Scania announced it has set targets for decreased emissions in its supply chain, noting “In addition to the targets to decrease carbon impact from our own operations and from our vehicles when in use, we now expand our decarbonization targets to include targets for emissions in Scania’s supply chain.

“Certain parts of ours supply chain such as battery and steel production, causes large emissions and is the main part of our total carbon print. The major sources of emissions are batteries, steel, aluminum and iron. With a lifecycle assessment as a starting point, we have created a strategy for decarbonization in the European supply chain that includes targets for 2030, going from a 35 to 90 percent reduction for the various materials and components.”

Scania adds the targets that measure decrease in emissions from both its own operations as well as its vehicles in use, are an integrated part of our business targets and affect our priorities in all parts of our business, from production to development and sales. From now on there will also be a clear connection between the results from its climate targets and the compensation for senior executives. The results from reducing emissions in Scania’s operations will now have a direct impact on our bonus payments, the company says.

“Our climate targets are always with us in every decision we make. They are the foundation for our strategy and our way forward,” said Andreas Follér, head of sustainability, Scania. “This is only the beginning of our journey towards decreased carbon emissions in the supply chain. We are working on widening the scope, so our strategy for phasing out fossil fuels eventually will cover Scania’s whole value chain.”