
Volvo Cars has reduced CO₂ emissions per car by 31% since 2018, driven by electrification, sustainable manufacturing and environmental initiatives, including ongoing projects in India.

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Volvo Cars has reduced CO₂ emissions per car by 31% since 2018, driven by electrification, sustainable manufacturing and environmental initiatives, including ongoing projects in India.
Volvo has reported its latest progress across its sustainability roadmap, with a strong focus on climate action, circular economy and responsible business practices, as outlined in its Annual and Sustainability Report 2025.
The company has reduced CO₂ emissions per car by 31% compared to its 2018 baseline. This improvement has been driven largely by the growing share of electrified models, including plug-in hybrids, which now account for 46% of global sales. As a result, tailpipe emissions have declined by 42%.
In manufacturing, Volvo Cars continues to reduce its environmental footprint. Seven out of nine production facilities now operate on climate-neutral energy, accounting for 87% of total energy consumption. The company has also surpassed its target of incorporating 25% recycled and bio-based materials in new models by 2025, with the EX60 already achieving 27% recycled content. Additionally, water usage per vehicle has decreased by 29% through efficiency measures across production sites.
Locally, Volvo Car India is contributing to these global efforts through initiatives focused on environmental restoration and sustainable operations. Under its Reverse Project, the company has planted over 35,000 native trees at an urban dump yard in Ghaziabad, achieving a survival rate of 92%. This initiative has helped create an urban forest, contributing to carbon sequestration and oxygen generation. The project is being expanded with the planting of over 20,000 trees at Matri Van in the Aravalli region.
The company’s dealership network is also aligned with sustainability goals, with a focus on solar energy adoption, water recycling and responsible waste management practices. Volvo Cars reiterated its commitment to reducing environmental impact while supporting business growth, in line with its long-term objective of achieving net-zero greenhouse gas emissions by 2040.
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