Climate

We are committed to reducing greenhouse gas emissions in line with the 1.5°C warming scenario, which is the most ambitious goal of the Paris Agreement.

The heavy material handling industry, in which Kalmar operates, has a significant carbon footprint, as the majority of the equipment used in the industry still runs on fossil fuels. Our biggest climate impact and, consequently, mitigation potential, lies in our value chain, as value chain emissions constitute more than 99 percent of our total emissions. 

We are committed to reducing greenhouse gas emissions in line with the 1.5°C warming scenario, which is the most ambitious goal of the Paris Agreement. Our near-term target is to reduce scope 1 and 2 emissions by at least 90 percent, and scope 3 emissions by at least 40 percent by 2030, with 2023 as the baseline year. The long-term target is to achieve net zero by 2045. To drive our climate ambition and emission reductions in practice, we take action in all parts of our value chain: in the upstream; in its own operations; and in the downstream.

Our biggest emission reduction potential lies in our downstream, as greenhouse gas emissions related to the use of sold products constitute approximately 77 percent of our total emissions. The second biggest reduction potential lies in our upstream, within the purchased goods and services category, which forms approximately 19 percent of our total emissions. Due to the light assembly-only operations, the impact of Kalmar’s own operations is relatively minor: under one percent of our total greenhouse gas emissions.

In the downstream of the value chain, greenhouse gas emissions arising from the use of sold products are high, due to the product's long lifetime and the use of diesel engines. Therefore, increasing the sales of the Eco Portfolio plays a vital role in decarbonising our downstream, as the eco portfolio includes the equipment and services that improve customers’ sustainability, through electrification and lifecycle solutions. 

In the upstream of the value chain, the manufacturing of steel structures for Kalmar’s equipment is the major contributor to greenhouse gas emissions in the purchased goods and services category. Therefore, Kalmar strives to secure early access to low-emission steel on the market and increase the share of it used in the equipment. 

Within its own operations, the majority of the company's greenhouse gas emissions originate from the fuel used by the company’s service fleet, and from the consumption of electricity at its facilities. Kalmar seeks to transform its own operation by phasing out fossil energy and improving the energy efficiency of its own facilities. In order to reach carbon neutrality, Kalmar plans to increase remote services and transition to low or zero-emission vehicles in its service fleet as well as heavy lifting equipment used in factories. Kalmar also plans to increase the share of fossil free electricity in its operations.