Update on Halifax Serval Cat | SaltWireBERLIN - Automakers and suppliers are deprioritising sustainability initiatives in their sourcing policies and focusing on lowering exposure to geopolitical risk after years of supply chain turmoil, a survey of over 1,000 executives showed on Monday.
The average amount suppliers are investing in sustainability initiatives has fallen to $30.5 million in 2023 from $36.6 million in 2022, it said. One-third of all companies surveyed said they did not have a comprehensive sustainability strategy. "The need to maintain continuity of operations will take priority over, for example, initiatives to measure carbon footprints, cut emissions through route optimization, or increase traceability," Capgemini said in its report.
The results chime with statements from executives across the auto industry in recent months on the ongoing fallout in their supply chains from the coronavirus pandemic and geopolitical tensions, semiconductor shortages, and rising costs.