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Polestar enters strategic partnership with Circulor for supply chain transparency

Polestar, the electric performance car brand, is spearheading a movement for transparency throughout the automotive industry, to accelerate the shift to a climate-neutral future. 

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Transparency is a cornerstone in the Swedish electric car makers’ ambitious sustainability strategy. Creating traceability to promote responsible sourcing is a priority. Of initial focus are the minerals and materials that are used in its batteries.

Circulor supports businesses in achieving more sustainable supply chains and works with blockchain technology to trace materials. A blockchain is a digital ledger containing a list of records linked to each other via cryptography. A ‘digital twin’ for the raw material being traced is created and the material then tracked through the supply chain, creating a digital thread that follows and records the various industrial processes and transformations it undergoes.

This means that the source and the methods by which the raw materials are extracted, processed and transported, can be better regulated, helping to ensure that the materials used in battery production come from the expected mines or recycling facilities. The blockchain technology is already applied in Polestar 2, to support traceability of cobalt in its batteries.

Polestar chief executive officer Thomas Ingenlath said:

“Caring about ethics and the environment is key to Polestar. This unprecedented level of traceability means that Polestar can promote sustainable and ethical practices in its supply chain, and provide better transparency for consumers.”

Douglas Johnson-Poensgen, Circulor chief executive officer added:

“We are delighted to be a strategic partner of Polestar and playing a key role in enabling supply chain transparency for Polestar, their suppliers and their customers. Our platform’s ability to dynamically track and attribute CO2e across the supply chain will help enable Polestar’s moonshot goal to create a climate-neutral car by 2030.”

With the new partnership, Polestar and Circulor set a radical scope and ambition to entail a range of raw materials, focusing on those that have identified risks in either environmental and/or human rights. Consumers will be able to follow the journey thanks to Polestar’s Product Sustainability Declaration, which discloses carbon footprint and traced risk materials through labelling on the company website and in Polestar Spaces, setting a unique transparency precedent for the industry.

Integrated into the partnership is also the tracking of CO2e through the supply chain. The greenhouse gas tracking solution offered by Circulor enables a more accurate CO2e footprint than using generic emission data from databases. ​CO2e tracking allows Polestar to view the emissions that have been created as part of its production process, per facility as well as those inherited from suppliers through the supply chain.

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