The Next Frontier for EVs: Decarbonising the Supply Chain

Transform: Auto, the collaborative supplier decarbonisation programme, is set to expand its operations from North America into Europe, Turkey and Morocco.

This move, led by Trio and Suppliers Partnership for the Environment (SP), could represent a key moment for creating sustainable supply chains within the global automotive sector, particularly as it moves towards electric vehicle production.

Having engaged with more than 800 suppliers in North America during its first two years, the programme’s expansion is timely. Automotive companies face increasing regulatory and commercial pressure to reduce Scope 2 emissions, which are indirect emissions from the generation of purchased electricity. For an industry built on the promise of clean energy, addressing this is becoming critical.

Joey Lange, Senior Managing Director, Sustainability and Clean Energy at Trio, explains: “This expansion indicates a larger industry trend – that supply chain sustainability is not slowing down.”

Aligning suppliers with renewable energy goals

The core of the initiative is to equip suppliers with the knowledge to lower their indirect emissions. This is achieved through providing free educational resources, practical tools and access to optional renewable energy purchasing groups, known as buyers’ cohorts, which are facilitated by Trio.

Joey continues: “When automakers and suppliers sharpen focus and share learnings on renewable energy deployment and efficiencies across regions, the impact on industry-wide emissions can be substantial.”

The expansion ensures that suppliers in these new regions can receive market-specific advice. This is particularly relevant for navigating complex European frameworks such as the Corporate Sustainability Reporting Directive (CSRD), which places greater transparency demands on companies operating within the EU.

The initiative will now be active across all 27 EU member states, the UK, Turkey and Morocco, all of which contain important automotive manufacturing hubs.

Navigating regional energy and regulatory markets

Each region will get a tailored approach to engagement based on the specifics of its local energy market, regulatory environment and the existing sustainability maturity of its suppliers. This bespoke support structure is designed to accelerate the adoption of cleaner energy sources throughout the supply chain.

“Collaboration will continue to be the path forward when it comes to advancing supply chain efficiency through decarbonisation objectives,” Joey adds.

The programme is sponsored by a collection of major automotive players, including Cummins, Ford, GM, Honda Development & Manufacturing of America, Magna and Toyota Motor North America.

This backing signals a multi-year commitment from these original equipment manufacturers (OEMs) to guide their suppliers through the ongoing energy transition.

Ahmed Elganzouri, Global Director, Sustainability and Energy at Magna, comments: "As Magna works toward its long-term decarbonisation goals, renewable energy remains a key focus across all our regions.

“The expansion of Transform: Auto into Europe strengthens the collaboration needed to support suppliers in navigating regional renewable energy pathways and advancing our shared sustainability ambitions.”

Building a resilient zero-emission supply chain

The value of a unified industry approach was also noted by Ford.

“Ford is proud to invest in Transform: Auto, which will provide suppliers with tailored guidance and expert support to help them reach carbon-neutrality targets,” states Liz Door, Chief Supply Chain Officer at Ford.

She adds: “It’s a testament to Ford’s belief in the power of collaboration.”

General Motors, which works with more than 140 Tier 1 suppliers in Europe, views the programme as having a systemic impact on the industry’s ability to deliver a truly clean future.

Cassandra Garber, GM Chief Sustainability Officer, says: “Automotive suppliers and OEMs unite for zero-emissions action. We’re supporting the expansion of the Transform: Auto programme to Europe because the road to a zero-emission future is built on collaboration.”

Cassandra emphasises the tangible benefits for the companies involved: “When suppliers produce more with less energy and reliable, cost-effective electricity, the entire supply chain becomes stronger. They can lower operating costs, improve electricity volatility, and reduce risk – plus create new jobs and tax revenue in the communities where they operate.”

She adds that the programme “meets suppliers where they do business, offering practical tools and pathways so they can navigate renewable energy decisions with more clarity and confidence”.