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The Standardwill provide a new framework for carmakers and auto parts manufacturers seeking to set long-term net-zero targets, as well as interim emissions goals aligned with a 1.5C temperature pathway.
It will be the first of its kind for the sector for the SBTi, which already provides sector-specific guidance for the air, land and maritime transport industries, as well as the built environment, financial institutions, cement, chemicals, steel and power.
The new Automotive Sector Net-Zero Standard draft is open for consultation until 22 March.
Since the first draft was published, the SBTi has added a new proposal that only zero-emission vehicles are classed as ‘low-emission’, to provide clearer boundaries and more longevity. It has emphasised the focus on Scope 3, category 11 emissions – those relating to the use of sold products.
The SBTi is set, however, to allow global aggregated targets for light-duty vehicles to streamline the Standard’s implementation.
“The feedback we received from stakeholders during the last public consultation was crucial in developing this new draft with an increased focus on adaptability and usability,” said the SBTi’s head of sector standards Karl Downey.
“Creating a final Standard that enables companies to benefit from the many opportunities the transition provides will help automakers and auto parts makers to transform their ambition into practical, credible climate action.”
Corporate Net-Zero Standard
The Automotive Sector Net-Zero Standard will align with the second version of the SBTi’s Corporate Net-Zero Standard, which is set to be finalised later this year after two rounds of public consultations during 2025.
More than 2,000 companies globally use the Corporate Net-Zero Standard, which launched in 2021. But many reported difficulties aligning with the initial Standard’s requirement to target a 90% reduction in absolute Scope 3 emissions by 2050 at the latest.
Version 2 of the Corporate Net-Zero Standard is set to introduce more flexible options for Scope 3 target-setting, particularly for smaller firms in emerging and developing markets. It will also require businesses to set separate goals for Scopes 1 and 2, and to separate their reporting in the same way.
To date, more than 450 companies in the auto industry have either committed to setting SBTi-verified targets or already secured verification. They include BMW Group, Ford Motor Company and Nissan.
Related news: SBTi celebrates 10,000 companies globally with verified climate targets
Hear from the SBTi at edie 26
Readers responsible for their organisation’s emissions reporting or climate target-setting are encouraged to attend edie 26, our biggest face-to-face event of the year. Discounted ticket sales must end on 30 January.
Taking place at London’s Business Design Centre on 25-26 March 2026, edie 26 will convene 1,000+ ESG practitioners for two days of workshops, networking, advisory clinics, roundtables and knowledge-sharing.
We have sessions dedicated to sustainability reporting, compliance with key standards and climate target-setting – including Scope 3 (indirect) emissions. Among the 150+ confirmed speakers is SBTi CEO David Kennedy.
Click here for a full agenda & to register.
