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Ford, Mercedes, and Tesla have the least problematic EV provide chains

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Ford, Mercedes-Benz, and Tesla occupy the highest three spots in a new ranking of 18 global automakers primarily based on their efforts to get rid of carbon emissions, environmental harms, and human rights violations from their provide chains. US automakers particularly made essentially the most progress in cleansing up their provide chains, with Tesla exhibiting the largest enhance of all of the automakers.

The rankings have been compiled by Lead the Cost, a world coalition of main local weather, surroundings, and human rights organizations that features the Sierra Membership, The Dawn Venture, and Public Citizen, amongst others. The group began evaluating automaker provide chains final yr, with the aim to launch an up to date rating annually.

General, automakers made a whole lot of progress in cleansing up their provide chains, particularly round human rights due diligence and metal decarbonization. The group additionally discovered proof that EU rules are having a Positive impact on automakers worldwide.

US automakers confirmed essentially the most progress, with Ford topping the leaderboard with a rating of 42 %, surpassing final yr’s winner, Mercedes. Tesla, which solely just lately started reporting numbers on its supply chain emissions, secured the biggest rating enhance, leaping from ninth to 3rd place. Nonetheless, the report reveals main gaps within the automakers’ human rights practices, notably on Indigenous rights, the place no progress was made, even by high scorers reminiscent of Ford and Mercedes. 

Toyota and Honda have been among the many worst-performing automakers this yr, together with Kia and Nissan. The group knocked the businesses for slower progress on the transition to EVs, whereas additionally ignoring provide chain emissions and Indigenous rights.

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US automakers confirmed essentially the most progress, with Ford topping the leaderboard with a rating of 42 %

General progress in 2023 was “lackluster,” the group concludes, and the auto business dangers lacking its local weather targets with no extra severe effort to rein in carbon emissions and a extra forceful embrace of human rights.

“Common scores total have been simply 19 %, and no firm scored over 50 % towards the full variety of indicators,” the report states. “Furthermore, one third of the automakers evaluated nonetheless haven’t taken concrete motion on metal and aluminum decarbonization, while common scores throughout the symptoms on accountable transition mineral sourcing, Indigenous Peoples’ rights and employees’ rights have risen by simply 2 share factors, with 11 out of the 18 automakers persevering with to attain 0 % on Indigenous Peoples rights.”

Some automakers acknowledge that extra must be carried out to reduce environmental hurt whereas defending employees and Indigenous folks. A climate report launched final yr commissioned by Polestar and Rivian signifies that, regardless of an enormous rollout of recent EVs and hybrids within the coming years, the worldwide automotive business remains to be “far off monitor” on lowering greenhouse gasoline emissions in a method that may meet targets set by the Paris Settlement.

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