Automotive Industry Decarbonization

How Companies Reduce Emissions Across the Automotive Value Chain

Define the Challenge and Context

The transport sector accounts for around 23% of global CO₂ emissions, with road vehicles responsible for the vast majority. Passenger cars and light-duty vehicles alone generate nearly half of total road emissions. Automakers and suppliers face growing pressure from regulators, investors and OEMs to decarbonize manufacturing, logistics and supply chains—requiring coordinated value-chain action and scalable market solutions.

Partner with STRIVE

STRIVE by STX helps automakers and suppliers reduce Scope 1–3 emissions through renewable fuels, electricity and compliance-ready market solutions.

Backed by STX Group’s trading network and OEM expertise, we connect global energy and carbon markets to support decarbonization targets, manage regulatory exposure and enhance supply-chain competitiveness.

Our Solutions

Renewable Natural Gas (Scope 1)

Replace fossil gas in manufacturing or logistics to reduce emissions with minimal infrastructure changes.

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Renewable Electricity

Lower power-related emissions through RECs, GoOs or VPPAs tailored to your footprint.

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Biofuels (Scope 3)

Use certified biofuels in logistics and transport to address supply-chain emissions.

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Carbon Credits

Compensate residual emissions with verified carbon reductions and removals.

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Financing & Incentives

Access subsidies and incentives under the Inflation Reduction Act and other regional programs to fund your transition.

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Supercharge your business with a 30-minute assessment on the best solution mix to meet your decarbonization goals.

In the News

CEO Economic Echo Report 2025-2026 (p. 132-133) – EuroCham Singapore

October 28, 2025

Event

How to Leverage CAEs and Future eCredits to Reduce Costs in Fleet Electrification (Spanish)

October 20, 2025

In the News

Biofuels: from market setbacks to signs of optimism and recovery – Het Financieele Dagblad (In Dutch – requires subscription)

October 17, 2025

FAQs

What are the main sources of emissions in the automotive industry?

Automotive emissions come from manufacturing processes (Scope 1), purchased energy (Scope 2) and supply chains and vehicle use (Scope 3). Scope 3 emissions usually represent over 80% of a company’s total footprint.

How can automotive manufacturers reduce Scope 1 and 2 emissions?

They can switch to renewable electricity, adopt Renewable Natural Gas (RNG) in factories and improve energy efficiency through certified programs like White Certificates.

How can automakers address supply-chain (Scope 3) emissions?

Companies can launch supplier engagement programs, integrate biofuels in logistics and source verified insets to compensate emissions across their value chain.

How does STRIVE by STX help automotive companies decarbonize?

STRIVE connects manufacturers to renewable markets, compliance tools and incentive programs to lower costs, meet regulatory goals and deliver measurable carbon reductions.