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The General Motors Sustainability Report for 2023 is more than just a corporate document, it’s a public commitment to redefine the future of transportation through environmental leadership, social responsibility, and ethical supply chain practices. As one of the world’s largest automakers, GM is using its global influence to set new benchmarks for sustainability, not only for its own operations but across its entire network of suppliers.
In this post, we’ll explore the core goals outlined in the report, what it means for businesses in GM’s supply chain, and how suppliers can stay compliant and competitive as sustainability becomes a non-negotiable part of doing business.
Why GM’s Sustainability Strategy Matters
General Motors is leading by example in setting ambitious goals for climate action. The 2023 General Motors Sustainability Report outlines their plan to achieve carbon neutrality across all products and operations by 2040. This includes eliminating tailpipe emissions from all new light-duty vehicles by 2035, and transitioning to 100% renewable electricity in U.S. facilities by 2025, with global operations to follow by 2035.
But GM’s sustainability strategy doesn’t stop with internal operations. It extends deep into their supply chain. If you’re a Tier 1 or Tier 2 supplier, GM expects your company to align with their environmental and social standards. Failing to do so can result in being replaced by more sustainable competitors.
GM’s Environmental Goals and ESG Commitments
In the 84-page 2023 sustainability report, GM details its ESG pillars, Environmental, Social, and Governance, with clear metrics and measurable goals. Here’s what stands out:
- Carbon Emissions: GM aims to reduce Scope 1 and Scope 2 emissions from operations by 72% by 2035, using 2018 as a baseline.
- Renewable Energy: 100% renewable electricity for U.S. sites by 2025 and for global operations by 2035.
- Scope 3 Emissions: A strong focus on upstream and downstream emissions, where suppliers play a major role.
- EcoVadis and CDP: Suppliers are required to submit scores from third-party assessments such as EcoVadis and the Carbon Disclosure Project (CDP).
These ambitious goals have a cascading effect: suppliers must report their environmental impacts, align their business practices with ethical standards, and demonstrate continuous improvement.
Supplier Expectations: What You Must Do to Stay on GM’s List
General Motors is not just asking its suppliers to be sustainable, it’s holding them accountable. Here’s what that looks like:
- EcoVadis Ratings: Suppliers must achieve a minimum score of 50 in Labor & Human Rights, Ethics, and Sustainable Procurement categories by 2025. As of 2023, 88% of GM’s suppliers were enrolled in EcoVadis.
- CDP Participation: Over 92% of GM’s tiered suppliers (by spend value) participated in CDP’s supply chain survey in 2023. Suppliers are expected to disclose their carbon emissions annually and show year-over-year improvement.
- Supplier Sustainability Goals Framework: GM uses a four-tier system to evaluate suppliers, Compliance, Commitment, Growth, and Leadership. This guides companies toward becoming fully integrated with ESG principles.
- Training and Support: GM offers tools, webinars, and personal support to help suppliers create environmental policies, collect energy data, and meet audit requirements.
How GM Supports Supplier Sustainability
One thing that sets GM apart is their proactive support. They don’t simply issue mandates, they provide infrastructure to help suppliers succeed. Through initiatives like the Supplier Business Council and the SupplyPower portal, businesses can access training modules, e-learning courses (PEERS), and attend workshops to better understand and implement sustainability practices.
These resources cover everything from energy tracking to writing an environmental policy. And for companies unsure where to begin, GM’s team is available to provide guidance or connect you with consultants.
The Risk of Non-Compliance
Failing to meet GM’s supplier sustainability expectations is no small matter. If a supplier doesn’t submit an EcoVadis score or earns too low a rating, they may be removed from GM’s approved vendor list. Similarly, poor performance in the CDP survey can flag your business for risk, resulting in fewer orders or even contract termination.
For many suppliers, this is a turning point. Adopting sustainability practices isn’t just about maintaining a major client, it’s about long-term survival and profitability.
Long-Term Benefits of Aligning with GM’s Sustainability Goals
While meeting GM’s expectations might seem overwhelming at first, especially for small and midsize manufacturers, the long-term benefits are worth the investment. Suppliers that successfully implement sustainability programs often reduce operational costs through energy efficiency, improve employee retention, and gain a competitive edge in securing new contracts.
More importantly, companies that prioritize ESG today are building a foundation for resilience tomorrow. With regulatory pressure increasing and consumers demanding transparency, the future of business is sustainable, and GM is paving the way.
What’s Next for GM Suppliers?
As sustainability standards continue to evolve, it’s likely that GM will raise the bar even further. New frameworks, higher EcoVadis score thresholds, and additional reporting metrics may be introduced. However, one thing is certain: sustainability in the automotive supply chain isn’t a trend, it’s the new standard.
Now is the time to act. Whether it’s scheduling your first EcoVadis audit, preparing for the September CDP deadline, or training your team to track environmental data, GM expects transparency, accountability, and progress.
Get Expert Help with Your Sustainability Strategy
Ready to strengthen your corporate sustainability efforts and confidently respond to GM’s supplier requirements? Understanding the basics is only the beginning, it takes strategic planning, clear data, and expert guidance to make your ESG program truly impactful.
At ThisRock Inc., we specialize in helping businesses navigate sustainability reporting and supplier expectations. Led by Lindsay Hampson, a trusted expert in sustainability consulting, we provide hands-on support to align your business with the latest ESG frameworks, including EcoVadis, CDP, and GM’s supplier standards.
Whether you’re writing your first sustainability report or updating your existing strategy, we’re here to help.
Don’t just meet expectations, lead the way in sustainability. Book a call with Lindsay today!
Book 15-minute consultFrequently Asked Questions
What are GM’s sustainability goals in the 2023 report?
GM aims to eliminate tailpipe emissions from new light-duty vehicles by 2035 and reach carbon neutrality across products and operations by 2040. They also plan to source 100% renewable electricity in U.S. operations by 2025 and globally by 2035.
What does GM expect from its suppliers?
GM expects suppliers to score at least 50 on EcoVadis sustainability assessments by 2025 and participate in the CDP supply chain disclosure program. They must show continuous improvement and align with GM’s ethical, environmental, and procurement standards.
How can suppliers prepare for GM’s sustainability expectations?
Suppliers should begin by assessing their current ESG performance, submitting to EcoVadis, and preparing CDP disclosures. GM provides tools, training, and direct support to help suppliers succeed.
