CATL Achieves Carbon Neutrality in Core Business by 2025 and Aims for Full Value Chain by 2035

CATL Sets Milestones for Carbon Neutrality

On August 17, 2026, CATL, the leading battery manufacturer, announced a significant milestone: the completion of its carbon neutrality goal across all core business operations by 2025. With this, all 20 of its battery manufacturing plants have been certified as carbon neutral. The announcement signifies not just an achievement in corporate responsibility but also a strategic move towards sustainable growth.

Chairman and CEO Robin Zeng emphasized the importance of this transition, stating, "For CATL to contribute to global CO₂ regulations, it must first demonstrate the feasibility through its industrial practices." As global efforts intensify towards achieving net-zero emissions, CATL believes that carbon-neutral batteries will soon become a necessity rather than an option.

Key Initiatives and Plans

In conjunction with announcing its achievement, CATL introduced an action plan aimed at full carbon neutrality for its entire value chain by 2035. The company has urged its global partners to accelerate efforts in decarbonizing the battery value chain. Starting in 2027, suppliers will be required to submit data on their CO₂ footprints as part of the procurement policy. Furthermore, CATL will offer better terms to suppliers with strong CO₂ performance.

Jiang Li, Vice President and head of Corporate Sustainable Development at CATL, outlined the six key zero-carbon initiatives that will guide this transition. A significant aspect of the plan involves the implementation of the CATL Carbon Chain Management System (CCMS), which was developed internally to monitor and calculate CO₂ emissions across its operations. Since 2012, CATL has explored every facet of carbon-free manufacturing, culminating in this comprehensive system. As of now, CCMS captures emissions data from over 1,000 product and raw material models across its production lines and key suppliers.

Achievements and Future Goals

By 2025, 100% of electricity consumption in CATL’s core operations will be powered by CO₂-free sources, having consumed over 18 billion kWh of such energy cumulatively since 2023. The company recorded a 28% reduction in energy consumption per product compared to 2022, placing it below the industry average. Moreover, there was a significant 77% decrease in CO₂ emissions intensity during this period. CATL's efforts have cumulatively reduced over 10 million tons of CO₂-equivalent emissions between 2023 and 2025, equating to the national CO₂ emissions of Brunei for that year.

This milestone not only fulfills CATL's commitment to carbon neutrality but also sets a benchmark for the lithium-ion battery industry, emphasizing the necessity of sustainable practices in manufacturing.

Roadmap to Complete Value Chain Carbon Neutrality

Significantly, over 80% of CO₂ emissions throughout CATL’s product lifecycle are generated from the supply chain, illustrating that total emissions from the value chain far exceed those originating from core operations. Bryan Huang, Head of the Procurement Center, confirmed CATL's commitment to spearheading decarbonization in key areas such as material innovation, manufacturing, eco-friendly logistics, and battery recycling.

CATL has initiated efforts to gather baseline CO₂ data from over 100 Tier-1 suppliers, aiming for complete data coverage across its main supply chain components. The company structured its emission reduction according to four pillars:
1. Material and Process Innovation - Focused on using environmentally friendly materials and carbon-light processes, especially in anode production.
2. Material Manufacturing - An initiative to shift energy consumption in upstream raw material production to renewable sources by 2035.
3. Green Logistics - Promoting CO₂-free logistics throughout the entire battery supply chain by leveraging advanced battery technology.
4. Battery Recycling - Expanding a global battery recycling network through partnerships like Brunp Recycling.

Empowering Suppliers and Green Procurement

To support its suppliers in undergoing necessary transformations, CATL will introduce Green Procurement Guidelines, mandating that new suppliers provide CO₂ footprint data for their products. Additionally, energy efficiency measures will be included in annual supplier assessments. Under equitable conditions, suppliers with superior CO₂ performance will be prioritized.

As part of this commitment, CATL will launch its Zero-Carbon Supply Chain Empowerment Initiative, collaborating with an initial group of 30 core suppliers on comprehensive decarbonization efforts. The shift towards a CO₂-free economy presents significant growth opportunities for CATL.

The company is heavily investing in CO₂-free mobility solutions, renewable energy, and the electrification of industries, with multiple application scenarios already in progress. By working with global partners, CATL aims to expand the CO₂-free economy, accelerate the global energy transition, and contribute to a more sustainable future.