Volvo Group is committed to becoming a climate-neutral company by 2040, and this commitment includes its supply chain & global suppliers from India. In 2022, Volvo Group developed and started sourcing Fossil Free Castings from India. Today, Volvo Group has set a new milestone, expanding its fossil-free sourcing in India to additional components. The fossil-free components from Indian supply partners will be part of Volvo Group Trucks and potentially reduce CO2 emissions by 13,000 tons annually.

Volvo Group has collaborated with two key supply partners from Chennai, India – Rane (Madras) Ltd and Madras Engineering Industries Private Limited (MEI) in this endeavor.

In collaboration with Rane (Madras) Ltd, Volvo Group has developed fossil-free tie rods and linkages, essential components that steer the wheels of Volvo trucks. These products are manufactured using 100% renewable energy across the supply chain, eliminating the use of fossil fuels, and hazardous materials. The innovative approach also includes the use of fossil-free steel and electric vehicles for material movement, ensuring a truly sustainable production process.

Volvo Group has also collaborated with Madras Engineering Industries Private Limited (MEI) to create fossil-free ferrous castings, another critical component of vehicles. These castings, subjected to extensive stress and fatigue, are produced using 100% renewable energy and 100% metallic scrap without virgin materials like pig iron. The process is entirely landfill-free and devoid of toxic elements, resulting in products that are 100% recyclable.

The tie rods and linkages developed with RANE are estimated to lower CO2 emissions by 600 tons annually for Volvo. If implemented across other supply partners producing similar components, the reduction could amount to several thousand tons per year. Similarly, MEI’s fossil-free castings are expected to cut emissions by 12,400 tons of CO2 annually for Volvo, with the potential for broader industry impact if adopted by additional supply partners. Components from both supply partners are set to be introduced in Q1 2025.

The products manufactured in India have been certified by the Confederation of Indian Industry’s (CII) Green Products & Services Council, earning GreenCO and GreenPro certifications. These certifications affirm the products’ adherence to global sustainability standards and compliance with country-specific policies.