Volvo Introduces Renewable Fuel for Maritime Transport, Industry First

CO2 Emissions Reduced by 84%... Annual Decrease of 55,000 Tons

Volvo Cars announced on the 5th that it will be the first global automobile manufacturer to switch the fossil fuels used in maritime cargo transportation to renewable fuels.

The renewable fuel replacing fossil fuels is Fatty Acid Methyl Ester (FAME), which excludes palm oil and raw materials related to palm oil production, and is made from renewable and sustainable raw materials such as waste cooking oil. The company plans to expand the use of renewable fuels to all parts distribution.

According to the company, this is expected to immediately reduce CO2 emissions from intercontinental maritime cargo transportation by up to 55,000 tons annually. This figure represents about an 84% reduction compared to fossil fuel use and is similar to the amount of CO2 emissions generated when one truck drives around the equator approximately 1,200 times.

[Photo by Volvo Cars Korea]

So far, the company has collaborated with logistics partners such as Denmark's Maersk, Switzerland's Kuehne+Nagel, and Germany's DB Schenker to use renewable fuels for all container transportation of Volvo Cars' production materials since June 1. In cases where renewable fuels cannot be used for specific shipments, a third-party audited mass balancing method is applied to use renewable fuels allocated to other transports utilizing the logistics partners instead.

Volvo Cars aims to reduce the carbon footprint per vehicle lifecycle by up to 40% between 2018 and 2025 and plans to cut CO2 emissions across all operations, including logistics, by 25%. The company targets climate-neutral production by 2025 to become a climate-neutral company by 2040.

Xavier Vallera, Chief Operating Officer (COO) and Vice President of Volvo Cars, stated, “Renewable fuels are not the ultimate solution to eliminate CO2 emissions in global maritime transport, but they are a solution that can be implemented immediately to achieve an important milestone until new alternatives are developed. We hope this movement will not only be a competitive advantage but also increase demand for carbon-efficient marine transport and lead other manufacturers to participate in expanding the adoption of renewable fuels as an effective interim solution. We all have a responsibility to act.”

This content was produced with the assistance of AI translation services.