Honda’s highly acclaimed Honda e compact electric vehicle was recently awarded the ‘Red Dot: Best of the Best 2020’ award for ground-breaking product design. This is the highest honour in the internationally renowned Red Dot Award: Product Design and is reserved for the best products in each category. The Honda e also received the Red Dot 2020 accolade in the meta-category 'Smart Products', whilst the CBR1000RR-R Fireblade SP was awarded a Red Dot for outstanding design in the motorcycle category.
Both vehicles are an essential part of the 2020/21 special exhibition in the internationally renowned Red Dot Design Museum, Essen, Germany.
Peter Zec, CEO and founder of the Red Dot Design Award said: "The Honda e is not just a car - it is much more. The Honda e was awarded the Red Dot: Best of the Best because the jury was amazed by the car at first sight. There was no doubt it was worthy of the award from the beginning.
Honda is facing the challenges [of urban mobility] through fantastic research and development work to find the right solution for the future. I think the Honda e stands for a kind of paradigm shift: we are not just talking about e-mobility, we are talking about new solutions in the digital world and Honda e fits perfectly into this scenery. It connects your home with mobility, it is a real smart product and it goes far beyond our imagination. I don't know any other car that can achieve this at the moment."
From the unique concave black panels and signature front and rear LED light combinations, to the clean lines and flush features that optimise aerodynamic efficiency and refinement, the Honda e reimagines the identity of a small Honda for the next era of urban mobility. Further emphasising the car's exacting design philosophy is a Side Camera Mirror System that replaces conventional side view mirrors - a first in the compact segment.
Makoto Iwaki, the Executive Creative Director for Honda e, added: “Honda e was designed to create a new relationship between people, society and the car, whilst incorporating Honda’s future vision. We will continue to do our best to realise the vision through Honda Design. I’m delighted to receive this prestigious award, and at the same time extremally proud that it’s in the Red Dot Design Museum for the world to appreciate and enjoy. Thank you to everyone, thank you very much.”
The new Honda e is the brand's first production battery electric vehicle for the European market. The model is a key part of Honda's commitment to see all its car model ranges in Europe electrified by 2022.
The CBR1000RR-R Fireblade SP, which won the Red Dot 2020 award in the motorcycle category, is the latest two-wheeled machine to carry the legendary Fireblade nameplate. The new 2020 model was developed under the tagline 'Born to Race', with an unwavering focus on circuit performance and a radical new design.
The Red Dot judges put the superbike through its paces over several days to test its performance, in addition to assessing its functionality and design.
Peter Zec commented: "If I'm thinking about Honda, the first thing that comes to mind is motorbikes. The Fireblade deserves the Red Dot because the jury liked it very much - and we have really crazy judges that challenged the bike, including a professional racing bike rider. It's not just good design - it has perfect performance too, which is the main reason why it received the Red Dot."
In its assessment, the judging panel commended the CBR1000RR-R Fireblade SP for its racing-inspired design, well balanced lines and aerodynamic styling. Judges also praised the fun experience it delivered and outstanding performance when tested. Its minimalist frontal area, aggressively angled side fairings and extended lower fairings – plus a variety of apertures, slits and air-channelling shapes – combine to create a best-in-class drag coefficient. Aerodynamic ‘winglets’ as used on Honda’s MotoGP RC213V racing bike combine eye-catching form with uncompromising function, hugely increasing downforce and stability for ultimate control of the most powerful inline four-cylinder engine Honda has ever made.
Satoshi Kawawa, General Manager, Motorcycle Design Division, added: “The CBR1000RR-R Fireblade SP was developed to win races in any category – from club racing to international competition. Its design and styling are led by that philosophy – with every part and every detail designed with speed, performance and aerodynamic efficiency in mind. We’re honoured that it has been recognised with such a prestigious award.”
The annual Red Dot Award: Product Design honours excellence in product design from international businesses. The winning products are chosen by a judging panel comprised of 40 international experts who test, evaluate and discuss each entry. The Red Dot Design museum hosts the world's largest exhibition of contemporary design in the former boiler house of the UNESCO World Heritage Site Zollverein, which was once a coal mine complex.
In June, two new special exhibitions, "Milestones in Contemporary Design" and "Design on Stage", present this year's winning products of the Red Dot Award: Product Design, including the Honda e and CBR1000RR-R Fireblade SP. All exhibits have extraordinary design qualities and represent the Red Dot winners of 2020.
“We’ve worked hard to this year reach the zero fossil-fuel target in our industrial operations,” said Leif Borgstedt, Senior Energy Advisor at Scania. “We procure electricity from a host of suppliers with Guarantees of Origin and other equivalent certificates that ensure that it is produced from renewable energy sources, such as hydroelectricity, wind and solar power.”
Of the ten production plants, three are located in Sweden and two in the Netherlands with one each in Argentina, Brazil, Finland, France and Poland. Together they annually consume nearly 450,000 MWh. The transition to fossil-free electricity corresponds to annual savings of 33,000 tonnes CO2e. In 2019, Scania produced 91,700 trucks, 7,800 buses as well as 10,200 industrial and marine engines.
“Scania is on an ambitious path of reducing its carbon footprint and has adopted Science Based Targets as its guiding light for the coming years,” said Andreas Follér, Head of Sustainability at Scania. “These not only encompass our own operations but also include reduction targets for indirect emissions generated when our products are being used.”
By 2025, Scania aims to halve its carbon footprint, both in its industrial and commercial operations compared to 2015. The same reduction will be achieved in land transport operations per transported tonne.
“Decarbonising our industrial operations represent a milestone along our journey and is a clear manifestation of our commitment to reaching the Science Based Targets,” explained Follér.
June manufacturing for the domestic market was down by 63.8%, reflecting the gradual easing of the UK’s retail lockdown. Production for export also fell, by a substantial 45.0%, although overseas orders accounted for nine out of 10 vehicles built as key global markets, including in the EU, China, US, South Korea and Japan, opened for business earlier than the UK.
While June marked a vast improvement on April and May, when only a combined 5,511 cars were built, the performance rounded off the worst first six months for UK car production since 1954. Just 381,357 cars have been built since January, a decline of 42.8% and representing a loss of 285,164 units.
As a consequence of the crisis, at least 11,349 job cuts have already been announced across the industry, including manufacturing, supply chain and retail. Furthermore, new analysis suggests car production losses could total 1.46 million units by 2025 – worth just over £40 billion ($52 billion) – if no FTA is in place by the end of 2020, forcing the sector to trade on WTO terms with full tariffs applied.
Significant questions remain about the nature of trading conditions from 1 January, with uncertainty about customs procedures, regulation and damaging tariffs causing real concern. According to the latest survey of SMMT members, this lack of clarity is now severely hampering nine in 10 companies’ (93.5%) ability to prepare for the end of the transition period.
The coronavirus crisis has exacerbated this, with six in 10 (61.3%) automotive companies saying Covid-19 has diverted resources away from Brexit preparations, while more than seven out of 10 (77.4%) view securing a tariff and quota free FTA as crucial to their future success.
Mike Hawes, SMMT Chief Executive, said, “These figures are yet more grim reading for the industry and its workforce, and reveal the difficulties all automotive businesses face as they try to restart while tackling sectoral challenges like no other. Recovery is difficult for all companies, but automotive is unique in facing immense technological shifts, business uncertainty and a fundamental change to trading conditions while dealing with coronavirus.”
“The critical importance of an EU-UK FTA is self-evident for UK Automotive. Our factories were once set to make two million cars in 2020 but could now produce less than half that number, a result of the devastating effects of the pandemic on top of already challenging market conditions and years of Brexit uncertainty. This industry has demonstrated its inherent competitiveness and global excellence over the past decade. Its long-term future now depends on securing a good deal and a long-term strategy that supports an industry on which so many thousands of jobs across the country depend,” Hawes added.
The latest independent production outlook commissioned by SMMT, and also released, now expects just over 880,000 cars to be produced in the UK this year – some 32% lower than made in 2019 and 30% less than anticipated in January pre-crisis. If realised, this would be the lowest total since 1957.6
The analysis also suggests that without a positive trade agreement with the EU, and the industry trading on WTO terms with 10% tariffs, output could stay around the 800,000 mark, or less, to 2025 while a successful conclusion to negotiations with a zero tariff and quota FTA would see car volumes recovering to pre-crisis levels of 1.2 million units within the next few years and the potential for further long-term growth after that.
The UK automotive sector is one of the nation’s most valuable economic assets and a global trading powerhouse, sustaining more than 820,000 jobs with 168,000 directly in manufacturing. A successful restart of the £82 billion industry would help sustain jobs nationwide, boost tax revenues and international trade, plus drive a green recovery for the UK by helping government meet climate change and air quality goals.
After announcing an investment plan of €5 billion ($5.9 billion) through to 2025 on July 8th, SEAT shared the keys to a strategy that has the transformation of the Spanish automotive industry as one of its main objectives with its supplier network.
The carmaker explained that it will be committed to increasing the level of localisation of components in Spain, which on average represent 60% of the total turnover of the Purchasing area, both for current models and for future projects. With this decision, SEAT aims to shorten the global supply chain in order to reinforce its strength and boost environmental and financial sustainability at the same time. In this sense, SEAT is already working on an analysis plan to determine the current components that could be supplied from Spain in the medium term.
During the meeting, SEAT executive Vice-president for Purchasing Alfonso Sancha stated, “SEAT assumes its leadership and responsibility and aims to strengthen the Spanish industrial sector. To achieve this, we need everyone’s collaboration. Carmakers and suppliers must invest in new technologies to improve competitiveness and adapt to Industry 4.0, electrification and the connected car.”
At the meeting, SEAT set out the details of its vision on the major challenges facing the industry, such as the progressive reduction of the role of the combustion engine, which is forcing manufacturers and suppliers to undergo industrial restructuring, or the entry of new competitors and regions with lower wage costs than Spain, which are intensifying competition in the market.
SEAT’s Vice-president for Purchasing explained that in order to overcome these challenges, they are studying the necessary technologies to be installed in Spain with the aim of making electrification and the connected car a success. “Our industry is at a turning point and it is time to transform. If we don’t do it now, we’ll be too late. We need to become more competitive and modernise the Spanish car industry so that Spain remains a European and global automotive powerhouse,” he said.
Sancha also expressed his optimism about the development of the Martorell plant in the coming years, which is in the middle of launching the new SEAT Leon and will see the start of production of the CUPRA Formentor in the coming weeks. “These models are a clear example of SEAT’s strategy for the future and our progress towards electrification and the connected car.”
During the meeting SEAT also presented the S-Rating (Sustainability Rating) tool that makes it possible to evaluate and encourage the commitment of its suppliers to sustainability and integrity. With the S-Rating, the company motivates the entire supplier network to make an additional commitment to corporate social responsibility, the environment and sustainability, beyond all legal requirements, and thus contributes to fostering excellence in business practices related with these aspects.
Since the implementation of the tool in mid 2019, any company wishing to collaborate with SEAT, apply for one of its tenders and/or renew or extend an existing contract, must achieve a positive S-Rating qualification. Initially the rating is applied to commercial relations with direct suppliers, although the long-term vision is to reach an optimal level of traceability in terms of sustainability and compliance throughout the supply chain. The S-Rating ensures the procurement of companies that are aligned with the compliance and sustainability standards set by the Volkswagen Group for its business partners.
Of the total volume of supplier awards made by SEAT’s Purchasing department in 2019, 88% obtained a favourable rating, which will be valid for a maximum of six years. The remaining suppliers are given support with the aim of initiating an improvement process that will enable them to reach the required level.
Likewise, among all those who obtained the S-Rating certification, 78% of them reached an A Rating, which is the best qualification given by the tool. Among the indicators measured are the responsible use of natural resources, the assurance of a safe and healthy working environment, and the existence of preventive measures to prevent corruption.
The Design Selections replace conventional trim lines and feature natural, sustainably produced and recycled materials. Norbert Weber, Head of Interior Design at ŠKODA, explains the new interior of the ENYAQ iV and its highlights in a video interview.
The ENYAQ iV is the first ŠKODA based on the modular electrification toolkit (MEB). What changes has ŠKODA made to the interior design of this entirely new vehicle compared to a combustion engine car?
Norbert Weber: The ENYAQ iV benefits from the MEB platform’s long wheelbase, which – in relation to the body dimensions – offers an exceptionally spacious interior. The flat floor, which lacks the central tunnel we find in vehicles with combustion engines, also contributes to this. We have used this conceptual feature to create a feeling of even more space. This can be seen, for example, on the new dashboard, which is arranged over several levels.
You are talking about a new interior design concept for the ENYAQ iV. Could you describe this in greater detail?
Weber: The new design concept of the ENYAQ iV combines spaciousness and a ‘lounge feeling’. Instead of the usual equipment lines and numerous additional options, we are offering our new Design Selections in the ENYAQ iV for the first time. These are reminiscent of modern living environments, featuring perfectly coordinated colours and materials. Additionally, we offer clearly structured option packages in various themes, with some separate options available for all models. This means we can provide customers with choices that are clear and simple yet distinctly unique.
What are the most significant changes to the interior architecture of the ENYAQ iV?
Weber: Here, the lack of a central tunnel offers numerous possibilities. At the front, we used this space for an additional storage compartment beneath the centre console, which is arranged over several levels. Thanks to the long wheelbase, rear passengers benefit from the extra space in front of the centre seat as well as the exceptionally generous legroom for the seats either side. In addition to this remarkable amount of space for passengers, the ENYAQ iV also offers a boot capacity of 585 litres.
How would you describe the interior design of the ENYAQ iV?
Weber: Clear, airy, innovative and sustainable. Clear thanks to how easy it is to configure the Design Selections and the theme packages, airy because of its roominess and excellent sense of space. Innovative because of features such as the 13-inch central screen and the new head-up display, including augmented reality, and finally sustainable, thanks to the use of natural and recycled materials.
Which new colours and what new and sustainable materials are being used in a car for the first time?
Weber: In one Design Selection, for example, the seat covers are made of 40 per cent new wool and bear the Woolmark Company’s seal. The remaining 60 per cent of the blend is polyester from recycled PET bottles. These covers have a unique feel and ensure a pleasant seating climate. Another example is the leather, which is produced in a particularly sustainable way, using an extract from olive tree leaves instead of chemicals for tanning.
What do you consider to be the design highlights of the ENYAQ iV interior?
Weber: I particularly like the decorative trim that spans the entire width of the ENYAQ iV from the dashboard to the door panels, which enhances the sense of space. Below the central display, it references the shape of the ŠKODA grille and also serves as a rest for the hand operating the touch screen. It is surrounded by a particularly soft material that extends throughout the interior and creates the feeling of sitting on the sofa.
Dr. Werner Thomas, OLED technology project manager at Audi, explains: “Headlight technology has seen a rapid evolution at Audi in recent decades. In addition, we have been decisively driving the development of rear-lighting systems.” The latest milestone achievement: now the brand is the first automobile manufacturer to digitise the taillights.
Why does Audi focus on OLED technology?
OLED light sources are panel radiators – unlike point light sources such as LEDs using semiconductor crystals. The benefits of OLEDs: Their light is extremely homogeneous. It is infinitely dimmable and achieves very high contrast. It can be split into segments. These segments are individually controllable and can develop diverse levels of brightness, with minimal gaps between the segments. The lighting unit does not require any reflectors, optical fibres or similar optics. This makes OLED units very efficient, lightweight and flat, which considerably increases design freedom.
An OLED lighting element is just one millimetre thin, while conventional LED solutions require much greater installed depths of 20 to 30 millimetres. The energy requirement of an OLED is once again significantly lower than that of LED optics if the latter are to achieve similar homogeneity. Audi’s OLED technology made its production debut in the taillight of the Audi TT RS in 2016. Up to now, Audi models using OLED lighting technology have had up to four individually controllable, complex lighting segments that could be used for an individual, defined lighting design.
What benefits do Audi’s new digital OLEDs offer?
The larger number of individually controllable segments can now be randomly activated, with continuous variability of brightness. In the Q5, three tiles of six units each, in other words 18 segments per lamp, are currently used. The high precision and great variability offer light designers a wealth of opportunities, using just one type of hardware. Q5 customers opting for digital OLED technology have a choice of three signatures in the taillights when purchasing their car. In the “dynamic” Audi drive select mode, the lamps additionally switch to another signature. Moreover, animation effects such as coming-home/leaving-home lighting scenarios can be implemented, plus the dynamic flashing light has been integrated in the new lamp units as well.
How exactly do digital OLEDs differ from established OLED technology?
“Up to now, we have been using OLED segmentation with the Audi TT RS and A8 for designing signature lighting. This has changed with the Q5,” says OLED technology project manager Dr. Werner Thomas. “Here the taillights turn into a kind of display on the outer shell, which will provide us with ample opportunities and prospects in terms of design, personalisation, communication and safety going forward.” Thus, the year 2020 marks the threshold of a new age: a pure medium for signal functions is now additionally becoming a medium for displaying diverse types of content.
How do digital OLED lamps improve road safety?
In the new Q5, Audi has implemented a proximity detection feature for the versions using digital OLED taillights. When another road user approaches a stationary Q5 from the rear within less than two metres, all the OLED segments light up.
When the Q5 starts to move, it returns to the original light signature. This is just an initial example of the automobile’s car-to-x communication with its surroundings. Subject to legislative approval, predefined warning symbols are conceivable in the future as well. The development and approval of the first dynamic turn signals is a good example of Audi’s effective engagement in collaborating with approval authorities. The developers present potential technologies and then adapt them as needed – which facilitates the homologation and approval of new ideas and concepts. Audi also shaped the developments around the digital OLEDs in advance in a way that made legislative approval possible for the Q5 in spite of differences in taillight design. Thus, the roads are becoming safer with lighting technology from Audi.
How will the development in this area continue?
Going forward, clearly more segments per taillight are conceivable, allowing for even greater personalisation of signature lighting. For instance, predefined symbols might be displayed to provide other road users with early warnings of hazards such as slippery roads or the tail ends of traffic jams.
The new Brazilian-produced Actros uses global technologies and platforms. A large proportion of the innovations were developed with the declared aim of noticeably advancing drivers, customers and society. With new features like the Multimedia Cockpit, more sophisticated safety systems, and the MirrorCam instead of outside mirrors, the new Mercedes-Benz Actros thus provides the appropriate response to issues such as safety, fuel efficiency and availability.
It also brings new, market-specific solutions to customers: In the Brazilian Actros, for example, there is a modern Euro V engine working with a transmission system in a combination which is only available on the Brazilian market.
The campaign jumpstarts on Tuesday, July 28, at 8 p.m. ET / 5 p.m. PT with a livestream event on Twitter. Billed “Triple Threat,” the one-of-a-kind showcase will be directed by Darrin Prescott, action unit director on some of Hollywood’s most action-packed films including Baby Driver, Ford Vs. Ferrari, Drive, John Wick, Black Panther, and The Bourne Ultimatum, and will provide car enthusiasts with a virtual look at the capability of the all-new K5.
In addition to Prescott, “Triple Threat” features professional driver Collete Davis and actor Jeremy Ray Valdez, who will serve as event co-hosts, and stunt drivers Sean Graham and father-daughter stunt driving duo Jalil Jay and Brionna Lynch. Each stunt driver will get behind the wheel of a K5 and put the vehicle’s sleek design, on-road prowess, and dynamic performance to the ultimate test. The national campaign also includes a robust social media presence and national broadcast components that will be announced later in August.
“The all-new K5 is a completely new direction for Kia and the midsize sedan category overall, so we needed a marketing campaign that was as dynamic and action packed as the vehicle itself,” said Russell Wager, director, marketing operations, Kia Motors America. “By combining live events with more traditional elements, the K5 and Kia will be presented in ways never seen before and sure to change perceptions of the midsize sedan category.”
Representing one of the biggest leaps forward between generations in recent automotive history, the K5 celebrates a bold new chapter in Kia’s story. Featuring a sleek design, all-new safety and performance enhancing technology and turbocharged engines, the all-new K5 is available in Kia showrooms nationwide.
Prior to the Live event on Tuesday, K5 digital elements will be included when the Television Academy announces their nominations for the 72nd Emmy® Awards on Tuesday, July 28 at 11:30 a.m. ET/8:30 a.m. PT streaming live on Emmys.com. This year’s Emmy winners will be revealed LIVE during the 72nd Emmy Awards telecast on Sunday, September 20 on ABC.
Additional elements of the integrated campaign include print, digital, social and broadcast components that start on July 28. National broadcast advertising will launch on September 1, and additional social media and video components will supplement the campaign and run throughout month.
Supporting Volkswagen Group brands including Volkswagen, Audi, Bentley and Porsche, work at the Oxnard campus is focused on powertrain engineering services that support product development, governmental compliance and emissions testing with an enhanced focus on electric vehicle range testing and analysis.
“The next few years are going to be transformative for the Volkswagen Group as we are introducing our first long-range battery electric vehicles,” said Johan de Nysschen, Chief Operating Officer, Volkswagen Group of America. “The campus has been completely upgraded to further support the successful development, design and testing of products that will be sold in this market.”
Established in 1990 in Westlake Village, California, the TCC serves as the Group’s only emission test laboratory in the U.S. The largest technical center of its kind for the Volkswagen Group outside of Germany, the TCC plays a pivotal role in the product development chain, acting as a critical stop for many products before they are approved for production.
The renovated campus houses not only the testing team but also the Audi Engineering and Volkswagen Quality teams, both of which had previously worked alongside the testing team in Oxnard, and the Design Center California (DCC), relocated from its Santa Monica location. As part of the North American Region (NAR) structure, the DCC is a dedicated Volkswagen brand studio that develops Volkswagen concepts exclusively for the North American market and ensures effective collaboration within the region and with Volkswagen AG in Wolfsburg, Germany. The DCC originally opened in Simi Valley before moving to Santa Monica in 2006.
“This expansion strengthens Volkswagen’s testing abilities and product development support for not only the North American region but globally,” said Matthias Barke, Vice President, U.S. Testing, Volkswagen Group of America. “We are equally pleased to bring Design Center California under the same roof as our testing team.”
Now covering nine acres of space, the campus footprint has grown from 65,000 to 150,000 square feet. The original TCC building located next to the newly-developed space continues to hold the emissions test laboratory, engineering and prototype fleet operations, the governance team and operations-related employees.
The expansion includes an advanced shipping and receiving area with loading docks and large visitor workshops equipped with lifts, alignment racks and tire service capabilities. In addition, the facility features extensive office, training and meeting areas that can accommodate up to 200 people for hosting powertrain and emissions test groups.
The BMW Group is building on a strong foundation: Over the past years and decades, the company has repeatedly set standards in terms of sustainability. The principle of continuous improvement will remain at the heart of the strategy to reduce CO2 emissions and increase resource efficiency.
“I firmly believe the fight against climate change and how we use resources will decide the future of our society – and of the BMW Group. As a premium car company, it is our ambition to lead the way in sustainability. That is why we are taking responsibility here and now and making these issues central to our future strategic direction,” said Oliver Zipse. “This new strategic direction will be anchored in all divisions – from administration and purchasing to development and production, all the way to sales. We are taking sustainability to the next level.”
As part of this process, the BMW Group is setting itself clear targets for CO2 reduction up to 2030. For the first time, these extend throughout the entire lifecycle: from the supply chain through production to the end of the use phase. The aim is to significantly reduce CO2 emissions per vehicle by at least one third across the entire spectrum. For a fleet of around 2.5 million vehicles, as produced by the BMW Group in 2019, this would correspond to a reduction of more than 40 million tonnes of CO2 over the lifecycle in 2030.
Board of Management and executive management to be measured against sustainability targets
“We have made a very clear commitment to the Paris Climate Agreement. With this new strategic direction, we are therefore setting a course that is in accordance with the well below two-degrees target. We are not just making abstract statements – we have developed a detailed ten-year plan with annual interim goals for the timeframe up to 2030,” said Zipse. “We will report on our progress every year and measure ourselves against these targets. The compensation of our Board of Management and executive management will also be tied to this.”
Starting next year, the BMW Group will publish its financial figures and general business development in an integrated report that will also include updates on its sustainability goals. “This not only sends a clear signal that we consider our business model and sustainability to be inseparable, but also that we will be subjecting our sustainability activities to even broader external and independent scrutiny than in the past – because transparency is the best way to strengthen credibility,” said Zipse. The BMW Group is basing its goals on the guidelines of the recognised Science-Based Targets Initiative [https://sciencebasedtargets.org/], which it will also join. Among other things, this means that the CO2 emissions from the production of fuels are also included (“well-to-wheel” approach).
CO2 from production and sites to be lowered by 80 percent
The BMW Group can directly influence the CO2 emissions of its own plants and sites, where it already sets the benchmark for the efficient management of resources. The company is targeting the biggest reductions industry-wide in this area by 2030 – thus following a more ambitious path than the 1.5 degree goal. Having already lowered emissions per vehicle produced by more than 70 percent since 2006, the BMW Group now aims to reduce its emissions (Scope 1 + 2 - Link) by a further 80 percent from 2019 levels by 2030. CO2 emissions will then be less than 10 percent of what they were in 2006. The main lever for this is production, which generates around 90 percent of the company’s Scope 1 and Scope 2 emissions.
In addition to sourcing 100-percent green power as of this year, the BMW Group will systematically invest in optimising its energy efficiency and using the possibilities enabled by digitalisation. The BMW Group is already applying methods like data analytics to make its production more efficient – for example, by minimising scrapped parts in the body shop and through predictive maintenance for machinery. The company will drive further expansion of renewable energy sources at its worldwide locations. The use of green hydrogen can also play an important part in energy generation at suitable BMW Group locations.
In addition to this significant reduction in substance, the BMW Group will also fully offset its remaining CO2 emissions (Scope 1 + 2) from 2021 on with appropriate certificates.
Lowering CO2 emissions on the road through millions of electrified vehicles
The objective is to reduce CO2 emissions from vehicles by 40 percent per kilometre driven. The main lever here is a far-reaching product strategy with massive expansion of e-mobility: In ten years, the goal is to have a total of more than seven million electrified BMW Group vehicles on the roads – around two thirds of them with a fully-electric drive train.
“The best vehicles in the world are sustainable. That is why premium and sustainability will be even more inextricably linked in the future,” said Zipse. “We are using our exceptional technological expertise in both hardware and software not only to make these vehicles desirable, but also to help reduce CO2 through them.” Accordingly, the BMW Group is also fully on track to meet its CO2 fleet targets in the EU this year.
Product strategy: fully-electric models in high-volume series
The BMW Group is already a leading provider of electrified vehicles: By the end of 2021, the BMW Group will offer five fully-electric production vehicles: the BMW i3*, the MINI Cooper SE*, the BMW iX3*, the BMW iNEXT and the BMW i4. Another milestone will be the upcoming generation of the BMW 7 Series. The BMW brand flagship will be available with four different drive technologies: with a highly efficient diesel or petrol engine with 48-volt technology, as an electrified plug-in hybrid and, for the first time, as a fully-electric BEV model. The company will have 25 electrified models on the roads by 2023 – half of them fully electric.
In addition to the BMW 7 Series, comprehensive electrification will be rolled out throughout the model line-up: Further examples of the “Power of Choice” will be the high-volume BMW X1 and BMW 5 Series, which will also be available in the future with all four drive train variants – fully-electric, plug-in hybrid, diesel and petrol with 48-volt technology.
The BMW Group also began utilising its vehicles’ extensive connectivity to increase the amount of electric driving by plug-in hybrids this year. Models with eDrive Zones technology automatically switch to pure electric mode as soon as they enter a pre-defined green zone in about 80 European cities already. As availability expands to more countries and cities, it will be possible to increase the amount of electric driving by plug-in hybrids in a growing number of city areas.
As part of its Efficient Dynamics strategy, the BMW Group will also continue its work on reducing the fuel consumption of conventional drive trains and making them more efficient. The ongoing rollout of 48-volt technology is another element of CO2 reduction.
CO2 in the supply chain: significant reduction instead of big increase
With growth in e-mobility, much more attention will need to be paid to upstream added value in order to reduce CO2 – for example, looking at energy-intensive production of high-voltage batteries. Because, without corrective measures, the growing share of electrified vehicles would mean CO2 emissions per vehicle from the BMW Group supply chain would increase by more than a third by 2030.
The company not only wants to avoid this increase, but also lower CO2 emissions per vehicle by 20 percent from 2019 levels. One of the ways the BMW Group is doing this is by defining a supplier’s carbon footprint as a decision criterion in its contract award processes. The company leads the way as the first automobile manufacturer to establish concrete CO2 targets for its supply chain, which comprises around 12,000 tier 1 partners worldwide who supply material and components for vehicles, as well as additional suppliers providing production equipment or tools. The BMW Group has a total purchasing volume of more than 60 billion euros per year; around two thirds of this amount is for direct vehicle production.
“CO2 must be reduced in partnership between manufacturers and suppliers. If you want to convince partners, you must act as a role model. As a leader in sustainability, what we say counts a great deal with our suppliers – so we leverage our reputation in this respect,” said Zipse. “Our aim is to ensure the most sustainable supply chain in the entire industry.” To achieve this, the BMW Group is not just focusing on the top level of its tier 1 suppliers, but also seeking to anchor the topic of sustainability throughout its entire supply chain.
The BMW Group has already reached a contractual agreement with its cell manufacturers that they will only use green power to produce fifth-generation battery cells. This will save a total of around ten million tonnes of CO2 over the next ten years. That is roughly the amount of CO2 a city of over a million inhabitants, like Munich, emits per year. The company will significantly expand its own use of green power and, in the coming years, work with its component and raw material suppliers to do the same throughout the entire supply chain. In this way, the BMW Group aims to ensure its partners fight climate change with the same determination and impact as it does itself.
Circular economy for responsible resource management
Alongside lowering CO2 emissions, resource management also plays a central role in the BMW Group's business model: For instance, electromobility cannot rely solely on primary materials in the long term. The underlying flow of resources needs to change. By making the recycling chain more transparent, the BMW Group aims to create high-quality secondary material and enable itself to track actual further use of raw materials in the cycle. “Our goal is clear: We want to further close the material cycles to protect nature’s finite resources and use them even more efficiently,” said Zipse.
Vehicles already have to be 95 percent recyclable – but the percentage of secondary material in new vehicles is still relatively low. That is why the BMW Group plans to increase the share of secondary material in its vehicles significantly by 2030 – and is also exploring very far-reaching scenarios. Secondary material reduces CO2 emissions substantially compared to primary materials: by roughly factor 3-4 for aluminium and factor 2-3 for cobalt, nickel and lithium. Minimising the amount of new extraction needed is also essential to conserve resources and reduce the potential for conflict – especially for critical raw materials.
The circular economy plays a particularly crucial role when it comes to high-voltage batteries for electrified vehicles, which use a number of critical raw materials. Although the European Union currently requires a recycling rate of only 50 percent for high-voltage batteries, the BMW Group has partnered with German recycling specialist Duesenfeld to develop a method that can achieve a recycling rate of up to 96 percent – including graphite and electrolytes. The BMW Group already takes back all used BMW high-voltage batteries worldwide – even though there is no legal requirement to do so. Before recycling comes second-life usage at battery storage farms like the one at BMW Group Plant Leipzig.
The BMW Group is also piloting digital tools all the way to blockchain technology to track and verify global flows of goods. The PartChain project, for instance, enables tamper-proof and consistently verifiable collection of data in the supply chain. Going forward, critical raw materials, in particular, could be tracked all the way from mine to smelter.
Working in collaboration with Mercedes-Benz Chief Design Officer, Gorden Wagener, the partnership marks the unification of two worlds: fashion and art with automotive. The objective? To push the boundaries of each respective creative realm and rebuild the luxury landscape anew. The artwork will be digitally launched to a global audience on Tuesday 08 September 2020, 4:00PM CET and represents a new vision of luxury that is defined by the sharing of ideas and disciplines. Click here to sign up for event reminder.
Both Mercedes-Benz and Abloh felt compelled to help support the arts and the international creative community at a critical time. A one of a kind home-scale replica of the unique artwork will be auctioned off following September’s launch. All proceeds will be donated to a charity that supports the arts. The winner of the model auction will also receive exclusive access to the co-creators, including a personal introduction to the inspirations behind the artwork and the creative powerhouses’ aspirations for it.
“Teaming up with Virgil Abloh, one of the most influential and inspiring creatives of our time, represents Mercedes-Benz´ idea of Zeitgeist, co-creation and contemporary luxury – for both our products and our brand.” says Bettina Fetzer, Vice President Marketing at Mercedes-Benz AG. “By launching Project Geländewagen now we hope to inspire collaboration and creativity in our global audience.
“Mercedes-Benz is a brand that stands for luxury and exceptional performance,” says Virgil Abloh. “Truly a perfect chassis to interject modern artists’ ideas of what the future can be stylistically, within conceptual car design.”
“Mercedes-Benz today is much more than a luxury carmaker, it is a design brand and luxury label. One major reason for our success story is our aesthetic soul and the unique style of our house.” says Gorden Wagener. “The next step in pushing Mercedes-Benz design is our collaboration with Virgil Abloh. We are set to create something unseen in both of our branches,” states Gorden Wagener.
Recognising people’s ambitions and adapting to facilitate them, Mercedes-Benz stands proudly as a brand that inspires creative minds around the globe. Drawing on the ingredients of Mercedes-Benz DNA: exclusive materials, first-class craftsmanship and highly developed design which appeals to all the senses of a discerning clientele, Wagener and Abloh’s creation will embody Mercedes-Benz’ innate understanding of luxury, and how it can be a force for good.
About Virgil Abloh
Born in Rockford, Illinois, Virgil Abloh is an artist, architect, engineer, creative director, and fashion designer. After earning a degree in civil engineering from the University of Wisconsin-Madison, he completed a master’s degree in architecture at the Illinois Institute of Technology (IIT), Chicago. At IIT, while studying a design curriculum devised by Mies van der Rohe, Abloh began to craft the principles of his art practice. The Museum of Contemporary Art Chicago presented a major traveling survey of Abloh’s work in summer 2019 – one of the highest attended exhibitions in the museum’s history. Currently, Abloh is the Chief Creative Director and founder of Off-White and Men’s Artistic Director at Louis Vuitton.
About Gorden Wagener
Born in Essen, Gorden Wagener is the Chief Design Officer Daimler Group – a position he has held since 2016. After studying Industrial Design at the University of Essen, he honed his skills in Transportation Design at London’s Royal College of Art. He joined Mercedes-Benz over two decades ago. In 2008 he was made Director of Daimler AG´s Design unit. All current models of the Daimler Group vehicle portfolio bear Wagener's signature, from all Mercedes-Benz passenger and commercial vehicles to all truck and bus brands forming today’s Daimler Trucks AG. His ground-breaking work has earned him a number of accolades including an honorary professorship at the Moholy-Nagy University of Art and Design in Budapest (2009) and an honorary doctorate at Sofia Technical University (2010).
The smart brand, a global pioneer in urban mobility, will write the next chapter in its history as a joint venture between Mercedes-Benz and Geely. A new all-electric vehicle architecture will become the foundation for smart’s entry into the premium B-segment range with its first products tentatively set to launch from 2022.
smart confirms global executive team
With a course set for a new generation of vehicles, the smart brand has named the executive team to support Chief Executive Officer, Xiangbei Tong:
Daniel Lescow has been appointed Vice President of Sales, Marketing and After Sales. He brings several years of experience in growing the smart brand and has spent six years working in the Chinese market.
With over 25 years of experience in the automotive industry, Jun Yang will take charge of technical development as Vice President Research & Development. He has strong experience in leading full vehicle programs at Geely Holding’s subsidiary brands.
Ulf Nestler will serve as the Vice President Finance and Chief Financial Officer. For the past eight years, he has contributed to the strong growth of Mercedes-Benz in China.
smart Europe is readying with an international team
As a wholly owned subsidiary, smart Europe will be located in Leinfelden-Echterdingen, Stuttgart. With an international team, the newly established company will manage all Sales, Marketing and After-Sales activities of the next generation of smart vehicles, products and services in the European markets.
After holding several Executive Sales & Marketing roles in the global Mercedes-Benz network, Dirk Adelmann successfully transformed smart into an electric-only brand on the retail level and has been appointed as the CEO of smart Europe by Xiangbei Tong. In his new role, he will focus on establishing a highly efficient and customer-centric business model by leveraging the full potential of the joint venture between Mercedes-Benz and Geely for the European markets.
Martin Günther as an experienced Finance and Controlling Executive within the Mercedes-Benz Aftersales organization has been appointed as the CFO of smart Europe GmbH.