Budweiser’s China unit has reduced its carbon emissions by more than 25%, achieving the target two years ahead of schedule. The beer company is leveraging its global expertise to decarbonize operations and aims to reach Net-Zero emissions across its supply chain by 2040, reported the South China Morning Post.
The company, which produces around 50 beer brands, including Corona, Hoegaarden, and Stella Artois, at 47 breweries in markets such as China, South Korea, India, and Vietnam, will utilize its internal knowledge base to train suppliers and increase the number of carbon-neutral breweries.
Jan Clysner, vice president of procurement and sustainability at Budweiser Brewing, a unit of Belgium’s AB InBev, said, “We already have an action plan to bring some of our breweries to Net-Zero, but there are still gaps. We don’t have all the answers for all the breweries yet, but we do have the commitment to find the answers.”
In 2017, Budweiser Brewing set targets to reduce its cross-supply chain carbon emissions per unit of output by 25% and achieve 100% renewable electricity sourcing by 2025.
By the end of 2023, Budweiser Brewing achieved a 60.8% reduction in absolute greenhouse gas emissions, bringing it down to 360,000 tones in its own operations, including purchased energy, compared to 2017 levels.
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The company’s supply chain emissions per output unit decreased by 23.8% to 69.7 kilograms of carbon dioxide equivalent per hectoliter. Specifically, its China operations alone saw a 26% reduction.
In 2022, Budweiser Brewing collaborated with Shanghai-based start-up Carbonebook to develop a digital system for collecting carbon emissions data from its suppliers and assisting those suppliers in tracking emissions from their own supply chains.