Educate customers, support downstream network and scale up transition infrastructure To de-risk commitments and tackle nature- impacts across the value chain, companies can: –Educate and support customers to make more environmentally friendly choices.236 This can be achieved, for example, by producing an accurate reflection of products’ carbon footprints and other nature-related impacts (such as water use) in prices and labelling either in dealerships or in-app for mobility-as-a-service models. Alternatively, companies can collaborate with downstream distribution networks to support customers in identifying appropriately sized vehicles and battery ranges, and understanding availability of charging infrastructure to combat range anxiety. –Engage with downstream distribution and aftersales network, and help them to deploy site-level biodiversity assessment and develop management plans across all owned land, starting with priority sites. –Support scale-up of energy grid integration infrastructure, including smart charging and vehicle-to-grid technology. For example, BMW Group, General Motors, Honda, Hyundai, Kia, Mercedes-Benz and Stellantis have formed a new charging network joint venture that aims to expand access to high-powered charging in North America by installing at least 30,000 charge points.237 Volkswagen Group’s Electrify America covers more than 4,250 fast chargers in North America.238 In collaboration with other automotive companies, call on governments to strengthen nature-related policy Automotive companies have a role to play in collectively calling for more progressive policies and regulations that set the minimum standards for the sector. Indeed, companies can advocate for governments to:239,240 –Incentivize rapid deployment of zero and low-emission vehicles, for example, through the provision of preferential access to premium urban locations and parking, supported by structured fees (which are cheaper for EVs or other low-emissions vehicles). –Accelerate technological development to increase scale, and incentivize industry consortium efforts to invest in circular materials production (prioritizing batteries, aluminium and steel), materials and energy decarbonization, advanced recycling and sorting technologies (including enabling recycling of EOL batteries and vehicles), flexible production technology (e.g. 3D printing), alternative drivetrains, product passports and mobility platforms. –Support sustainable critical mineral supply. In particular, countries considering relocating extraction and processing should assess trade-offs and risks, weighing the benefits of increasing supply security against the potential environmental implications . WWF analysis shows relocating lithium and nickel refining processes can either increase or decrease in GHG emissions impact by a factor of five.241 –Enable data transparency and sharing efforts for automotive value chain actors, re-examining the underlying premise of anti- trust regulation and how it fits into a world of scaling clean technologies. Achieving this goal will require immense collaboration across the supply chain and between competitors. –Incentivize leasing, subscription and mobility-as-a-service models to optimize materials efficiency and energy consumption. See the World Economic Forum’s The Road Ahead: A policy research agenda for automotive circularity for more detail on how to adapt policy tools to promote circularity, material and energy efficiency and support sustainable markets for circular cars and services, and Paving the Way: EU Policy Action for Automotive Circularity for a European-specific policy roadmap. Automotive companies have a role to play in collectively calling for more progressive policies and regulations that set the minimum standards for the sector. Nature Positive: Role of the Automotive Sector 39

Nature Positive Role of the Automotive Sector