- GKN Automotive commits to:
- Reduce its direct Greenhouse Gas (GHG) emissions (scope 1 and 2) by 45% by 2030, from a 2021 base year
- Reduce its indirect GHG emissions (scope 3) by 25% by 2030, from a 2021 base year
- Reach net-zero GHG emissions across its value chain by 2045
- The SBTi has verified GKN Automotive’s near and long-term science-based emissions reduction and net-zero targets, verifying the company’s goals in line with the Paris Agreement
London, UK, 18 January, 2024 – GKN Automotive’s near and long-term carbon emissions reduction targets have been approved by the Science Based Targets initiative (SBTi), which has also validated its ambition to be net-zero across its value chain by 2045.
GKN Automotive, the global leader in drive systems, commits to reduce the direct greenhouse gas (GHG) emissions from the operation of its 50+ global sites (scope 1) and the electricity it sources (scope 2) by 45% by 2030, from a base year of 2021.
It also commits to reduce indirect (scope 3) GHG emissions – those produced across the value chain, for example by suppliers or through the end use of its products – by 25% within the same timeframe.
These near-term ambitions provide a critical foundation for the company to achieve its long-term target of reaching net-zero across its value chain by 2045, in line with SBTi’s science-based Net-Zero Standard.
Emissions reduction plan
GKN Automotive aims to meet these targets through a comprehensive carbon reduction action plan that spans its operations from product development to their end use.
Reducing direct emissions
Driving energy efficiency across its 50+ facilities, GKN Automotive will develop bespoke action plans for each site to reach net zero, including the transition to renewable energy, phasing out the use of gas and replacing energy intensive production equipment.
These plans build on a previously-announced commitment for 75% of the electricity consumed by its plants to be certified renewable by 2030. To achieve this goal, and to support efforts to inject additional renewable electricity into the grid, GKN Automotive is actively pursuing Purchase Power Agreements (PPA) – a tool to support the development of renewable energy production – across its global network.
Enabling the transition to electric vehicles
As the automotive industry plays an essential role in the decarbonisation of road transport through the electrification of its products, GKN Automotive will continuously invest and innovate new products for use in electrified vehicles (EV).
Strengthening its commitment from an existing 50% allocation, GKN Automotive has committed to allocate 90% of its R&D expenditure per year to developing innovations that support the decarbonisation of the automotive sector. In addition, GKN Automotive will set new sustainability standards for materials to encourage the use of recycled aluminium and steel and design out carbon-intensive processes.
Engaging with suppliers
GKN Automotive is actively engaging with its supply base to reduce the GHG emissions associated with purchased products and services. For example, in 2023, GKN Automotive worked with NQC to roll-out a platform to assess suppliers on their ESG performance in several key areas such as business ethics, health and safety, human rights, environment and conflict minerals by asking them to answer the NQC sustainability assessment questionnaire (SAQ).
Dr. Clare Wyatt, Chief Communications & Sustainability Officer at GKN Automotive, comments: “I’m immensely proud of the teams right across our business, who have worked hard to provide an overview of the company’s GHG emissions sources and inventory, and been involved in the target setting methodologies and ambition submitted to the Science Based Targets initiative for approval.
“I’m delighted that these efforts have enabled us to to set long-term emissions reduction targets with the SBTi in line with reaching net-zero by 2045. This is just the first step for us - but as a leader in our industry, we are in a strong position to be a force for change and will continue to promote sustainability across our value chain – through our products, supply chain and operations.”
Markus Bannert, Chief Executive Officer at GKN Automotive, comments: “Sustainability is core to both our company purpose and our business strategy, driving the decisions we make from product development, sourcing, manufacturing and how we engage with our customers. We have set a challenging roadmap that shapes every aspect of our business and I’m delighted to achieve the approval of the SBTi on these targets.”
The Science Based Targets initiative
The Science Based Targets initiative (SBTi) drives ambitious climate action in the private sector by enabling organisations to set science-based emissions reduction targets.
The latest climate science from the Intergovernmental Panel on Climate Change (IPCC) - described by the UN as “code red for humanity” - shows it is still possible to limit global temperature rise to 1.5°C, but that in order to do so it is vital that companies make rapid and deep emission cuts in halving global emissions before 2030 and achieving net-zero before 2050.
In committing to science-based emissions reduction targets, GKN Automotive has reconfirmed its commitment to embedding sustainability into its business strategy with the aim of minimising the environmental impact of its work and reaching net-zero by 2045.
To find out more, visit: https://www.gknautomotive.com/en/sustainability/ and download our infographic.
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Notes to Editors
ABOUT GKN AUTOMOTIVE
GKN Automotive is a world-leading global automotive technology company at the forefront of innovation. Its origins date back to 1759 and for the last 70 years it has been putting key technologies into series production. It is the trusted partner for most of the world’s automotive companies, specialising in developing, building, and supplying market-leading drive systems and advanced ePowertrain technologies.
It is the global leader in sideshafts, with eight out of ten of the world’s best-selling cars outside China using its sideshaft technology. GKN Automotive’s first eDrive system was fitted to a production car over 20 years ago; today, over two million electrified vehicles worldwide are powered by this technology.
GKN Automotive is part of Dowlais Group plc, a specialist engineering group focused on the automotive sector.
For further information, please contact:
GKN Automotive
Corrie Raine
External Communications Manager
Email: corrie.raine@gknautomotive.com
About The Science Based Targets initiative (SBTi):
The Science Based Targets initiative (SBTi) is a global body enabling businesses to set ambitious emissions reductions targets in line with the latest climate science. It is focused on accelerating companies across the world to halve emissions before 2030 and achieve net-zero emissions before 2050.
The initiative is a collaboration between CDP, the United Nations Global Compact, World Resources Institute (WRI) and the World Wide Fund for Nature (WWF) and one of the We Mean Business Coalition commitments. The SBTi defines and promotes best practice in science-based target setting, offers resources and guidance to reduce barriers to adoption, and independently assesses and approves companies’ targets. To find out more, visit: https://sciencebasedtargets.org