Truck manufacturers a more carbon intensive investment than oil, steel or cars – study

(Transport and Environment, 29 Apr 2024) Investors ‘in for a shock’ as scope 3 disclosure requirements kick in next year with truckmaker emissions 50% higher than what they report to investors. The only sector T&E could find with an average carbon intensity higher than truckmakers is coal mining.

European truckmakers’ emissions are 50% higher than what they report to investors, a new Transport & Environment (T&E) study shows. The research looking at Europe’s leading truckmakers – Scania, MAN, Renault, Volvo, Mercedes-Benz, DAF and Iveco – shows that investments in truckmakers are more carbon intensive than oil, steel and cars [1]. With mandatory scope 3 reporting kicking in for investors this year [2], T&E calls on all truckmakers to switch as fast as possible to zero emission models to avoid becoming portfolio ‘carbon bombs’.

European truckmakers have already started to publish sustainability reports, but, to date, there has been no legal requirement to report on indirect emissions – known as scope 3. The average truck burns through 450,000 litres of fuel over its lifetime, which accounts for 99.8% of a truckmaker’s total carbon impact. 

T&E’s analysis shows that Mercedes-Benz and DAF fail to report on their scope 3 emissions entirely and as a result report just 0.1% to 0.2% of their overall emissions. IVECO only reports around a third of its scope 3 emissions, while Renault and Volvo also underestimate their emissions. MAN and Scania’s reporting is accurate [3].

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Transport and Environment, 29 Apr 2024: Truck manufacturers a more carbon intensive investment than oil, steel or cars – study