Scania has introduced an industry-leading strategy to significantly remove supply chain emissions
Scania has introduced new green targets for its suppliers by setting mandatory purchasing requirements.
In a bid to minimise the environmental impact of the company’s supply chain for European production, it’s now working with suppliers to source greener materials.
This move comes as part of Scania’s decarbonisation strategy, which targets 100 percent green purchases of steel, batteries, aluminium and cast iron for its European operations by 2030.
These areas are of particular concern as they contribute to around 80 per cent of the carbon emissions in production materials.
“We are excited to announce this transformative move, prepared in close collaboration with our suppliers and partners,” Scania CEO Christian Levin says.
“Implementing green purchasing requirements is both a question of making sustainable transport a reality and ensuring access to low-carbon material in a rapidly increasing competition.”
In order to meet the ‘green’ standard, Scania’s suppliers must be working to eliminate emissions where possible.
This could be using electricity from renewable sources and/or recycled materials.
Using green hydrogen for flat steel or green energy in the production of batteries are examples set by the company to reduce emissions and meet their requirements.
Scania was already making strides with greener supplier engagement, placing its first order of green steel from H2 Green Steelthis year.
In mid-November, a joint target was announced with SSAB to decarbonise all current steel deliveries in 2030, with green steel supplies for Scania’s European production targeted to start in 2026.
Scania and Northvolt have also developed a battery cell specifically designed for heavy-duty transportation with world-class performance and a uniquely low carbon footprint.
Levin says that this initiative will expand beyond Scania’s European operations.
“We are now working on extending the scope of the decarbonisation target, so that the strategy eventually will cover the entire global supply chain,” Levin says.