Dongfeng Motor Group 

No leading practices were identified for this company.

No leading practices were identified for this company.

No leading practices were identified for this company.

No leading practices were identified for this company.

The company discloses its scope 1 and 2 emissions for 2021-2023 and has set a short-term target to reduce its scope 1 and 2 emissions intensity. However, this target could not be assessed due to missing data regarding baseline emissions. The company also does not disclose its upstream and downstream scope 3 emissions and has not set a target that includes these emissions. The company should provide more transparent data disclosure and develop a long-term target that aligns with its 1.5°C pathway and covers its scope 1, 2 and 3 emissions. Additionally, it should set more intermediate targets, incorporating scope 3 emissions, at gaps of no more than five years to incentivise near-term action on its longer-term decarbonisation goals.

Dongfeng has developed a low-carbon transition plan. However, the plan fails to address long-term actions and does not contain verifiable and quantifiable key performance indicators and financial commitments. Additionally, the company has not conducted a climate scenario analysis to inform its transition plan and ensure its ambition aligns with a 1.5°C pathway. Although Dongfeng commits to growing its low-carbon vehicle sales to 1 million units by 2025, it does not commit to phasing out manufacturing of fossil-fuel powered vehicles and there is no evidence of other low-carbon changes to its business activities. The company also does not incentivise low-carbon performance through executive compensation. Dongfeng can improve the likelihood of a successful low-carbon transition by aligning its incentives with its decarbonisation commitments.

The company reported a total capital expenditure (CapEx) of USD 1.7 billion in 2023, but no information was provided on the amount of CapEx invested in low-carbon technologies. Similarly, while the company invested USD 505 million in research and development (R&D) in 2023, there was no disclosure of the proportion of its R&D expenditure invested in low-carbon technologies. No public disclosure was found detailing the company’s share of low-carbon vehicle sales over the last 3-5 years. More importantly, as the company does not disclose sufficient emissions data to calculate a trend, it is unknown if emissions from its sold vehicles in the next five years are expected to stay within its 1.5°C carbon budget.

While the company has begun to engage with its suppliers, supplier engagement is mostly implemented at the level of its subsidiaries. Dongfeng has no overarching strategy or major initiatives to drive emissions reduction in its supply chain. The company should scale up its supplier strategy and translate its implemented supplier engagement into concrete actions in a consistent manner to drive significant greenhouse gas (GHG) emissions reduction. The company should also set out a clear strategy to promote its low-carbon solutions to clients. This could include providing financial incentives, such as discounts, or conducting marketing campaigns. No evidence was found that Dongfeng opposes climate-aligned policies. However, the company can increase its credibility by publicly publishing and demonstrating its support for climate policies, such as the Paris Agreement.

No evidence was found of the company’s commitment to social dialogue or of the categories of stakeholders the company engages with on a just transition. Furthermore, no evidence was found to demonstrate the company’s ongoing social dialogue and meaningful engagement with affected stakeholders. No evidence was found of the company undertaking low-carbon transition planning to mitigate the social impacts of the transition on workers, affected stakeholders and its business relationships. Additionally, no evidence was found to demonstrate the company’s engagement in social dialogue and with stakeholders in its just transition planning

No public commitment by the company was found stating its intention to create and support access to green and decent jobs as part of the low-carbon transition. Moreover, no evidence was found of the company’s actions to promote these jobs in a way that ensures gender balance and inclusion of vulnerable groups. Additionally, no relevant disclosure was found of the company’s assessment of employment dislocation risks. No public commitment by the company was found stating its intention to reskill and upskill workers displaced by the transition to a low-carbon economy. Additionally, no evidence was found that the company reskills and upskills workers in a way that ensures gender balance and inclusion of vulnerable groups.

No relevant disclosure was found to show if the company identifies impacts of the low-carbon transition on social protection for workers and affected stakeholders, nor how it contributes to social protection. Additionally, no evidence was found that the company expects its business relationships to contribute to the social protection of their workers and affected stakeholders.  No relevant disclosure was found to show how the company identifies any misalignment of its lobbying activities with policies and regulations that support the just transition, nor of the measures it takes to address misalignment. Furthermore, no evidence was found that the company lobbies for policies and regulations for green and decent job creation; retention, education and reskilling; and social protection for workers.

No policies or commitments of the company related to respect for human rights were found in the public domain. This includes the necessary policies and systems by which the company can ensure respect for basic human rights in its operations and supply chain.  

The company discloses only two indicators of workforce diversity: the age and gender of its workforce by employee category. No other evidence of the company’s policies or commitments related to key decent work issues were found in the public domain. These issues include the provision of safe, secure and healthy workplaces, where workers are fairly renumerated and have a meaningful say in decision-making

No policies or commitments of the company related to key ethical business topics – personal data protection, tax, bribery and corruption, and lobbying and political engagement – were found in the public domain. This includes ensuring ethical business conduct throughout its operations and in its relationships with business partners.