Assess the risk of climate change on manufacturing plants and supply chain infrastructure
Climate change poses physical risks to the automotive industry, including damage to assets, interruption of operations, and disruption to supply chains. It is important for automotive manufacturers, suppliers, and financial institutions to understand and manage these risks to ensure long-term sustainability and resilience. The Sustainable Mobility – Physical Risk offering provides a comprehensive assessment of the potential impact of climate change on the automotive industry, with a focus on physical risk.
Benefits:
- Understand climate-related physical risks within the automotive industry: Access a comprehensive view of exposure to physical risks resulting from climate change.
- Better manage risks: Gain actionable insights to help manage climate-related physical risks and improve long-term resilience.
- Improve sustainability and ESG performance: Comply with regulatory requirements related to climate risk disclosure and improve sustainability and ESG performance.
Manufacturing Plant Physical Risk
View specific risk and cumulative scores for individual manufacturing plants
Who Benefits?
Financial Institutions
Comprehensive and comparable: Physical Risk enables financial institutions to assess potential climate change risks for automakers' and suppliers' manufacturing plants using a consistent methodology
- Understand the overall climate associated risks to the facilities in an investment portfolio
- Understand the financial risk of specific climate hazards for each facility in a portfolio
- Understand what climate change risks exist for various technologies entering into the automotive market
Automakers
Understand the overall and individual impact of climate change and near-term/long-term physical risk levels for each of your manufacturing plants
- Understand the specific climate risks to assess what investments are needed at each plant and when they will be needed
- Manage supply chain risk by understanding the climate risks to current and future suppliers' plants
Suppliers
Understand the overall and individual impact of climate change and near-term/long-term physical risk levels for each manufacturing plant in your company
- Understand the specific climate risks to assess what investments are needed at each plant and when they will be needed by
- Know about the climate risks to potential new plant locations
Use Cases
Our Physical Risk offering is a valuable tool for financial institutions, automotive manufacturers and suppliers to understand and manage climate-related physical risks to ensure long-term sustainability and resilience.
- Climate-related physical risks evaluation: Assess the potential impact of climate change on a company's assets and operations
- Portfolio management for physical risks: Manage the potential financial impact of climate-related physical risks on a portfolio
- Prevention and mitigation planning: Develop strategies to prevent and mitigate the impact of climate-related physical risks
- Supplier risks and backup: Identify and manage risks passed through suppliers and sourcing
Key Features
These features provide a comprehensive view of exposure to physical risks resulting from climate change, allowing customers to make informed decisions about how to manage these risks.
- 1,500 companies and over 10,000 asset and plant sites
- Company asset and plant level physical risk scores reflecting exposure to climate hazards across scenarios and time periods
- Asset and plant level financial impact metrics reflecting the value of financial costs/losses projected due to changing climate hazard exposure for a given asset, expressed as a percentage of the asset value
- Company level financial impact metrics expressed as weighted average financial impact for all assets linked to the company, weighted by asset type
- Eight physical risk hazards: Extreme Heat, Extreme Cold, Coastal Flooding, Wildfire, Drought, Fluvial Flooding, Tropical Cyclone and Water Stress
- Advanced climate physical hazard modelling covering four future climate change scenarios (Low, Medium, Medium-High and High)
- Climate physical risk metrics for eight decades from the 2020s to the 2090s
