Lotus Technology releases first ESG report, targets carbon neutrality by 2038
Listen to this story:
Lotus Technology Inc., a leading global luxury electric vehicle maker, has released its first annual Environmental, Social, and Governance (“ESG”) Report. The report documents the Company’s ESG strategy and highlights its 2022 ESG achievements as part of Lotus’s advancement into a fully electric, intelligent, and sustainable luxury mobility provider under the brand’s Vision80 strategy.
Lotus Tech’s ambitious “Driving Change” ESG vision sets out a mission to create value for all of its stakeholders, contributing to social inclusivity and environmental protection while delivering sustainable growth and meeting customers’ mobility needs. The Company’s strategy focuses on six key fields: Nature Positive, Climate Neutrality, Sustainable Supply Chain, Inclusion and Equality, Community Commitment, and Transparent Governance. Lotus Tech joined the United Nations Global Compact (UNGC) in May 2023, and has set targets aligned with the United Nations Sustainable Development Goals (SDGs) for each field, embedding actionable frameworks into its operations to realize the global goals.
Related Article: Terex Releases its 2023 Sustainability Report
Mr. Alexious Lee, Chief Financial Officer and ESG Committee Chairman of Lotus Tech, said, “We are proud to release Lotus Tech’s inaugural ESG report today, in line with our ambition to drive social change and address environmental priorities through sustainable innovation. As a pioneer in the electrification of luxury mobility, Lotus Tech remains dedicated to collaborating with stakeholders across the ecosystem to steer the industry towards a more inclusive and sustainable future.”
Highlights of the report include:
- Carbon neutrality across the value chain by 2038: Lotus Tech began launching exclusively electric vehicles in 2022 and expects to achieve a 100% electric product portfolio by 2027. In order to achieve carbon neutrality across its value chain by 2038, the Company has established an advanced digital carbon emissions management system to analyze its carbon footprint at both the organizational and product levels.
- Sustainable products: Eletre, Lotus Tech’s first fully electric hyper SUV, has a material recyclability rate of nearly 90% and applies Lotus’s famous engineering and aerodynamics expertise to enhance energy efficiency. The vehicle’s aerodynamic porosity reduces drag, cutting its CO2 emissions by over 200kg per 150,000 km traveled.
- Green manufacturing: The Lotus Global Smart Factory targets 100% green power by 2025. The factory, which manufactures BEV lifestyle products for the Company, reduces carbon emissions and resource consumption with a range of measures including rainwater reuse and heat recovery systems, as well as its own photovoltaic power station. The first phase of the photovoltaic power generation system’s construction has been completed, with its annual capacity estimated to exceed 16 GWh by the end of 2023.
Lotus Tech’s 2022 ESG Report was developed in accordance with the Global Reporting Initiative (GRI) Sustainability Reporting Standards, and with reference to mainstream ESG rating indices including the Morgan Stanley Capital International (MSCI) ESG index and the Sustainability Accounting Standards Board (SASB) Standards.