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Our Response to Climate Change

Carbon Neutrality Declaration

Our goal is to mitigate our carbon emissions by 97% compared to the level of 2019 by 2045. As for the remaining amount, we will come up with offset measures, thereby reaching net-zero emissions in all stages from supply and manufacturing to logistics, use, and disposal.

Sustainable Energy

Higher energy efficiency,
conversion to renewable energy

Sustainable Mobility

Development of green products
and wider distribution of them,
encouraging car bon mitigation
within supply chain

Sustainable Planet

Establishment of a recycling
virtuous circulation system

Roadmap for Carbon Neutrality

Declared our commitment to carbon neutrality (November 11, 2021)

Phase 1 2022~2025

Lay the foundation for carbon neutrality

build a carbon neutrality implenentation system (by 2022)
  • Select goals and strategic tasks by value chain
  • Establish a system to operate and manage tasks to achieve net-zero
Advance the strategies for carbon neutrality (by 2025)
  • Draw up a management system (KPI, system, etc.) and expand to overseas operations
  • Manage carbon reduction performance and reexamine the mid-to long-term goals and directions

Phase 2 2026~2040

Take a leap towards a leading player in carbon neutrality

Accomplish reduction targets by value chain
  • Achieve RE 100 in business sites (overseas by 2030, domesitic by 2040)
  • Reash 100% electrification in Europe (by 2035) and other key markets (by 2040)

Phase 3 2014~2045

Reach carbon neutrality

Transition to coal phase-out and offset the remaining emissions
  • 100% global electrification
  • Expand the use of eco-friendly energy sources (hydrogen, etc.)

Phased Targets for Achieving Carbon Neutrality by 2045

  • 4.5% by 2022
  • 10% by 2030
  • 35% by 2035
  • 70% by 2040
  • 100% by 2045

LCA (Life Cycle Assessment)

Kia strives to achieve zero carbon emissions during the vehicle operation stage through the introduction of EVs. However, the carbon emissions of automobiles should take into account not only the direct emissions that arise during the operation stage, but also the indirect emissions that emerge throughout the entire process, from raw material extraction, component fabrication, vehicle assembly, energy source production, maintenance, disposal, and transportation between each stage.

We are performing a life cycle assessment (LCA) to appraise and measure the environmental impact in a holistic manner. Through the outcomes of the life cycle assessment, we examine the influence of each stage, determine the enhancement priorities, and devise a carbon reduction strategy.

Range of Carbon Emission Calculation Based on Product Lifecycle

Kia’s Climate-related financial Disclosures

With extreme weather events occurring more frequently due to global warming in recent years, there has been increased awareness of the seriousness of climate change. The international community adopted the Paris Agreement in 2015 to tackle climate change and promised to hold the increase in the global average temperature to below 2°C above pre-industrial levels. Under these circumstances, in 2015, the Financial Stability Board (FSB), an international financial organization, launched the Task Force on Climate-Related Financial Disclosures (TCFD) to demand that companies disclose climate-related information.

Then, in 2017, the TCFD presented recommendations on the key elements of disclosures so that the information could be communicated by companies worldwide according to a consistent standard. The TCFD recommendations require transparent disclosure of information in four areas: governance, strategy, risk management, and metrics and targets related to climate change.

TCFD (Task Force on Climate-related Financial Disclosures) (PDF)

TCFD recommendations


Disclose the organization’s governance around climate-related risks and opportunities.


Disclose the actual and potential impacts of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning where such information is material.

Risk Management

Disclose how the organization identifies, assesses, and manages climate-related risks

Metrics and Targets

Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities where such information is material.

TCFD timeline

December, 2015

Launch of the TCFD

June, 2017

Announcement of the TCFD

December, 2020

Kia declaring support for the TCFD

March, 2021

Kia’s first disclosure in response to the TCFD

November, 2021

2045 Carbon Neutrality

April, 2022


Business stakeholder management according to climate change perspective

When financial contributions are made on associations, Kia manages nature of the organization, details/purpose of expenditure, and activities that meet the purpose of the expenditure with the Finance and accounting division for association expenses that the company spends.
These expenditures are thoroughly reviewed and managed through the department that executes the contribution > general management department > management level > board of directors.

In particular, we monitor the status of ESG agendas of associations, including activities related to climate change and Kia expects those institutions to act in accordance with the Paris Agreement and other global ESG-related standards and frameworks. If the organization's activities do not conform to the Paris Agreement, it can be monitored and the association can be asked to conduct corrective actions accordingly.

Achieving RE100

Replacing 100% of Production Base Electricity with Renewable Energy by 2040

As an automaker, we are transforming our manufacturing environment to be eco-friendly in order to gradually reduce our carbon emissions. In particular, in April 2022, we joined RE100, a global initiative to cover 100% of the electricity used by companies with renewable energy.

With an objective to achieve RE100, we have set a goal of replacing all electricity in our production bases with renewable energy by 63% by 2030 and 100% by 2040. Kia has been already making concrete steps to reach its RE100.

Roadmap to Achieve RE100

RE100 Portfolio of All Business Sites

1. Guarantee of Origin Certification
2. Power Purchase Agreement
3. Virtual Power Purchase Agreement
4. Renewable Energy Certificates

CDP Korea Awards Climate Change - Carbon Management Sector Honors, Water Security - Award for excellence

Acknowledged as the Excellent Company in Water Resource category, also won Sector Honors Award in Climate change category for four consecutive years at the 2022 CDP Korea Awards.

CDP Climate Change 2022 Excerpt(PDF)