Automotive sustainability reports

Environmental performance

Almost all environmental performance indicators for manufacturing improved in 2012, except
absolute water use

Business performance and investment

UK automotive sector recorded growth in the new car market and increased vehicle manufacturing
in 2012. Its expected further growth in the industry

Since 2011, global vehicle manufacturing has invested more than 6 billion to UK automotive,
investing in facility expansion, new models and R & D, which will boost employment and production
capacity. The 6 billion investments create a wealth of opportunities4 up and down the supply chain
for other investments.

Vehicle manufacturing went up almost 8% and car registrations up to 5% in 2012, despite on-going
challenges in the wider economy

Number of vehicles produced per employee has quadrupled since 1970 due to consolidation,
streamlining and autorotation of production processes

Energy and resource efficiency

Co2 from manufacturing fell 11.2% in 2012 and is down 40.3% since 2000

The sector is also heavily looking at renewable energy to further decrease emissions. Some examples
are Bentley installing largest UK solar rooftop system to reduce carbon footprint and cut costs.
Another example in Michelin investing in renewable energy by installing 2 wind turbines at its truck
and bus tyre plant in Northern Ireland

The SMMT climate change agreement will improve members energy efficiency 15% by 2020, on top
of a 51% reduction achieved under the original CCA.

Automotive supply chain

In the UK there around 2, 350 automotive suppliers, employing 82,000 people, which covers the
manufacture of essential components, sub-assembly and re-manufacturing activities. The scope and
scale of the supply chain is huge as each vehicle can have 80,000 separate components

The automotive supply chain is a very good way to achieve economic growth and take a country out
of recession. For every job in vehicle assembly, there are 7.5 in the supply chain and wider economy

Informing customers

More informed purchasing decision are made possible by the new tyre label, which explain the fuel
efficiency, safety and external noise level of tyres on sale.

Future vision

Planning for the future with industrial strategy, low carbon vehicles and infrastructure for hydrogen
and other alternative fuels
Industrial strategy

The government has committed to developing strategic partnerships with key industry sectors to
drive investment and growth, with a budget of £1.6 billion over 10 years

Proposals in the strategy will seek to address some of the major challenges from the sector, like
future skills needs and supply chain finance, as well as how best to support the significant
opportunities for automotive growth and investment in innovation

UK H2 Mobility

It’s an initiative that will evaluate the potential for hydrogen as a fuel for ultra-low carbon vehicles in
the UK before developing an action plan for an anticipated roll-out to consumers in 2014-15. Honda
continues to demonstrate its commitment to the environment with the first s hydrogen refuelling
station at Honda’s car manufacturing facility in Swindon