Current news reports don’t make for easy reading. In June of this year, nearly 5 billion people endured nine days of extreme heat, as climate change fueled scorching temperatures across the globe.

Closer to home, the World Health Organization reported that heat is the leading cause of climate-related deaths in Europe, estimating that 175,000 deaths per annum are now caused across the continent. In the US, heat-related deaths have steadily increased for nearly a decade, with over 2,300 deaths in 2023—more than twice as many as in 2020. With human caused emissions of CO2 and other greenhouse gases being the primary drivers of the global rise in temperatures, the need for decisive action is paramount.

The positive news is that through innovation and collaboration, sustainability barriers can be overcome and progress towards net-zero accelerated. We see this in action as industry and service providers worldwide respond collaboratively to market drivers for transparency and emissions reductions, viewing them as opportunities for collective progress and risk mitigation.

Take Talon Metals for example. In partnership with Circulor, they are fulfilling their commitments to producing nickel and copper concentrates at the highest possible standards, such that the provenance, production standards and CO2 intensity can be traced all the way from mine to recycling and then accounted for in its many future uses.

Likewise, Volvo Cars is leading by example. With an ambition to be net zero in their value chain by 2024, earlier this year they launched the Volvo EX90. This is the world’s first EV to come equipped with a battery passport, powered by Circulor, containing end-to-end primary data about the battery’s raw materials, components, recycled content and carbon emissions.

Polestar too is on a mission to become a leading premium brand with sustainable, climate neutral products, and they’re already evidencing results. Their 2023 sustainability report announced a further 8% reduction in relative CO2-e emissions in 2023 following a 6% reduction in emissions per car produced in 2022, citing supply chain visibility and transparency as a key enabler.

Change is underway but making a pivotal difference requires organizations to implement transformative solutions that measure, monitor and reduce the environmental impact across their supply chains – and to prove it.

We look forward to continuing to bring you these global insights here, as well as on circulor.com and LinkedIn. More on the latest global traceability trends below.

What we're reading...

GM and Samsung SDI finalize joint venture

General Motors and Samsung SDI have finalized their plans to jointly construct a gigafactory in Indiana, highlighting U.S. automakers' confidence in EV demand. This agreement further bolsters the US battery supply chain, which has seen a surge in investment to localize production since the introduction of the Inflation Reduction Act in 2022. According to Benchmark’s Lithium-ion Battery Database, battery cell demand in North America is projected to grow by 25% in 2024 and more than triple by 2030.

Supercharging EV demand

China's 'cash for clunkers' trade-in program, similar to initiatives in countries such as the U.S., could significantly accelerate EV demand in the coming months, bolstering battery supply chain growth and manufacturing (BloombergNEF). Last month, the government announced a doubling of trade-in subsidies, allowing consumers to receive 20,000 yuan ($2,760) for scrapping an older, high-emission vehicle and replacing it with an EV which could push total battery-powered vehicle sales to over 10 million this year.

Electra awarded $20m from U.S. Department of Defense

Electra Battery Materials announced receiving $20m from the U.S. Department of Defense under the Defense Production Act to build North America's only cobalt sulfate refinery. Located in Ontario, the refinery will support over 1 million EVs annually and have the world’s lowest carbon footprint. The funds will also help Electra expand its battery material production, strengthening the North American supply chain.

Germany to invest $3.7b in industry transition and carbon storage

Germany's Economy Ministry announced a €3.3b ($3.7b) initiative to decarbonize industry, focusing on innovative solutions like carbon storage in offshore sites. This follows the ‘carbon contracts for difference’ program aimed at helping heavy industries transition to sustainable methods. The funding supports sectors like cement where emissions are hard to avoid, and is part of Germany's plan to achieve net-zero emissions by 2045.

Are Greenland’s critical raw materials the key to the EU’s net-zero future?

Greenland has significant untapped potential for 25 critical minerals on the EU’s list, including rare earth elements and graphite. In November 2023, the EU formed a Strategic Partnership with Greenland to develop its mining sector, but several challenges remain, including its remoteness, lack of infrastructure and regulatory barriers. Think Tank Europa reports that while the political vision is strong, significant EU support is needed to make Greenland a viable source of critical raw materials.

Europe’s battery recycling potential

By 2030, Europe will have nearly 120 GWh of battery feedstock for recycling, increasing fourfold by 2040. Recycled materials could meet up to 40% of battery demand by 2030 and up to two-thirds by 2040. According to Transport & Environment, achieving this requires expanding recycling facilities through significant industrial and political support.

What we're sharing...

‘Why your next car might have a ‘battery passport’’

In conversation with Circulor’s Ellen Carey, James Bikales and Jordan Wolman of POLITICO unpack the motivations for battery passports on both sides of the Atlantic. Battery passports, such as that in Volvo Cars flagship EX90, are QR codes containing information on a battery’s origins and recycling potential that can greatly simplify the task of tracing EV minerals from the mine to the showroom floor. Read more.

Why a neutral third-party is essential for supply chain transparency

The push for clean energy is driving the need for digital traceability in supply chains to ensure responsible sourcing. Independent third-party providers, such as Circulor, are crucial as they offer secure, neutral platforms for verifying supply chain data - ensuring transparency, compliance, and credibility, while helping businesses meet sustainability goals. Read more.

Proving recycled materials with Circulor’s PROVE platform

The EU’s Ecodesign for Sustainable Products Regulation requires that products sold on the European market prove increasing volumes of recycled content to back-up claims. Circulor’s material traceability solution enables businesses to prove where, when, and how recycled materials enter the supply chain. and the percentages of recycled content in downstream products. Watch this step-by-step demo of Circulor’s PROVE platform, which brings evidencing of the tracking and proving of recycled materials to life.

Timelines and concerns of digital product passports

Circulor’s Jess Green discusses EU regulations requiring digital product passports, starting with battery passports by February 2027. She explains how Circulor’s traceability and battery passport solutions remove the hurdle for customers when it comes to gathering, organizing and sharing the data required to comply with the Battery Regulation, by unifying obligations in one platform and enabling the secure sharing of data with different stakeholders. Read more.