Nature Positive Role of the Automotive Sector

Introduction Most top companies have climate targets, yet only 12% have one for biodiversity, despite the global economy’s dependency on nature. Nature is at a tipping point. Today, the resources humanity uses are equivalent to that of 1.75 Earths. This means that the ecological footprint, a measure that sums up the demands for biologically productive areas like food, timber, fibre, carbon sequestration and infrastructure, exceeds the Earth’s capacity by 75%.8 Achieving net-zero emissions and halting biodiversity loss are highly interdependent priorities for both society and business. Climate change is one of the five key drivers of biodiversity loss,9,10 and in turn, land-use change, principally agricultural commodity-driven deforestation, contributes 12- 20% of global greenhouse gas (GHG) emissions.11 At the same time, efforts to tackle climate change cannot succeed without safeguarding nature. It is estimated that 37% of the emissions reductions required by 2030 to keep global temperature increases under 2ºC will come from nature-based solutions.12 Recognizing the link between climate change and nature, standard setters are increasingly looking to align efforts, as seen in the linkages between the Science Based Targets initiative (SBTi) Forest, Land and Agriculture (FLAG) targets13 and the land targets from the Science Based Targets Network (SBTN).14 Efforts are also being made to integrate social and human rights perspectives to ensure that the nature transition is just, inclusive, and delivers tangible and sustainable benefits for people. In September 2024, the Potsdam Institute for Climate Impact Research (PIK) published the first annual planetary health check, evaluating the status of the nine planetary boundaries – the Earth system processes essential for maintaining global stability, resilience and life-support functions – against safe operating limits. Overall, six out of nine planetary boundaries, such as land system change, freshwater change, and biosphere integrity, have already breached safe levels15 (see Figure 1). of the emissions reductions required by 2030 to keep global temperature increases under 2ºC will come from nature- based solutions. 7 Nature Positive: Role of the Automotive Sector