How Mercedes-Benz is Driving Down Emissions with EVs

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Mercedes-Benz is aiming to electrify its entire fleet of vehicles. Credit: Mercedes-Benz
Mercedes-Benz has been named 33rd in Sustainability Magazine’s Top 250 World’s Most Sustainable Companies 2025 for its commitment to electrification

In 2023, private cars and vans were responsible for around 10% of global energy-related carbon emissions, according to the International Energy Agency.

Many vehicle manufacturers, including Mercedes-Benz, have been working towards electrification in the vehicle sector in order to reduce the impact on the environment.

Mercedes-Benz has been named 33rd in Sustainability Magazine’s Top 250 World’s Most Sustainable Companies 2025.

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Mercedes-Benz’s Ambition 2039 goals

The sustainability strategy at Mercedes-Benz centres around Ambition 2039, which aims to make its entire fleet of new vehicles net carbon neutral along the entire value chain by 2039.

To achieve this milestone, the company is working towards the electrification of the vehicle fleet, using renewable energy sources to charge vehicles and the decarbonisation of the supply chain.

By 2026, Mercedes-Benz pledges to have invested more than €60bn (US$69bn) into the transformation of its fleet to meet the demands of the industry.

The company’s own vehicle production locations achieved net carbon neutrality in 2022 and it plans to cover more than 70% of its energy needs through renewable energy by 2030.

It aims to introduce solar and wind power at its sites and source the rest of the energy through power purchase agreements.

Its goal is for all of its production plants globally to be powered by 100% renewable energy with zero carbon emissions by 2039.

Ulf Zillig, Head of Group Research, Sustainability and RD Functions at Mercedes-Benz, says: “We are the inventor of the automobile and Mercedes-Benz is one of the world’s most valuable brands.

Ulf Zillig, Head of Group Research, Sustainability and RD Functions at Mercedes-Benz

“It is our responsibility to carry this legacy into the future.

“Our most important task right now, during our company’s most far-reaching transformation phase, is to set the course for a successful and more sustainable future and make the right decisions to achieve this.

“With Ambition 2039, we are tackling one of our most important sustainability goals: decarbonisation.”

Closing the material supply chain cycle

Mercedes-Benz is working towards closing its material cycles to increase the use of secondary raw materials in its vehicles.

Through this, it aims to reduce the overall consumption of raw natural resources and advance the circular economy.

It is using lightweight construction to make its vehicles more economical and efficient by conserving resources.

Mercedes-Benz has implemented a four step plan to extend its value chain and keep materials in use for longer.

  • Rethink: optimising the design of vehicles to ensure that they are durable, repairable and recyclable
  • Reduce: reducing the use of raw materials and energy to minimise environmental impact
  • Repair: extending the lifespan of products by setting up workshops and service centres to perform repairs and maintenance
  • Recycle: recovering valuable raw materials to be integrated into new vehicle production

Mercedes-Benz relies on sustainable supply chains for its electric fleet and ensures that there is responsible use of raw materials from the start of production.

Its goal is for its products to only contain materials that have been mined and produced without violating human rights and environmental standards.

Renata Jungo Brüngger, Member of the Board of Management for Integrity, Governance and Sustainability at Mercedes-Benz, says: “This isn’t just about recycling, it’s about changing how we source materials.

Renata Jungo BrĂźngger, Member of the Board of Management of Mercedes-Benz Group for Integrity, Governance & Sustainability

“By reducing primary resources and focusing on a circular economy, we’re minimising our environmental impact.

“For me, it underscores the importance of combining technological innovation with resource efficiency.

“It’s a testament to our commitment to a more sustainable future of mobility at Mercedes-Benz.”

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