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Climate Change Strategy
Doing our share to meet the collective challenge of climate change is a key responsibility and a strategic priority for Ford.
Our Strategy at a Glance
A Changing Climate and a Changing World
Over the past decade and more, we have developed a comprehensive approach that puts us in a good place to manage the issues of a changing climate and the opportunities of a changing world.
Reducing Vehicle Emissions in Our Product Lineup
Improve fuel economy across our global product lineup, through specific fleet CO2 reductions assessed by region, consistent with regulation and climate stabilization goals
Offer competitive or “among the leaders” fuel economy for each new or significantly refreshed vehicle
Offer alternative fuel vehicles
Maintain our leadership in lightweighting
Pursue our electrification strategy
Efficient, State-of-the-Art Manufacturing
Reduce our global CO2 emissions by 30 percent (per vehicle produced, 2010 to 2025)
Reduce our global energy consumption by 25 percent (per vehicle produced, 2011 to 2016)
Supporting Our Supplier Base
Drive positive change with our suppliers, through sharing and encouraging good practices focused on energy, CO2, water, waste and air emissions
Engage, improve and report through the CDP and Partnership for A Cleaner Environment (PACE) programs
External Factors, Risks and Opportunities
A Wide Range of Factors Are Continuing to Shape Our Climate Change Strategy
Government Policies
Many governments have introduced increasingly stringent climate change regulations and fuel economy standards. At the same time, innovation in electric vehicles and alternative powertrains is being encouraged, driven by a range of factors including air quality, congestion and future energy security concerns.
Physical Risks
Extreme weather such as flooding and drought can affect automakers’ energy supply and production. Ford assesses climate-related risks to our facilities at least annually. We also work with suppliers through the CDP Supply Chain and PACE programs to build awareness and encourage resilience.
Market Trends
Although consumer demand for advanced engines tends to mirror fuel price movements both up and down, Ford continues to pursue its vision of affordable fuel economy in a low-carbon future.
Investor Concern Over Climate Change
Investors are showing greater concern about climate change as a material risk for many companies.
For detail on a range of other risk factors, see the Ford annual report 2016 (Form 10-K), page 11 (pdf, 13.4MB)