Ranking
12 of 18
Comparison
(13) in 2024
Total Score
Environment
Human Rights
* Automotive sales data from Marklines. All figures are cumulative annual values for the year 2024. The data covers passenger vehicles only.
Summary
Together with Volkswagen, Tesla and Geely, Kia achieved the second largest overall score increase this year, primarily due to the company’s substantial improvements in the Human Rights and Responsible Sourcing section. This has enabled the company to climb up in the rankings by one position.
Nonetheless, Kia continues to be among the industry laggards on fossil free and environmentally sustainable supply chains, scoring just 12% for this section, marginally improving its score in the General, Steel and Batteries subsections. Across the steel, aluminum and battery subsections, Kia scores an abysmal 5%. Kia has the opportunity to work with Hyundai Motor Group, and key subsidiaries such as Hyundai Steel, to make significant progress on decarbonizing its steel and aluminum supply chains – which should be a priority for the company.
On the other hand, Kia’s progress on human rights has been significant this year, especially when compared to the company’s performance in previous editions. The company achieved the second largest score increase on overall human rights due diligence and the third largest score increase on responsible transition mineral sourcing. Together with Geely and Volkswagen, it has achieved the largest score increase on human rights overall.
Given the significant progress on human rights in general, it is disappointing to see no strides on Indigenous Peoples’ rights, where the company once again scores 0%.
Key Findings
- Improved its score against just one indicator across all the steel and aluminum subsections, for disclosing the quantity of steel scrap used in part of its annual production cycle. Its overall score across these two subsections is just 4%.
- Has a no deforestation policy with a target to achieve a deforestation free value chain by 2050, but discloses no evidence of actions taken to operationalize this policy.
- Achieved a 22 percentage point score increase in the General human rights subsection, the second largest score increase for this subsection, behind Geely, and also across all the other human rights subsections. This is due to disclosing more detailed information about its human rights due diligence process, including risk identification and monitoring systems.
- Improved its score on responsible transition mineral sourcing by 14 percentage points, due to disclosing slightly more information about its transition minerals risk assessment and due diligence processes. However, has yet to demonstrate supply chain mapping efforts, disclose salient transitional minerals risks, or adequate engagement with smelters and refiners in its supply chain.
- Performance on Indigenous Peoples’ rights remains dire, with not one single commitment or action in this area.
Score Breakdown
Fossil-Free & Environmentally Sustainable Supply Chains
General
Steel
Aluminum
Batteries
Compare by year
* InfluenceMap scores were applied as a multiplier to the total Fossil-free & Environmentally Sustainable Supply Chains score. See methodology for further details.
Human Rights & Responsible Resourcing
General
Minerals
Indigenous' Rights
Workers' Rights
Compare by year
Supply Chain News & Progress
Latest on Kia
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.
Hyundai sued by Department of Labor over use of child labor and faces new prison labor allegations
Hyundai Motor Company, together with an auto parts plant and a labor recruiter, have been sued by the U.S. Department of Labor over the illegal use of child labor in Alabama. Reuters reported in 2022 that children, some as young as 12, worked for a Hyundai subsidiary and in other parts suppliers for the company in the Southern state.
A report by Bloomberg published the same month also names a supplier of Hyundai Motor Company as profiting from the forced labor of incarcerated workers in the U.S.
Hyundai Steel produces low-carbon, high-strength steel plates
Hyundai Steel says it has become the first steelmaker globally to produce high-strength steel plates by using an electric arc furnace, which helps reduce carbon emissions drastically during the whole process… part of the company’s carbon neutrality initiative, dubbed “Hy-Cube,” with a goal of switching completely to hydrogen-based steel production by 2030.
Pollution, child labour, workers’ rights violations and new coal-fired power plants in Hyundai-Kia’s supply chains
According to the Business and Human Rights Resource Centre, Hyundai-Kia’s supply chains have been linked to child labour and workers’ rights violations. Reports also implicate Hyundai-Kia’s supply chains with air pollution and premature deaths in South Korea and environmental contamination in Indonesia.
Hyundai Motor Company also signed an MoU to purchase aluminium from Adaro in Indonesia, which would be powered by new coal-fired power plants.
Our Vision
The future is an automotive industry where all vehicles are made:
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.