Media Contacts:
Andrea Ranger, aranger@greencentury.com, 781-349-2813
Pam Podger, ppodger@greencentury.com, 802-299-9495
Boston, May 7, 2024 – Shareholders prepare to vote on a Green Century proposal at Ford’s May 9 annual general meeting. The proposal asks Ford to disclose deforestation risk associated with the leather, rubber, and minerals it buys, and encourages the company to support efforts to expand supplies of green steel and aluminum.
Ford purchases leather, rubber, and minerals for car seats, tires, and auto parts. Raising cattle, harvesting rubber, and mining minerals are associated with deforestation and ecological damage. However, the company is silent on how these materials could lead to long-term environmental damage, especially in vulnerable areas like Brazil, Indonesia, West Africa, and Southeast Asia.
Ford has committed to buying green primary steel and aluminum for 10% of its total purchase by 2030. Yet not one ton of green steel or aluminum is manufactured currently in the United States. The proposal asks Ford how it will attain its 2030 goal and to join NGO-led organizations like ResponsibleSteel and the Aluminum Stewardship Initiative (ASI), which support sustainable production of these metals.
“We are thrilled that Ford is advancing quickly to manufacture climate friendly vehicles – like EVs,” said Green Century Funds President Leslie Samuelrich. “But the company faces material risk in its supply chain from the products it uses. Companies have to be relentless in investigating and changing their total impact on the environment.”
Competitors Exceed Ford On Green Steel and Aluminum
Volvo and Mercedes-Benz participate in the steel plant sustainability standard, ResponsibleSteel, and Volvo has joined SteelZero, where members commit purchasing 100% green steel by 2050. Ford would be the first North American auto manufacturer to participate in these initiatives and could accelerate the wider availability of green metals.
“Ford’s Road to Better slogan describes its commitment to building a more sustainable transportation future,” said Green Century Shareholder Advocate Andrea Ranger. “Instead of fighting our proposal at the ballot box, we want Ford to remain on the Road to Better. We believe Ford should implement our proposal to protect nature and biodiversity and ensure it supports development of steel and aluminum manufacturing that is powered by renewable energy.”
A sustainable investment strategy that incorporates environmental, social and governance criteria may result in lower or higher returns than an investment strategy that does not include such criteria.
About Green Century
°Green Century Capital Management, Inc. (Green Century) is the investment advisor to the Green Century Funds (The Funds). The Green Century Funds are one of the first families of fossil fuel-free, environmentally responsible mutual funds. Green Century hosts an award-winning and in-house shareholder advocacy program and is the only mutual fund company in the U.S. wholly owned by environmental and public health nonprofit organizations.
*As of 03.31.2024, securities mentioned were not held in the portfolios of any of the Green Century Funds. References to specific securities, which will change due to ongoing management of the Funds, should not be construed as a recommendation by the Funds, their administrator, or their distributor.
You should carefully consider the Fund’s investment objectives, risks, charges, and expenses before investing. To obtain a Prospectus that contains this and other information about the Funds please visit www.greencentury.com, email info@greencentury.com, or call 1-800-934-7336. Please read the Prospectus carefully before investing.
Stocks will fluctuate in response to factors that may affect a single company, industry, sector, country, region or the market as a whole and may perform worse than the market. Foreign securities are subject to additional risks such as currency fluctuations, regional economic and political conditions, differences in accounting methods, and other unique risks compared to investing in securities of U.S. issuers. Bonds are subject to a variety of risks including interest rate, credit, and inflation risk.
This information has been prepared from sources believed reliable. The views expressed are as the date of this writing and are those of the Advisor to the Funds.
The Green Century Funds are distributed by UMB Distribution Services. UMB Distribution Services, LLC is not an affiliate of Green Century or any of its affiliates. May 2024.