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GM China Reports Results of Green Supply Chain Project

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The year-long General Motors China Green Supply Chain project came to an end at the conclusion of August, and the results gleaned from the project reveal the effectiveness of taking steps with the intention of reducing energy consumption and emissions.

According to GM, the eight suppliers in the project all decreased their consumption of both electricity and natural gas, resulting in a reduction of 5.5 million kg of CO2 emissions over a one-year span. The benefit to the environment resulting from the reduction is approximate to that of planting more than 300,000 trees. It also proved to be a financially solvent strategy for the suppliers, who saved a grand total exceeding RMB 9.3 million, or roughly $ 1.4 million USD.

“The Green Supply Chain project helped our suppliers improve their efficiency and overall work environment,” said GM Executive Vice President and GM China President Matt Tsien. “We will continue cooperating with our suppliers to seek additional improvements across their operations. This is part of GM’s focus on consistently driving for clean and energy-efficient production throughout our value chain.”

In all, 64 proposals were set in motion across the suppliers’ plants. In addition to the fiscal and environmental benefits, they also enabled facilities to reduce noise, improve lighting, and bolster energy management. GM China’s support role consisted of putting suppliers through training, having them undergo energy audits, and putting them in touch with outside consultants who recommended different conservation efforts.

“GM China’s Green Supply Chain project provided professional guidance to us for identifying energy conservation opportunities and eventually achieving excellence in energy efficiency,” said David Wang, vice president of CMW (Tianjin) Industry Co. Ltd., one of the eight suppliers. “Our energy management system passed an audit and received third-party certification. We are pleased to have been part of this corporate social responsibility initiative, which also helped enhance our company’s credibility.”