Volvo Group Annual and Sustainability Report 2020

The future of transportation & infrastructure

Volvo Group’s products and services are used predominantly within the transportation or infrastructure industries and range from trucks, buses, and construction equipment to financing and power solutions for marine and industrial applications. Headquartered in Gothenburg, Sweden, they employ nearly 100,000 people to serve customers in more than 190 markets and produce more than 2.8 million vehicles and equipment that operate on or off-road.

Their focus is driving prosperity socially, environmentally, and financially—and they are striving to do this through transport and infrastructure solutions that are 100% safe, 100% fossil-free, and 100% more productive. During 2019 and 2020, Volvo Group updated its strategic framework to drive sustainability and performance to revolve around climate, resources, and people. A key part of achieving their ambitions in the climate area is developing and offering electric trucks, buses, construction equipment, and drivelines.

Achieved 52% renewable energy in production in 2020
In 2020, freight CO2 emissions per produced unit were 24% below 2013 baseline
Targeting 35% electric vehicle sales by 2030
Started production for the first 2 construction equipment electric models
From 2021 onwards, Volvo Trucks will sell a complete range of battery-electric trucks
Volvo battery-electric trucks have a range up to 300 km (depending on configuration)
306 electrified buses sold in 2020
1,260 activities have been implemented to save 207 GWh of energy per year from 2020
Their new service “Efficient Load Out” reduced transports by 13%
100 transport and infrastructure solutions with customers to be implemented by 2025

43 million

tons of CO2 emissions have been saved from 2015 to 2020

65%

targeted renewable energy by 2025

The past year really highlighted the need to be able to both perform here and now and at the same time transform and build for the future.

Martin Lundstedt, President and CEO

As one of the world’s largest manufacturers of heavy-duty trucks, construction equipment, buses, and heavy-duty combustion engines, Volvo Group is committed to shaping the future landscape of sustainable transport and infrastructure solutions. Their position as a global leader enables them to drive the development of electrified vehicles and machines as well as automated solutions for the benefit of customers, society, and the environment.

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They have emphasized their commitment to the climate agreement adopted in Paris, and they are joining the Science Based Targets initiative in order to be transparent about developments. In the next few years, they predict electrification will take off across segments, markets, and regions—and are able to reduce development time and costs to enter the market faster with new offers. To get them there, they have the advantage of manufacturing different variants on the same assembly line to scale volumes up quickly when conditions are right.

Their holistic approach to connected, electric solutions has opened up new discussions with their customers about how to work together to make the logistics chain even more efficient.

“The interest from our customers is great, and they see the benefits of working with vehicles and machines that drastically reduce emissions and offer a quieter and better working environment for both drivers and the environment.”

Martin Lundstedt, President and CEO

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