers to achieve Scope 1 and 2 emissions reduction targets. This can be achieved through directly installing renewable energy sources on-site or purchasing electricity from renewable energy providers. Switching to renewable energy will also help mitigate some Scope 3 emissions associated with energy consumption of fixed and leased assets and EV charging infrastructure. European OEMs such as the Renault Group and the BMW Group are making headway in the renewable energy transition.
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Automotive Sector - Net Zero Strategies of Leading Companies
A few automotive companies evaluated in this report are Mercedez-Benz, Stellantis, Volvo, Renault Group, Daimler Truck, Tesla Tata Motors, Kia, BMW Group, and Toyota among others.
Renault Group, Mercedes-Benz, Stellantis, and Tesla have reduced their Scope 1, 2, and 3 emissions significantly in the last few years, to achieve their net-zero targets. The companies have been taking several initiatives to achieve their net zero emission targets. For instance, in 2022, Stellantis achieved its 2025 goal of deriving 50% of the electricity it uses from renewable or decarbonized sources. Similarly, in 2022, 28.8% of Renault’s total energy consumption was derived from renewable energy sources.
Leading Automakers Adopting Net Zero Strategies
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Toyota
Stellantis
Mercedes-Benz
Ford
BMW
GM
Honda
SAIC Motor
Hyundai
Nissan
Kia
Renault
Tesla
Daimler Truck
AB Volvo
Tata Motors
Suzuki
PACCAR
BYD
Table of Contents
Frequently asked questions
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What is net zero emission?
Net zero means cutting greenhouse gas emissions (GHG) to as close to zero as possible.
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Which is the main decarbonization strategy in the automotive sector?
Electrification is emerging as the main decarbonization strategy in the auto sector.
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What comprises Scope 1 and Scope 2 emissions?
Scope 1 emissions derive from sources owned or controlled by the company. Scope 2 emissions are emissions from purchased energy. For most companies, this will be purchased electricity.
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Which are the leading companies working on net zero emission in the automotive sector?
Renault Group, Mercedes-Benz, Stellantis, and Tesla have reduced their Scope 1, 2, and 3 emissions significantly in the last few years.
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