Automotive Employees celebrate at the Mazda Toyota Manufacturing Line-Off celebration for all-new 2023 Mazda CX-50 Crossover SUV on January 26, 2022, in Huntsville, ALA. (Jon Morgan/AP Images for Mazda North American Operations

Published on December 18th, 2023 | by Subhash Nair


Mazda’s Roadmap to Carbon Neutrality: A Steady Stride Towards a Greener Future

Mazda unveils medium-term targets and initiatives to achieve carbon neutrality.

In a significant move towards environmental sustainability, Mazda Motor Corporation (“Mazda”) has unveiled its medium-term targets and roadmap for achieving carbon neutrality at its plants and operational sites in Japan. This initiative, which accounts for approximately 75% of the company’s global total CO2 emissions, is part of Mazda’s broader commitment to achieving carbon neutrality at all its global plants by 2035 and across the entire supply chain by 2050.

Mazda Carbon Neutrality plant

Setting the Course for Carbon Neutrality by 2035

Mazda’s medium-term goal is to achieve a remarkable 69% reduction in CO2 emissions by the fiscal year 2030 compared to the levels recorded in fiscal year 2013. The company is steadfast in its commitment to follow through on existing policies, aligning with a carefully crafted roadmap to attain this ambitious objective.

Three Pillars Driving Carbon Neutrality

To achieve carbon neutrality at all its plants globally, Mazda is focusing on three key pillars: energy conservation, transitioning to renewable energy, and adopting carbon-neutral fuels. These pillars form the backbone of Mazda’s strategy to minimize its carbon footprint across its operations.

1. Energy Conservation through Internal Carbon Pricing

Mazda is introducing Internal Carbon Pricing as a capital investment criterion, integrating future carbon trading prices into decision-making processes. This move ensures that investments prioritize initiatives contributing significantly to CO2 emissions reduction. The company remains committed to enhancing efficiency across all facets of its operations, from production to infrastructure.

2. Shifting to Renewable Energy Sources

In a pivotal step towards sustainable energy, Mazda is transitioning power generation facilities at key locations, such as the Hiroshima plant Ujina District, from fossil fuels to liquid ammonia. Additionally, the company is actively engaging in corporate Power Purchase Agreements (PPAs) with local entities, aiming for a non-fossil fuel power usage ratio of 75% by fiscal year 2030.

3. Introduction of Carbon Neutral Fuels

Mazda is making a strategic shift in the fuel used for internal transport, moving from diesel to next-generation biofuel. In instances where alternative fuel sources for power generation prove challenging, the company will leverage J-credits to support forestry preservation and reforestation, contributing to CO2 absorption in various regions.

Global Collaboration for Carbon Neutrality

While focusing on its domestic plants, Mazda recognizes the global nature of its operations. Factories outside Japan will undergo region-specific investigations to determine the most effective approaches for carbon neutrality. The company is actively engaging with local organizations, such as the subcommittee for the promotion of carbon-neutral electricity, to collaborate on achieving carbon neutrality at all Mazda factories worldwide by 2035.

Major Initiatives

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