GMs Tire Supply Chain Becoming Sustainable

GM’s Tire Supply Chain Becoming Sustainable

The move by GM is to push the auto industry to move toward net-zero deforestation and uphold human and labor rights.

GM announced it was committed to sourcing sustainable natural rubber in its tires. The objective is to help the auto industry move toward net-zero deforestation and uphold human and labor rights.

 “Our supplier partners are an extension of our company,” said Steve Kiefer, GM senior vice president of Global Purchasing and Supply Chain. “We want to encourage affordable, safer and cleaner options for our customers that drive value to both our organization and the communities in which we work.”

The company’s goal is to transforming the global rubber and tire supply chain to create lasting, environmentally sound sustainable rubber production. GM believes that sourcing tires produced using sustainable natural rubber has a number of community, business and environmental benefits, including:

  • Preserving and restoring primary forests and high conservation value and high carbon stock areas that are critical to addressing climate change and protecting wildlife.
  • Improving yield and quality for natural rubber farmers, further supporting the small businesses that contribute 85% of this material.
  • Mitigating business risk related to supply chain sourcing and performance and helping assure long-term availability of a key commodity.

As tire manufacturers develop sustainable natural rubber policies, automaker demand will help fuel results. GM will be working with tire suppliers, governments, rubber industry associations and environmental NGOs to drive alignment and reduce supply chain complexity.

GM is also working with suppliers such as Bridgestone, Continental, Goodyear and Michelin to develop appropriate transparency into natural rubber and ensure its traceability throughout the supply chain. The company encourages other automakers and suppliers to join in the effort to accelerate progress.

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