Carmaker BMW takes aim at supply chain emissions in China
German carmaker BMW has announced it wants to reduce supply chain CO2 emissions in China by 20 percent from 2019 levels by 2030, reports news agency dpa. “Many people believe that the biggest source of emissions is the car. But looking at the whole cycle, the supply chain leaves the biggest carbon footprint,” said Jochen Goller, CEO of BMW Group Region China. The 20 percent target must be considered ambitious, according to Goller, because the shift to electromobility and conversion to battery production is actually expected to lead to a 40 percent increase in production emissions if nothing is done. “Firstly, we don't want to accept this increase, secondly, we want to go below it,” he said.
The German government recently introduced a supply chain law which aims to ensure human rights and the protection of the environment in production along global supply chains. In the future, large German companies will be responsible for ensuring that their suppliers comply with sustainability and human rights standards or face fines and exclusion from public projects.