Honda sets net-zero CO2 target by 2050 for whole supply chain

Honda sets net-zero CO2 target by 2050 for whole supply chain

Automaker has asked its main suppliers to cut carbon emissions by 4% annually.

TOKYO:
Honda Motor has asked its main auto parts suppliers to reduce carbon dioxide emissions annually by 4% versus 2019 levels, Nikkei learned today. The Japanese automaker aims to accelerate decarbonisation efforts in its value chain and seeks to have its parts suppliers achieve net-zero emissions by 2050.

The move follows that of companies such as Toyota Motor, which has requested its suppliers to cut greenhouse gas emissions by 3% this year.

Honda announced its plans in a letter to its suppliers and aims to start implementing the targets in fiscal 2025, although it said it will welcome any moves to bring forward decarbonisation efforts.

Honda will also request its suppliers to submit a timetable for how they plan to become net-zero emitters by 2050.

The range of carbon dioxide cuts and the base year for calculation will be used as a guideline, and the reduction will be encouraged according to the type of parts produced and the size of the company.

Honda is considering providing support, such as dispatching engineers and helping with the formulation of timetables.

In June, Honda informed the heads of its auto parts suppliers that it planned to notify them of its decarbonisation goals by this fall.

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