SBTi releases new draft net zero target-setting standard for automotive sector

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🗞️ Driving the news: The Science Based Targets initiative (SBTi) has released a new draft of its Automotive Sector Net-Zero Standard
• This updated standard, aimed at automakers and auto parts manufacturers, provides a framework for setting science-based net-zero targets
• The focus is on reducing emissions across the entire automotive supply chain, with particular attention on Scope 3 emissions from vehicle use, which account for the bulk of the sector’s emissions

🔭 The context: The SBTi’s updated guidelines prioritize emissions reductions from vehicles in use, which constitute 70-80% of an automaker’s carbon footprint
• This draft includes new requirements for low-emission vehicle sales and criteria for auto parts manufacturers to reduce emissions from material sourcing and manufacturing
• It also introduces optionality in setting targets using either Scope 3 emissions or zero-emission vehicle (ZEV) sales metrics

🌍 Why it matters for the planet: The automotive sector plays a critical role in the fight against climate change
• By providing clear guidelines for setting net-zero targets, the SBTi’s standard aims to accelerate the sector’s transition to low-emission vehicles and decarbonize emissions across the supply chain
• With the sector's significant emissions footprint, aligning industry practices with climate science is crucial to achieving global net-zero goals

⏭️ What's next: The draft standard is open for public consultation until March 22, 2026
• The final version is expected to help automakers and suppliers establish credible, science-based climate action, boosting consumer and investor confidence while preparing the industry for long-term, capital-intensive transition decisions

💬 One quote: “Decarbonizing the road transport sector is vital in meeting global net-zero goals, and ensuring the Standard can accommodate the operational contexts of different companies will help the whole sector,” said Karl Downey, Head of Sector Standards at the SBTi

📈 One stat: The automotive sector accounts for more than 20% of global man-made greenhouse gas emissions, with 70-80% of its emissions coming from the use-phase of vehicles

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