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

Ford, Mercedes-Benz, and Tesla occupy the highest three spots in a brand new rating of 18 world automakers based mostly on their efforts to get rid of carbon emissions, environmental harms, and human rights violations from their provide chains. US automakers particularly made probably the most progress in cleansing up their provide chains, with Tesla exhibiting the most important improve of all of the automakers.

The rankings have been compiled by Lead the Charge, a world coalition of main local weather, setting, and human rights organizations that features the Sierra Club, The Sunrise Project, and Public Citizen, amongst others. The group began evaluating automaker provide chains final yr, with the objective to launch an up to date rating annually.

Overall, automakers made a number 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 constructive impact on automakers worldwide.

US automakers confirmed probably the most progress, with Ford topping the leaderboard with a rating of 42 %, surpassing final yr’s winner, Mercedes. Tesla, which solely lately started reporting numbers on its provide chain emissions, secured the most important rating improve, leaping from ninth to 3rd place. However, 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 corresponding to 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.

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

“Average scores total have been simply 19 %, and no firm scored over 50 % towards the full variety of indicators,” the report states. “Moreover, one third of the automakers evaluated nonetheless haven’t taken concrete motion on metal and aluminum decarbonization, while common scores throughout the indications on accountable transition mineral sourcing, Indigenous Peoples’ rights and staff’ 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 accomplished to reduce environmental hurt whereas defending staff and Indigenous individuals. A local weather report launched final yr commissioned by Polestar and Rivian signifies that, regardless of a large rollout of recent EVs and hybrids within the coming years, the worldwide automotive trade continues to be “far off monitor” on decreasing greenhouse gasoline emissions in a approach that may meet targets set by the Paris Agreement.