2022SustainabilityReport5FOREWORD7ABOUTTHISREPORT10SUSTAINABILITYINTHEGROUP’SDNA11CorporateGovernance14NEWAUTOGroupStrategy18ESGPerformanceManagementandMaterialityAnalysis20SustainabilityManagement22SustainabilityImpactofNewMobilityOptions24StakeholderManagement26EnvironmentalComplianceManagement33RiskManagement35CorporateCitizenshipCONTENTSAdetaileddescriptionofthesustainabilityactivitiesoftheVolkswagenGroup’sbrandsandregionsisavailableat:www.volkswagenag.com>Sustainability>Reporting&ESGPerformanceNAVIGATIONReferencestochaptersintheSustainabilityReportReferencestowebsitesReferencestotheAnnualReportFOCUSTOPICS1DECARBONIZATION36Decarbonization56EUTaxonomy2CIRCULARECONOMY68CircularEconomy3PEOPLEINTHETRANSFORMATION75PeopleintheTransformation4DIVERSITY89Diversity5INTEGRITY94Integrity6SUPPLYCHAINANDHUMANRIGHTS104SupplyChainandHumanRights114APPENDIX115IndependentAuditor’sLimitedAssuranceReport118ContactInformation2TABLEOFCONTENTSSUSTAINABILITYINTHEGROUP’SDNASUSTAINABILITYANDESG(ENVIRONMENTAL,SOCIAL,GOVERNANCE)AREPARTOFTHENEWAUTOGROUPSTRATEGYESGPERFORMANCEESGPERFORMANCECIRCULARECONOMYDIVERSITYINTEGRITYPEOPLEINTHETRANSFORMATIONSUPPLYCHAINANDHUMANRIGHTSDECARBONIZATION06|ESG,DecarbonizationandIntegrityTECHPLATFORMSTECHPLATFORMSTECHINITIATIVESTECHINITIATIVESVOLUMEPREMIUMSPORT&LUXURYBASEINITIATIVESBASEINITIATIVESMECHATRONICSSOFTWAREBATTERY&CHARGINGMOBILITYSOLUTIONSAswetransitionfromautomotivemanufacturertomobilitygroup,weareresettingourprioritieswiththeNEWAUTOGroupstrategyandpositioningourselvesforthefuture.Wearekeepingouraimofbeingaworld-leadingproviderofsustainablemobilityfirmlyinoursightsandmakingtheGroupmorefocused,efficient,innovative,customer-orientedandsustainable,aswellassystematicallygearingittowardprofitablegrowth.TheNEWAUTOGroupstrategydefinesthesixkeyfocusissuesshownabovefortheareaofsustainabilityandESGinGroupinitiative6.ThisSustainabilityReportincludingnonfinancialreportisstructuredinaccordancewiththese.Inaddition,theSustainabilityintheGroup’sDNAchapterprovidesadefinitionofsustainabilityfortheGroupandaninsightintotopicssuchasriskmanagement,environmentalmanagement,stakeholdermanagementandcorporatecitizenship.Theaimistoimproveperformanceinthecapitalmarket’sESGratingsandrankingssoastoincreasetheabilitytoinvestandoptimizethecostofcapital.3FOCUSTOPICS2022HIGHLIGHTS¹633,881metrictonsofCO₂savedthroughtheAluminumClosedLoopprocesssince2017.12.8mtraininghoursintheVolkswagenGroup.94%ofmanagershavetakenpartintheDiversityWins@Volkswagenprogram.TheT4Iprogramhasbeenrolledoutin784controlledcompaniestodate.Developmentandimplementationofanewmanagementapproachforresponsiblesupplychains.ReconditioningagearboxreducesCO₂emissionsby54%andreducestheprimaryenergyrequirementby52%comparedwiththenewpart.Proportionofwomeninmanagementworldwideandinternationalityoftopmanagementincreased.1,517inquirieswereprocessedatthecomplianceinformationpoint.>2,900suppliersweretrainedonsustainability.CIRCULARECONOMYDIVERSITYINTEGRITYPEOPLEINTHESUPPLYCHAINANDTRANSFORMATIONHUMANRIGHTSDECARBONIZATION+26%BEVs572,100all-electricvehiclesdeliveredtocustomersworldwide.1.5°CasgoalSBTiconfirmstightenedclimatetargetsinproduction.TrainingcostsintheVolkswagenGroup:€398.6m1Furtherinformationonthefiguresonthispage,suchasdefinitionsandscope,canbefoundintherelevantchapters.Dearstakeholdersandcolleagues,Leavingabetterwo...
