Standards & Frameworks

SBTi Consults on Revised Automotive Net-Zero Standard Through March 2026

ESG Broadcast Desk· 11 Jun 2026· 2 min read

The Science Based Targets initiative has released an updated draft of its Automotive Sector Net-Zero Standard for a second public consultation running from 3 February to 22 March 2026. The revised draft focuses on enhanced alignment with the Corporate Net-Zero Standard V2 and provides greater specificity on use-phase vehicle emissions, which account for 70 to 80% of an automaker's total carbon footprint.

The second draft of the Automotive Standard introduces several key changes from the first consultation version. Low-emission vehicles are redefined as zero-emission vehicles to establish clearer boundaries. Automakers may now choose between setting targets based on scope 3 category 11 — use of sold products emissions — or a zero-emission vehicle sales-share metric, while maintaining consistent long-term decarbonisation outcomes. The convergence date used to calculate targets has been extended to reflect differences in infrastructure, technology and regional market conditions. Global aggregated targets for light-duty vehicles are now permitted to streamline implementation.

The automotive sector's transition to net-zero is central to global climate goals, given that road transport is one of the largest sources of energy-related emissions. The Automotive Standard, once finalised, will replace the automotive portions of the SBTi's existing Land Transport Guidance, providing updated sector-specific criteria tailored to both automakers and auto parts manufacturers. The draft reflects extensive feedback from the first consultation as well as input from the Automotive Standard Expert Advisory Group and the SBTi Technical Council.

The consultation represents a key opportunity for automotive manufacturers, parts suppliers, investors and other stakeholders to shape the final standard before it is adopted. India's automotive sector — one of the largest in the world and undergoing rapid transition toward electric vehicles — has a direct stake in how the standard defines zero-emission vehicle criteria and implements regional flexibility provisions. Karl Downey, Head of Sector Standards at the SBTi, said the second draft reflects an increased focus on adaptability and usability, with the goal of helping the entire sector manage the net-zero transition.

Key figure — 70-80% of an automaker's emissions footprint from use of sold vehicles

This content is AI-assisted and reviewed by the ESG Broadcast editorial team. It is for informational purposes only and is not investment or ESG-rating advice. See our Technology & Transparency policy.

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SBTi Consults on Revised Automotive Net-Zero Standard Through March 2026 | ESG Broadcast