The Science Based Targets initiative (SBTi) has approved Danfoss’ updated science-based targets for reducing greenhouse gas (GHG) emissions, including near-term targets through 2035 and a long-term net-zero ambition across its full value chain by 2050.
For near-term targets, Danfoss plans to reduce absolute scope 1 and 2 GHG emissions by 90% by 2035 from a 2024 base year, and to reduce scope 3 GHG emissions by 66.33% per EUR value added within the same timeframe. It also set a scope 3 target for emissions from the use of sold products: a 66.33% reduction per ton of refrigeration (approx. 3.517 kW of cooling) from sold compressors within the same timeframe.
For long-term targets, Danfoss plans to maintain a minimum 90% absolute scope 1 and 2 GHG emissions reduction from 2035 through 2050 from a 2024 base year, reduce scope 3 GHG emissions by 97% per EUR value added by 2050 from a 2024 base year, and achieve net-zero greenhouse gas emissions across the value chain by 2050. Danfoss noted that the target boundary includes land-related emissions and removals from biogenic feedstocks.
Danfoss said that while its SBTi-approved target is a 90% reduction in its own emissions by 2035, it aims to achieve a 90% reduction already by 2030. The company also said it updated its value chain (scope 3) targets to be intensity-based and added a specific target for its compressor business.
“Having our updated targets approved by the SBTi reaffirms that we are aiming high — and that our targets are credible and robust. It demonstrates our commitment to sustainability and our proven ability to drive competitive decarbonization,” said Thomas M. Auerbach, SVP, Chief Sustainability Officer & Head of Danfoss Finance Functions. The SBTi describes itself as a corporate climate action organization that develops standards, tools, and guidance for setting GHG emissions reduction targets, with partners including CDP, the United Nations Global Compact, the We Mean Business Coalition, the World Resources Institute (WRI), and the World Wide Fund for Nature (WWF).
