Volvo Cars using 100% renewables at Chengdu car factory

Swedish vehicles manufacturer Volvo Cars has achieved 100% renewable power at its factory in Chengdu, China, its largest plant in the country, it said.

The milestone was enabled by a newly signed contract for the supply of electricity, which helped the car company reach 100% from 70% renewable power it was previously sourcing for the Chengdu factory.

The name of the power supplier was not disclosed.

Under the new contract, hydropower covers around 65% of the supply, while the remaining electricity is generated by solar and wind farms and other renewable power plants, the company in the Volvo Group (STO:VOLV-B) said.

Now running fully on renewables, the Chengdu factory stands to cut its CO2 emissions by over 11,000 tonnes annually.

The power mix of Volvo Cars’ global manufacturing network is 80% renewable, the car maker added.

Volvo Cars has set the goal of having climate neutral manufacturing by 2025 and becoming a fully climate neutral company by 2040.

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