Ambition 2039: Mercedes-Benz path to CO₂-neutrality

April 22 2021

An emission-free fleet of vehicles: With this vision, we are committed to climate protection and air pollution control. That is a core element of our sustainable business strategy. Our ambition is to make our fleet of new cars CO₂-neutral by 2039 and to have no relevant impact on inner-city air quality. We take a holistic approach to climate protection: Our goals cover all stages of the automotive value chain – from technical development to the extraction of raw materials, to production, service life and recycling.

In the coming two decades, we at Mercedes-Benz Cars & Vans will fundamentally change our product portfolio. Our path toward zero emissions includes electric vehicles, further efficiency improvements through hybridization, and the further development of our vehicles with state-of-the-art internal combustion engines.

Mercedes-Benz Cars is planning electrification in all segments, from the smart to our SUVs. To this end, we are investing about ten billion euros in the expansion of our electric fleet, more than one billion euros in the development of battery production, and we are systematically driving forward the transformation to the electric future of our company by purchasing battery cells for more than 20 billion euros.

In the car segment, we will focus in the coming years especially on plug-in-hybrid technology and purely battery-powered models. The EQS, EQA, and EQB have already been presented this year. By the end of 2021 there will be another 30 model variants of the plug-in hybrids.

Our milestones until 2039

2022: Several electrified variants in all segments of Mercedes-Benz Cars and a CO₂-neutral production at our own Mercedes-Benz car and van plants worldwide.

2025: Up to 25 percent of unit sales to be accounted for by all-electric vehicles (depending on the framework conditions).

2030: Achieving more than 50 percent of car unit sales with plug-in hybrids or all-electric vehicles.

2039: A CO₂-neutral fleet of new cars and a CO₂-neutral supply chain.

CO₂-neutral production as of 2022

As early as 2022, our own Mercedes-Benz car and van plants worldwide will be producing CO₂-neutral vehicles. This applies to more than 30 car and van plants. An important part is the battery production, which will also be CO₂-neutral worldwide as of 2022. The second battery plant in Kamenz, which was opened in 2018 and is the center of competence of the Mercedes-Benz global battery production network, was designed from the outset to be a CO₂-neutral plant and already meets this requirement today. The Kamenz site is responsible for the production of battery systems for Mercedes-Benz Cars hybrid, plug-in-hybrid and battery-electric vehicles.

At the Mercedes-Benz plant in Sindelfingen, we have put into operation one of the most modern automobile production facilities in the world: Factory56. Factory 56 represents the future of production at Mercedes-Benz and sets new standards for automotive manufacturing. Fully in line with Ambition 2039, the Factory 56 will become a zero carbon factory - completely CO₂-neutral and with significantly reduced energy consumption. This is made possible, among other things, by its innovative energy concept with a photovoltaic system, a DC power grid and energy storage systems based on reused vehicle batteries.

Unique green power concept

Mercedes-Benz is expanding its green power portfolio in cooperation with the energy supplier Enovos and the Norwegian energy producer Statkraft. This means that from 2022 onwards, the company will purchase electricity in Germany which comes exclusively from renewable sources. A green power supply contract ensures the purchase of electricity from renewable energy sources at all times.

Together for climate protection

When implementing our long-term goal of climate neutrality, we are not only consistently electrifying our product range, but also the supply chain. Already for the next generation of vehicles from our EQ product and technology brand, battery cells will be produced with electricity that is 100 percent from renewable energy sources, starting with the EQS.

Markus Schäfer, Member of the Board of Management of Daimler AG, Group Research & Mercedes-Benz Cars, Chief Operating Officer

Our suppliers are also part of our holistic approach to climate protection. We want to implement effective climate protection measures together with our partners in the supply chain. The starting point is the creation of transparency. To this end, we are working with organizations such as CDP in the car sector to assess the environmental impact of our supply chain. We are in close contact with our most CO₂-intensive suppliers to identify effective measures for reductions. The first models of the next EQ generation, starting with the EQS, will already be equipped with CO₂-neutral battery cells.

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