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December 01, 2021 09:25 AM

Auto supplier Marelli pledges carbon-neutral operations by 2030

John Irwin
Automotive News
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    Marelli Holdings Co. Ltd.

    Automotive lighting, powertrain and electronics supplier Marelli Holdings Co. Ltd. said Nov. 30 that it aims to become carbon neutral throughout its operations by 2030.

    The Japanese-Italian supplier said it would take a series of steps to reduce its greenhouse gas emissions, including using new, higher-efficiency equipment at its plants, using renewable electricity and generating its own power.

    "This is a first step for Marelli in outlining firm plans to reduce our overall carbon emissions," Marelli CEO Beda Bolzenius said in a statement. "Our next step will be to define clear goals and measures across indirect emissions, which includes working with suppliers, customers, as well as internally within our own product and manufacturing processes. We have a long way to go, but the investments being announced today are a significant step forward."

    The company said in a news release that its strategy would be based on "energy efficiency Monozukuri," a Japanese word meaning "the making of things." Marelli said it has introduced and will continue rolling out newer, more efficient equipment at its plants to save energy, and it will monitor emerging technologies aimed at decarbonization.

    It also pledged to have all of the energy used at its plants either created from renewable sources or offset by carbon credits, with a focus on wind and solar power. Marelli said it would build "on-site systems" to generate energy or would purchase it through "specific certified contracts as power purchasing agreements and green supply contracts."

    Emissions that cannot be removed will be offset by participating in "certified carbon projects worldwide," the company said.

    The move comes as automakers and suppliers look to electrify vehicle offerings and reduce their carbon footprints in the coming years. For instance, six automakers including Volvo, Ford Motor Co. and General Motors in November committed to phasing out fossil fuel vehicles by 2040. Porsche, meanwhile, says it is developing an electric vehicle battery that cuts down on the emissions required to produce it.

    Japanese supplier Calsonic Kansei purchased the former Italy-based supplier Magneti Marelli in 2019 to create Marelli. It was No. 82 in the most recent Plastics News ranking of North American injection molders with estimated sales of $105 million in the region and is in the Top 20 of Automotive News' list of top global suppliers with worldwide sales of more than $11 billion.

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