Supply chain: Scania to purchase only green key components such as steel and batteries by 2030
The Swedish manufacturer is trying to purchase steel, batteries, cast iron or aluminium from sustainable sources by the end of the decade. According to Scania, these four hotspots constitute around 80 percent of carbon emissions produced by the company.
Scania will be making its own European supply chain greener by 2030. The Swedish manufacturer is trying to purchase key components such as steel, batteries, cast iron or aluminium from sustainable sources by the end of the decade. According to Scania, these four hotspots constitute around 80 percent of carbon emissions. In batteries, for example, access to green energy in production is decisive. In flat steel production, replacing coal with green hydrogen is key.
This spring, Scania placed its first order of green steel from H2 Green Steel. Mid-November, a joint target was announced with SSAB to decarbonise all current steel deliveries in 2030. Green steel supplies for Scania’s European production are targeted to start in 2026. When it comes to batteries, Scania and Northvolt have developed a battery cell specifically designed for heavy-duty transportation with world-class performance and a uniquely low carbon footprint.
Scania’s CEO Christian Levin on the changes in supply chain
“We are excited to announce this transformative move, prepared in close collaboration with our suppliers and partners. Implementing green purchasing requirements is both a question of making sustainable transport a reality and ensuring access to low-carbon material in a rapidly increasing competition”, says Christian Levin, CEO at Scania. “We are now working on extending the scope of the decarbonisation target, so that the strategy eventually will cover the entire global supply chain”.
