Finnish Cargotec, which specializes in the manufacturing of cargo-handling machinery for ships, ports and terminals, has committed to the United Nations Global Compact’s Business Ambition for 1.5°C.
Under the pledge, Cargotec, like many other companies, has promised to pursue science-based measures to limit global temperature rise to 1.5°C.
“A key business driver for Cargotec is to reduce the carbon footprint of the logistics industry. As we operate in an industry with a big climate impact – the global logistics industry is estimated to account for approximately 7 percent of the total global CO2 emissions – we acknowledge that we have the responsibility to innovate and offer low-carbon business solutions that enable a sustainable path for the logistics industry,” says Mika Vehviläinen , CEO of Cargotec.
“The set ambition level is challenging, but at the same time a great, inspiring business opportunity.”
The company said that more than 95 percent of its CO2 emission occurs in the value chain: raw material sourcing and use-phase of the sold products.
Therefore, the emission reduction target expands beyond the company’s own operations.
“An initial review and assessment of the opportunities to reduce the emissions related to the sourced materials and product use-phase has been made. Based on this assessment, Cargotec has made the commitment to reduce the CO2 emissions of raw material sourcing and product use phase (Scope 3 emissions) by at least 50 percent from the 2019 levels by 2030,” the company said.
In addition, Cargotec wants to attain carbon neutrality in its own operations by 2030.
Cargotec has signed the “Uniting Business and Governments to Recover Better” statement as part of the Science-Based Targets initiative and its Business Ambition for 1.5°C campaign.
The target of the statement, signed by more than 150 companies, is to urge governments to prioritize a faster and fairer transition from a grey to a green economy by aligning policies and recovery plans with the latest climate science.