Hyundai, Kia to support partner companies with automated carbon emissions management

Hyundai Motor, Kia headquarters in Seoul / Courtesy of Hyundai Motor Group

By Kim Hyun-bin

Hyundai Motor and Kia will establish a Supplier CO2 Emission Monitoring System (SCEMS) to support their partner companies to better cope with global environmental regulations, Hyundai Motor Group announced Friday.

SCEMS integrates and manages carbon emission histories throughout the entire process, from raw material procurement to the manufacturing and transportation of parts and vehicles. It adopts artificial intelligence (AI) modeling to accommodate the diverse industrial characteristics of hundreds of partner companies.

Upon inputting essential data into the system, the AI automatically provides information on carbon emissions and future predictive values, allowing partner companies to set their own targets and manage reduction activities, which were previously reliant on external experts for carbon footprint calculation due to a lack of specialized personnel.

In addition, SCEMS applies tamper-proof blockchain technology to ensure data reliability and plans to systematically respond to assessments from global environmental, social and corporate governance accreditation agencies in the future.

"The significance of eco-friendly products is gradually expanding to cover the entire product lifecycle and supply chain. It will take the lead in establishing an eco-friendly supply chain across the entire value chain to achieve carbon neutrality,” a Hyundai Motor Group official said.

In February, Hyundai and Kia joined the Carbon Disclosure Project's (CDP) “CDP Supply Chain” program, conducting capacity-building training on carbon neutrality for partner companies facing challenges in their independent response.

Companies participating in the program submit data to CDP, including energy consumption and greenhouse gas emission status, carbon neutrality strategies, progress in goal setting and execution, and plans and achievements related to the renewable energy transition, and undergo evaluations.