Supplier Sustainability

At Vestas, we recognize that components and raw materials currently account for over 80 percent of the carbon footprint in wind turbine manufacturing. We have set ambitious goals in our comprehensive sustainability strategy, named “Sustainability in Everything We Do”, such as decarbonising our own operations and supply chain by 2030, without using carbon offsets. Recognizing the critical role of our supply chain in achieving these targets, we have implemented specific actions and allocated resources to meet our emission reduction objectives.

With over 98% of our carbon footprint originating from suppliers' operations, we are committed to supporting emissions reduction in our supply chain. Since 2020, we have collaborated with our strategic suppliers in the towers & steel, blades, and transport sectors to reduce emissions. 

In November 2024, we hosted our first in-person Supplier Forum in five years, welcoming around 200 participants from across the globe. The forum focused on enhancing flexibility and resilience within Vestas' supply chain to better manage changing demand and market volatility. Additionally, we have stressed the importance of staying ahead of sustainability regulations and ensuring that suppliers provide the necessary data to comply with these standards.

Beyond environmental considerations, Vestas places a strong emphasis on safety, inclusivity, and social responsibility. We work with our suppliers to minimize any potential adverse impacts on workers throughout the value chain. In 2024, we initiated a review of our current due diligence framework for our Tier-1 suppliers and will complete this in 2025. 

Furthermore, we launched a human rights risk heatmap initiative. This initiative is in line with the expectations of the UN Guiding Principles on Business and Human Rights and allows us to use our leverage to mitigate potential adverse impacts on workers. This initiative is in line with the expectations of the UN Guiding Principles on Business and Human Rights and allows us to use our influence to mitigate potential negative impacts on workers.

By partnering with a third-party risk intelligence provider and gathering data from certain suppliers, we have increased transparency within the value chain, enabling us to generate a heatmap highlighting potential human rights risks. The results will be shared with suppliers, who will be asked to ensure proper due diligence and mitigation where those risks are identified.

As part of our ongoing commitment, we are embarking on the journey to setting social sustainability goals for workers along the value chain.  In addition, we have implemented robust policies, streamlined processes, and innovative initiatives to effectively manage and address potential adverse impacts. By continuously enhancing our due diligence framework and using initiatives like the human rights risk heatmap, we aim to foster a safer, more inclusive, and socially responsible value chain. Our collaboration with suppliers and third-party risk intelligence providers increases transparency and proactively mitigates potential risks and underlines our commitment to social sustainability.