Renault Builds Brand on Supplier Sustainability Push

Renault Group is collaborating closely with suppliers to improve its environmental performance.

Raw material supplies and components accounted for an average of 17% of the carbon footprint of Renault Group vehicles sold in 2024, according to the company.

The procurement team's ability to engage suppliers on emissions reduction could determine whether the group meets its decarbonisation targets. Renault Group has committed to reaching net-zero carbon emissions in Europe by 2040 and worldwide by 2050.

Anthony Plouvier, Chief Procurement Officer at Renault Group, connects operational and environmental priorities through the company's responsible purchasing policy. "Our responsible purchasing policy is a key lever for creating sustainable value for Renault Group, and it cannot contribute to reducing our carbon footprint without the commitment of our suppliers," he says.

These elements form part of the company's broader strategy to transform its supply chain into a driver of environmental progress.

ESG scores now mandatory

Renault Group evaluates suppliers against ESG criteria before awarding contracts. Performance and quality no longer outweigh responsibility and sustainability measures.

"Responsibility and sustainability criteria carry as much weight as performance and quality in our supplier choices. A low ESG score is now a deal breaker," says Anthony.

The group expects suppliers to provide visibility on their climate trajectory. Suppliers must disclose carbon footprint using the Carbon Disclosure Project Supply Chain methodology. This standardised approach enables Renault Group to compare supplier performance consistently across its global network.

Renault Group begins decarbonisation assessment during the tendering phase. The company aims to allocate more than 90% of budgets to suppliers with high ESG scores by 2030.

Early supplier involvement reduces emissions

Integrating suppliers earlier in vehicle design allows them to contribute to product development and innovation. This approach could improve value chain transparency and unlock emission reduction opportunities that would otherwise remain hidden.

"In practical terms, suppliers are involved earlier in product and project development phases, enabling them to propose solutions. Renault Group's Procurement function works closely with design teams to identify the most effective levers available through suppliers to meet vehicle decarbonisation targets," says Anthony.

Materials represent between 10% and 40% of a vehicle's carbon footprint, depending on the powertrain, according to Renault Group. The company applies several approaches to reduce environmental impact:

• More frugal use of rare materials.
• Increased use of recycled or bio-based materials.
• Anticipating end-of-life dismantling and recycling.

Renault Group targets more than 30% circular economy materials per vehicle project by 2030. The group uses circular economy solutions through subsidiaries. This target represents a significant shift in how the company sources and specifies materials across its vehicle range.

Battery production accounts for one-third

Battery production accounts for one-third of an electric vehicle's total carbon footprint, according to Anthony. Renault Group is working to reduce battery carbon footprint through more sustainable sourcing and manufacturing practices.

The company plans on-site visits and audits of high-risk Tier 1 suppliers and battery supply sites by 2030. It targets a 30% reduction in supplier CO₂ emissions for raw materials and components by the same year.

Renault Group aims to reduce battery carbon footprint by 35% between 2019 and 2030.