Volvo is strengthening its commitment to climate action, aiming to reduce CO2 emissions per car by 75% by 2030 and planning to use zero-emission aluminum and steel.
As world leaders meet at the United Nations climate summit (COP28) in Dubai, it is more important than ever for businesses to step up their efforts on climate action. Today, we are announcing that we are strengthening our climate plan, already one of the most ambitious in the automotive industry, with the aim of reducing CO2 emissions per car by 75% by 2030 compared to the base year of 2018.
This is in addition to our ambition to become a climate-neutral company by 2040 and to reduce CO2 emissions per car by 40% from 2018 to 2025. In the first nine months of 2023, total CO2 emissions per car were 19 % lower than the 2018 milestone. Achieving such an ambitious target of reducing emissions by 75% by 2030 requires us to continue working towards our existing target of selling only pure electrics cars by 2030, thus zero tailpipe emissions for our entire range.
To achieve the above goals, we announce that we are now a member of the First Movers Coalition (FMC) initiative created by the World Economic Forum, and we are putting our purchasing power at the service of emerging clean technologies that will strengthen the transition to near-zero emission aluminum. In addition, we are taking action in the steel sector through our partnership with the Swedish steel producer, SSAB. We are the first car manufacturer to partner with SSAB to explore the possibility of producing high-quality, near-zero-emission steel for the automotive industry. Today, the Volvo has secured access to virgin and recycled near-zero emission steel sheets from SSAB, which we plan to use in one of our automotive programs by 2026.
Earlier in the year, Volvo unveiled the all-electric EX30, the small SUV designed to have the lowest carbon footprint of any Volvo model to date. The EX30 is one of several new all-electric Volvo models we have already introduced and will continue to introduce over the coming years as we evolve into an all-electric car company by 2030. We are already making significant progress – in the first nine months of 2023, pure electric cars represent 16% of our total sales. At the same time, we are rapidly moving away from the internal combustion engine. We will produce our last diesel car in early 2024, while we have stopped investing in research and development (R&D) of new internal combustion engines. Instead of dwelling on technologies of the past, we look to the future.
At the same time, meeting our latest target requires limiting CO2 emissions across our supply chain and operations (including logistics), aiming to reduce emissions in every aspect of our operation by 30%, compared with reference year, 2018.
We are already doing a lot. In 2022, 69% of all our operations used climate neutral energy. And since then, we have recently achieved the use of 100% climate-neutral electricity in all our factories around the world. This summer, we also became the first car manufacturer in the world to announce a transition from fossil fuels to biofuels, for 86% of our transcontinental sea transport. This reduces CO2 emissions in our maritime transport by 84% and supports our aim to reduce emissions in our operation.
COP28 takes place against the background of the exhibition Global Climate Stocktake of the UN on climate, published in September. Her sober conclusion is that despite progress in some areas, the world is still a long way from limiting global temperature rise to 1.5 degrees above pre-industrial levels. The report also contains recommendations for specific sectors, including the transport sector. It states that for the automotive industry, “the phase-out of internal combustion engines and the use of electric vehicles has the best prospects for mitigating emissions in the industry.” This particular conclusion is aligned with her actions Volvo to electrify its fleet and phase out cars that use fossil fuels.