It’s time to lead the charge toward truly clean and equitable cars
The transition to electric vehicles (EVs) is now inevitable – and that’s a good thing. But as we say goodbye to fossil-fueled cars, we also need to transform their dirty supply chains. We need to ensure the new generation of electric vehicles aren’t manufactured in a way that harms people and the planet, but instead benefits us all.
01
Equitably
Respecting and advancing the rights of Indigenous Peoples, workers, and local communities throughout the supply chain.
02
Sustainably
Preserving and restoring environmental health and biodiversity across supply chains, while reducing primary resource demand through efficient resource use and increased recycled content.
03
Fossil-free
100% electric and made with a fossil fuel-free supply chain.
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How Do Global Automakers Measure Up?
Climate & Environment
We can’t build sustainable vehicles with dirty metals and materials
By ditching gas and diesel, EVs have significantly lower lifetime emissions than internal combustion engine (ICE) vehicles. What comes out of the tailpipe is clean. But the manufacturing process is not – at least not yet.
Aluminum
Aluminum produces about 2% of all the world’s greenhouse gas emissions, although it has a higher intensity than steel. Refining and smelting aluminum releases over 90% of all direct CO2 emissions from this fossil-heavy production process, and extracting bauxite to make aluminum can harm the land.
Steel
Steel is responsible for 8-11% of global greenhouse gas emissions and makes up about 65% of the current average vehicle. No other industrial material has a higher climate impact.
Batteries
EVs are powered by large battery packs. Manufacturing battery minerals, such as nickel, cobalt and lithium, can be emissions intensive and environmentally harmful, negatively impacting the rights of local communities – and demand for these minerals is skyrocketing.
Human Rights
We can’t continue to replicate injustices
For decades, auto supply chains have been riddled with environmental and human rights abuses. The EV transition is an opportunity to put an end to environmental destruction and human rights abuses of the oil industry. But without proactive intervention from automakers, we risk replicating these abuses in the EV supply chain, too.
Mineral Extraction
Cobalt, nickel, lithium, copper, manganese, and zinc are some of the transition minerals needed to manufacture EVs. The process also uses bauxite for aluminum and iron ore for steel. Extracting and refining many of these minerals has a tragic history of violent conflict and human rights abuses of workers and local communities.
Indigenous Rights
More than half the resources needed to power the electric transition are located on or near the lands of Indigenous Peoples. But the companies that extract these resources often violate Indigenous Peoples’ rights to land, territory and Free, Prior, and Informed Consent.
Workers’ Rights
Discrimination, low wages, forced labor, and unsafe working conditions are just some of the problems that persist across the many automakers' own operations and throughout their supply chains around the world.
The industry’s radical transformation opens an unprecedented opportunity to rebuild supply chains for the benefit of local communities, workers, Indigenous Peoples, the environment, and the climate. Large proportions of heavy industry infrastructure will require reinvestment this decade. At the same time new supply chains are being configured for the energy transition. These are critical windows of opportunity that we cannot miss if we want to ensure the automotive supply chains of the future are free from fossil-fuels, environmental harms and human rights abuses.
The SolutionsSupply Chain News & Progress
The Race Is On
Supply chain transformation is a risk management imperative and opportunity for a competitive edge. Leading brands are already securing a first-mover advantage and leveraging their power to transform legacy supply chains into a force for good. The revolution is underway.
By 2026, more than one third of BMW’s steel will be “CO₂-reduced” + “CO₂-reduced” aluminum agreement
Hyundai Steel produces low-carbon, high-strength steel plates
VW invests in resource-efficient battery design and signs agreements for “low CO2” steel and “environmentally-friendly”lithium
Mercedes establishes multiple partnerships on steel, aluminum, and lithium with IRMA certification requirement