Mercedes-Benz and Hydro have announced that they will be enhancing their vertical integration of their aluminium supply chain and launching the long-term ‘Corridor Program’ for a sustained development in the Amazon.
Following their joint decarbonisation roadmap, Mercedes-Benz and Hydro signed a Memorandum of Understanding (MoU) to collaborate with local NGOs and partners in the state of Pará, Brazil.
Their goals include promoting human rights, generating income for local communities, fostering biodiversity and low-carbon value chains in the Brazilian Amazon.
The Corridor coalition aims to create a positive impact for the communities along the 244-kilometer bauxite slurry pipeline operated by Hydro, which runs through seven municipalities in the state of Pará, Brazil – from the Paragominas bauxite mine to the Alunorte alumina refinery in Barcarena. The goal is to engage local communities along the aluminum supply chain and empower them to improve their economic, ecological, and social well-being. Mercedes-Benz is part of the program’s governance, helping to establish necessary structures and build knowledge for sustainable risk management in raw material supply chains.
Renata Jungo Brüngger, Member of the Board of Management of Mercedes-Benz Group AG. Integrity, Governance & Sustainability, said: “The joint program with Hydro in Brazil serves as a model: We are sourcing aluminum with reduced CO2-emissions and are firmly committed to uphold human rights along our supply chain.”
Eivind Kallevik, President and CEO in Hydro, said: “We are excited to further develop our strategic partnership with Mercedes-Benz, expanding our collaboration beyond low-carbon product development to create positive social and environmental impact in the Amazon.”
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By GlobalData