Managing our value chain risks and impacts

What we produce and how we produce it is at the core of the Volvo Group’s sustainability commitment. We look at our entire value chain and manage sustainability issues at every stage of the lifecycle of our products – from product development to recycling.

The Volvo Group has 67 production sites in 18 countries around the world. In 2013, we delivered 200,300 trucks, 8,900 buses, 70,800 units of construction equipment, 17,500 marine engines and 17,700 engines for industrial applications.

All wholly-owned production facilities are certified by a third-party auditor in accordance with the ISO 9001 quality management system and 94 percent are certified in accordance with the ISO 14001 environmental management system. In 2013, our Macungie plant in the US became the second Volvo Group factory to be certified to the international energy standard, ISO 50001 – New River Valley, US, was certified in 2012.

We manage sustainability issues at every stage of the lifecycle of our products – from product development to recycling

WWF Climate Savers

WWF is one of the world’s largest and most respected environmental organizations. Its vision is to stop the degradation of the planet’s natural environment and build a future in which humans live in harmony with nature.

WWF’s Climate Savers Program involves multinational companies in the effort to reduce carbon dioxide emissions. Each company pledges to reduce its carbon dioxide emissions following a Memorandum of Understanding made with WWF. The results are reviewed by independent technical experts. The agreed target is more ambitious than the company would have set on its own, and must also signify that the company is leading its sector in the reduction of greenhouse gas emissions.

The Volvo Group became the world’s first automotive industry manufacturer approved by WWF to participate in the Climate Savers Program in 2010. In 2012, Volvo Construction Equipment (Volvo CE) and Volvo Bus Corporation joined the Climate Savers program. SDLG, Volvo Group’s joint-venture company manufacturing construction equipment in China, became the first Chinese company to be approved as a partner of the program.

In our arrangement with WWF, the Volvo Group is committed to reducing:

  • the total amount of carbon dioxide (CO2) emitted by the Group’s trucks, construction equipment and buses by more than 30 million tons by 2014, compared with vehicles manufactured in 2008
  • CO2 emissions from our production plants by 0.2 million tons (12 percent) before 2014, compared with 2008.

Our arrangement also states that:

  • the Volvo Group will develop a new truck prototype with 20 percent lower fuel consumption than a corresponding truck manufactured in 2008 and offer commercial trucks that operate on renewable gas before 2014
  • Volvo Construction Equipment will prepare a new prototype with considerably improved fuel efficiency compared with existing models
  • Volvo Buses will expand the number of field tests with plug-in hybrid buses.

Interim results

We have now completed five of the program’s six years and independent technical experts verify how the Volvo Group is complying with its commitments annually. Figures for the year ending 2013 will be available in June 2014, but the results for the period 2009–2012 indicate that we are already on or ahead of target in key areas:

  • CO2 emissions from the Group’s facilities have been reduced by 0.3 million tons, making them 13 percent lower than 2008
  • total lifetime CO2 emissions of the Group’s products have been reduced by 29 million tons.