JLR urges suppliers to set science-based climate targets
Jaguar Land Rover (JLR) is inviting all of its global suppliers to develop new targets to reduce emissions in line with climate science, and has stated that having such targets will soon be a requirement for Tier 1 suppliers.
The British automotive giant set its own approved science-based targets last year. Spring 2021 saw the Science-Based Targets Initiative (SBTi) giving the approval to JLR’s commitments to reduce operational emissions by 46% value chain emissions by 54% and vehicle use emissions by 60% by the 2030 financial year. The 2020 financial year is the baseline for these commitments.
Since then, JLR has also committed to align with the SBTi’s corporate net-zero standard. This will require at least a 90% reduction in emissions across all scopes by 2050 at the latest. JLR has stated an intention to achieve net-zero carbon emissions from operations, products and the supply chain by 2039.
The company has not stated that it will “only achieve” these aims by “working closely with suppliers who share the same vision for change”. It has contacted all suppliers asking them to align with its 2030 goals.
Tier 1 suppliers, including the company’s products, services and logistics suppliers, are the priority group for this engagement from JLR. The firm will ask these companies to set their own science-based decarbonisation targets and report regularly and transparently on progress. Reports should be public.
These suppliers, JLR has stated, should also collaborate with each other to develop and implement credible emissions reduction plans which may involve changing processes, technologies and materials. They must decarbonise while maintaining the quality of their products and services.
JLR’s executive director of industrial operations Barbara Bergmeier said: “Fulfilling our SBTi commitments and achieving carbon net zero emissions across our entire supply chain by 2039 are the driving forces in Jaguar Land Rover’s industrial strategy. We can only meet these ambitious targets together, which is why we’re inviting suppliers to join us on this challenging but exciting journey, strengthening existing relationships to enable all parties to achieve significant, quantifiable goals.”
JLR has not, at this stage, stated that it will stop working with existing suppliers who fail to align with its climate commitments.
According to CDP, on average, Scope 3 emissions are 11.4 times higher than operational emissions for large multinational corporations. CDP’s Global Head of Value Chains & Regional Director of Corporations Sonya Bhonsle recently penned this exclusive blog for edie outlining why failing to address supply chain emissions builds risk for these firms. Read it here.
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