Ambition 2039

Ambition 2039
Name	Ambition 2039
Type	Sustainability strategy
Launch date	2019
Founder	Mercedes-Benz Group
Area served	Global
Focus	Climate change mitigation, Carbon neutrality, Circular economy

Ambition 2039. It is a comprehensive sustainability strategy launched by the Mercedes-Benz Group with the overarching goal of achieving a carbon-neutral new passenger car fleet within two decades. The initiative represents a fundamental transformation of the company's product development, supply chain, and production processes, aligning with global accords like the Paris Agreement. Named for the timeframe to its target—twenty years from its 2019 announcement—the plan integrates electrification, Renewable energy, and sustainable materials to redefine automotive manufacturing.

Overview

Announced by then-CEO Ola Källenius, Ambition 2039 is positioned as a core pillar of the company's corporate strategy, directly responding to increasing regulatory pressure and societal demand for climate action. The strategy encompasses the entire vehicle lifecycle, from sourcing and production to usage and end-of-life recycling. It is intrinsically linked to the company's broader electric vehicle sub-brand rollout and its significant investments in battery technology. The initiative also acknowledges the European Green Deal and other regional frameworks pushing for drastic reductions in transportation emissions.

Development and launch

The strategy was formally unveiled in May 2019 during a speech at the Automobil Forum in Berlin, signaling a decisive shift from the Internal combustion engine. Its development was influenced by the diesel emissions controversies that rocked the industry, accelerating a turn towards transparency and ESG criteria. The launch coincided with the presentation of the Mercedes-Benz EQC, the first model under the Mercedes-EQ banner, providing a tangible product milestone. This period also saw BMW and the Volvo brand announce similar long-term electrification goals, creating a competitive landscape for sustainable pledges.

Key goals and targets

The central target is a carbon-neutral new passenger car fleet by 2039, which requires eliminating tailpipe emissions and decarbonizing the value chain. Interim milestones include having plug-in hybrid or all-electric vehicles constitute over 50% of car sales by 2030 and making the company's own manufacturing plants carbon-neutral by 2022. A critical component is the "circular" goal, aiming to significantly increase the use of recycled and renewable materials in vehicles. The strategy also sets specific targets for reducing the carbon footprint of its extensive supply network, particularly for high-emission components like battery cells.

Implementation and progress

Implementation has centered on the rapid expansion of the Mercedes-EQ model portfolio, including the Mercedes-Benz EQS and Mercedes-Benz EQE. The company has formed joint ventures for battery cell production, such as with Farasis Energy in China and building new facilities in Untertürkheim. Progress reports highlight the carbon-neutral status of factories in Sindelfingen and Beijing, and the increased procurement of green power through PPAs in Germany and the United States. The Vision EQXX concept car demonstrated extreme efficiency gains, while partnerships with firms like Hydro-Québec aim to secure low-carbon raw materials.

Partnerships and collaborations

The strategy relies heavily on cross-sector alliances to address systemic challenges. Key technological partnerships include collaborations with CATL and Sila Nanotechnologies for next-generation batteries. For renewable energy and hydrogen infrastructure, Mercedes-Benz works with Shell and Iberdrola. The company is also a founding member of the Science Based Targets initiative, ensuring its goals are aligned with climate science. Further collaborations with academic institutions like the Massachusetts Institute of Technology and NGOs such as the World Wide Fund for Nature support research into sustainable materials and biodiversity projects.

Reception and criticism

The initiative has been praised by analysts from BloombergNEF and CDP for its scope and specific supply chain focus, often being cited as more comprehensive than plans from General Motors or Toyota. However, environmental groups like Greenpeace have criticized the 2039 timeline as insufficiently urgent compared to the climate crisis, advocating for a faster phase-out of combustion engines. Some industry observers question the feasibility of fully decarbonizing complex global supply chains, particularly in regions like Asia where coal-fired grids dominate. The strategy remains a benchmark within the Stuttgart-based industry, constantly measured against evolving policies from the European Commission.

Category:Corporate sustainability Category:Automotive industry Category:Climate change initiatives