SUSTAINABILITY REPORT 2022

TABLE OF CONTENTS
RESILIENT BUSINESS 	 16
SUSTAINABILITY STRATEGY	
 18
VALUE CREATION  	
20
THE SUSTAINABLE DEVELOPMENT 
GOALS  	
22
SUSTAINABILITY GOVERNANCE  	
23
RISK MANAGEMENT  	
26
KEY EVENTS OF THE YEAR  	
4
CEO’S FOREWORD 	
6
VALMET AUTOMOTIVE IN BRIEF 	
8
YEAR IN REVIEW 	
10
STRATEGY	
 12
STAKEHOLDERS’ PRIORITY TOPICS 	 14
ABOUT THIS REPORT 	
15
PLANETARY 
BOUNDARIES 	
36
CARBON NEUTRAL OPERATIONS  	
38
EFFICIENT USE OF RESOURCES 	
44
OUR PEOPLE 	
50
MANAGING HR TOPICS 	
52
OUR PEOPLE AT THE CORE 	
53
HEALTH AND SAFETY AT WORK 	
58
LEADERSHIP PROGRAM  	
62
INTEGRITY & DIGNITY	 64
OUR 5 COMMITMENTS 	
66
REALIZING THE COMMITMENTS 	
67
COMPLIANCE 	
68 
GRI & DATA 	
70
ABOUT ENVIRONMENTAL DATA 	
72
GRI CONTENT INDEX 	
73
DATA ON EMPLOYEES 	
75
DATA ON ENERGY	
77
SUSTAINABILITY VOCABULARY 	
78
STAKEHOLDER ENGAGEMENT 	
30
BATTERY TESTING 	
32
CO2 NEUTRAL OFF-HIGHWAY 
VEHICLES	
34

RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
KEY EVENTS OF THE YEAR
ACHIEVING 
VALIDATED CARBON 
NEUTRALITY
We achieved CO2 neutrality for 
our own operations (scope 1 & 2). 
The commitment and our emissions 
are externally assured.
NAVIGATING 
THROUGH GLOBAL 
CRISES
This year, the global crises significantly 
affected the automotive sector 
and the availability of components. 
We had to react quickly to sudden 
changes, and that affected our 
personnel with change negotiations 
and uncertainty. The outside 
turbulence also ceased our well-
planned IPO process.
CONTINUOUS IMPROVEMENT 
OF OCCUPATIONAL SAFETY 
PAID OFF
By investing heavily in occupational health and safety, 
we managed to improve the injury rate significantly  
in Vehicle Contract Manufacturing (VCM). The rate 
(LTIF) dropped by 42%. Nevertheless, the rate went up 
in Electric Vehicle Systems (EVS) from 4.8 to 9.9, mainly 
due to several new people hired.
4

GROWING THE 
BATTERY BUSINESS 
We are firmly following our ambition 
to grow EVS sales to the level of VCM 
or above. In October 2022, we reached 
a major milestone: 1 million produced 
battery packs.
COMMITTING TO 
SCIENCE-BASED 
CLIMATE TARGETS
In 2022, we committed to set climate 
targets in line with the Science Based 
Targets Initiative. The initiative validates 
the targets to make sure emission 
reductions and corporate strategy  
are aligned with the Paris Agreement.  
We also received the score C (Awareness) 
in CDP climate reporting.
KEY EVENTS OF THE YEAR
MODULAR POWER PACK FOR 
PONSSE’S ELECTRIC FOREST 
MACHINE CONCEPT
We supplied our battery system to Ponsse’s EV1 
electric forest machine technology concept. We 
have designed the Modular Power Pack, especially 
for applications that require high peak power, fast 
charging, and a long life-cycle.
PROVIDING WORK FOR UKRAINIANS WHILE 
LAUNCHING NEW PRODUCTION LINES	
The war in Ukraine brought a shocking crisis close to our Roof & Kinematics (RKS) 
plant in Zary, Poland. During 2022, we employed around 150 Ukrainians and are 
doing our best to support them settling in. Despite all the challenges during the 
year, we managed to launch new products and grow our business in RKS.
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
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Dear Reader, 
Welcome to the Sustainability Report 2022 
by Valmet Automotive Group. With this an-
nual report, we present an insight into our 
sustainability management and the various 
ways of how we continuously improve the 
economic, environmental, and social im-
pacts of our activities.
In 2022, the business environment con-
tinued to be volatile with the war in Ukraine, 
high inflation rates, rising energy prices, is-
sues in international supply chains, and 
the continued Covid-19 infections and miti- 
gation activities. Despite all this, we have 
firmly kept our focus on sustainability. We 
consider it a main contributor to value cre-
ation for all our stakeholders, as well as a 
main contributor to fulfilling the expecta-
tions for future growth and stability of the 
company.
Therefore, we launched the True Green 
Initiative in 2022, a comprehensive pro-
gram aimed and designed to accelerate 
and integrate sustainability with practical 
actions into everything we do, from pro-
cesses to attitudes. Furthermore, at the 
beginning of 2022, we took another ma-
jor step forward in sustainability, as we be-
came confirmedly carbon neutral in all 
our own operations, and now only offer  
zero-emission production and services to 
our customers.
Yet we are raising our ambitions even 
further: we have announced our intention 
to meet the high climate standards of the  
Science-Based Targets Initiative. This is fur-
ther proof of our unwavering commitment 
to sustainability. We fully acknowledge our 
role in contributing to the future of our plan-
et by minimizing the risks of climate change.
Valmet Automotive is consequently 
moving forward in contributing to the shift 
towards a zero-emission society, by mini-
mizing our own negative impacts and add-
ing positive value to our customers. For us, 
sustainability is not just another business 
imperative, it is a core value that makes 
us a leading strategic partner for Original 
Equipment Manufacturers (OEMs).
With best regards,
Olaf Bongwald 
CEO, Valmet Automotive
TIGHT FOCUS ON SUSTAINABILITY 
AMID VOLATILE TIMES
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7

THREE BUSINESS AREAS
VEHICLE CONTRACT MANUFACTURING
• Over 50 years of world-class vehicle 
contract manufacturing
ROOF & KINEMATIC SYSTEMS
• Developing and delivering active spoilers, 
convertible roofs, and active charging flaps
ELECTRIC VEHICLE SYSTEMS
• Engineering and testing EV systems
• Manufacturing batteries and other EV systems
SERVICE PROVIDER FOR 
THE AUTOMOTIVE INDUSTRY
Valmet Automotive provides services for the automotive industry with three business lines. 
Our extensive history in the automotive industry combined with our world-class expertise in 
engineering and manufacturing of electric vehicles, batteries, and kinematic systems makes  
us a preferred strategic partner for OEMs (Original Equipment Manufacturer).
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
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LOCATIONS
 
FINLAND 
Uusikaupunki – Vehicle Manufacturing, Manufacturing Engineering, 
EV Systems manufacturing
Salo – EV Systems manufacturing
Turku – EV Systems product development
Vantaa – Group Corporate functions
GERMANY
Osnabrück – Roof & Kinematic Systems product development
Kirchardt – EV Systems manufacturing
Munich – EV Systems product development
Bad Friedrichshall and Weihenbronn – 
EV Systems product development and testing
Frankfurt – Group Corporate functions
POLAND
Zary – Roof & Kinematic 
Systems manufacturing
2022
VALMET AUTOMOTIVE GROUP
• 	Established in 1968 
• 	Head office in Uusikaupunki, Finland
• 	Parent company Valmet Automotive Plc (Finland)
• 	~ 4.000 employees 
• 	Delivered ~ 73,000 cars, ~ 615,000 battery systems, 
	 ~ 46,000 roofs and kinematic systems to markets worldwide
• 	Shareholders: Pontos (38.46%), Tesi (38.46%), CATL (23.08%)
ECONOMIC VALUE CREATED
• 	Gross sales*  2,841.9  (2021: 2,977.5) MEUR
• 	Net sales 603.5 (2021: 570.2) MEUR
• 	Operating profit  31.3 (2021: 35.6) MEUR
• 	Total wages and salaries 179.7 (2021: 176.1) MEUR
• 	Employee social security and pension 35.5 (2021: 35.4) MEUR
• 	Total equity 58.8 (2021: 42.3) MEUR
• 	Research, development, and engineering expenditure 
	 43.6  MEUR (2021: 38.0) MEUR
• 	Gross investments in fixed assets 77.9 (2021: 62.1) MEUR
• 	Current year income tax expense 3.8 (2021: 7.2) MEUR
• 	Income tax paid 3.9 (2021: 9.5) MEUR   
GROUP MANAGEMENT TEAM
• 	Olaf Bongwald, CEO
• 	Charlotte Caswell, Remigiusz Grzeskowiak, 
	 Christian Kleinhans, René Kohl, Jaakko Liljeroos, 
	 Jyrki Nurmi, Peter Ohm, Pasi Rannus, Juha Torniainen. 
	 As announced in October 2022, Juha Torniainen, the Group’s CFO, 
	 is leaving Valmet Automotive and his successor Petra Teräsaho 
	 has taken over as the new CFO as of March 1, 2023.
*Gross sales are defined as total (gross) sales including both net sales and 
sales of customer-directed material and parts, which are material and parts 
purchased from the principal or from suppliers selected by the principal, at 
prices negotiated by the principal.
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
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creased the number of personnel briefings 
and internal communications, and we still 
have room for improvement. We want to 
offer our employees a good and interest-
ing place to work. 
We are looking for more growth in 
2023. As a Tier 1 system supplier, we start 
pre-series production of the first bat-
tery system we have developed for a cus-
tomer, as well as the series production 
of our Modular Power Pack battery sys-
tem designed for heavy duty vehicles. We 
will increase volumes and develop new 
products at the same time. We are also pre- 
paring for the requirements of the EU  
Battery Regulation and the development 
of the digital battery passport, for exam-
ple by expanding the collection of sustain- 
ability data from our suppliers.
Jyrki Nurmi,
SVP, EV Systems
GROWTH FROM ELECTRIFICATION
During the turbulent year of 2022, we took some twists and turns. However, we gained growth from 
electrification and for 2023, we are expecting the trend to continue with new products in all business lines.
GROWTH IN THE MIDST OF 
GLOBAL TURBULENCE
The year 2022 was a period of rapid growth 
for our battery business. We reached 
a milestone of one million manufac-
tured batteries, started production at the  
Kirchardt battery plant, and introduced 
two new battery module production lines 
in Uusikaupunki. We also introduced our 
Modular Power Pack battery system, which 
has been developed as a power source, es-
pecially for off-highway and heavy duty ve-
hicles. The system is already in use in the 
technology concept of Ponsse’s EV1 forest 
machine.  
The production of plug-in-hybrid bat-
tery packs has continued to grow at the 
Salo plant. We have also invested in bat-
tery testing. This is a very important func-
tion for us, especially as a battery system 
supplier, as it includes a product develop-
ment and validation phase.
In the midst of growth, we have re-
formed our organization. We have moved 
to a plant-based management model in 
several operations where the central unit 
coordinates resources when needed. Our 
aim is to help our employees focus more 
on the needs of our projects. We will con-
tinue this process. 
Demand is strong, but our growth has 
been slowed down by the fact that we face 
global uncertainty in our work every day. 
The war in Ukraine and the Covid-19 lock-
down in China have made it difficult for 
our customers’ component suppliers, and 
this has also affected us. Our plants have 
been running all the time, but due to the 
component shortages, production vol-
umes may have suddenly decreased. On 
the other hand, rapid changes have also 
been reflected in the fact that we have  
increased capacity at very short notice 
when necessary.  
The world will not return to the way it 
was. That is why we must find solutions 
that do not just impose the need for flexi- 
bility on personnel. In 2022, we have in-
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
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WORK AND SAFETY FOR 
UKRAINIANS DURING 
PRODUCTION GROWTH   
The challenges of 2022 showcased flexibil-
ity as our strength.
The war in Ukraine brought a shocking 
crisis close to us. In response, we imme-
diately started helping Ukrainians by de-
livering food and clothes. We also intensi-
fied cooperation with work agencies that 
arrange jobs for the refugees. In late 2022, 
we employed around 150 Ukrainians, and 
we are doing our best to support them. 
Inflation combined with a lack of com-
ponents continued to disturb the automo-
tive industry. To react quickly, we added 
resources for communication with our cli-
ents and suppliers. Our management was 
also very committed to finding new solu-
tions. However, supply chain issues forced 
us to interrupt production several times 
and this caused uncertainty among our 
employees. Fortunately, the interruptions 
usually lasted only 1–2 days and we man-
aged to shift people between programs.  
Despite all challenges, we managed 
to grow our business and the number of 
employees. The highlights of the year were 
new products and projects: we launched 
one new roof program and were nominat-
ed for five new products. In the future, we 
will increasingly focus on active spoilers 
and charging flaps. Our asset is the know-
how on complex kinematic systems that 
premium EVs require. We are also looking 
for more sustainable materials, as well as 
solutions in our supply chain. 
The work we have accomplished in 
2022 has created an excellent basis for the 
future. When looking at our extensive and 
versatile production pipeline, we are confi-
dent in 2023 and beyond.
Remigiusz Grześkowiak
SVP, Roof & Kinematic Systems
MANY TRANSFORMATION 
PROCESSES GOING ON 
SIMULTANEOUSLY
In 2022, we have undergone a number of 
important changes in vehicle manufactur-
ing. While the decline in our production vol-
umes led to change negotiations, we were 
able to expand our customer portfolio and 
prepare for a major organizational change.
We started the production of a so-
lar electric vehicle in November. We also 
achieved a clear improvement in occupa-
tional safety. The number of accidents at 
work was historically low due to the im-
proved handling of near-loss notifications 
and a long-term cultural change. In addi-
tion, we set up an innovation center at the 
car plant to test the technologies of the fu-
ture car plant.
However, the year was clouded by un-
certainty. The war in Ukraine, the ener-
gy crisis, and inflation affected economic 
prospects and the availability of compo-
nents. The personnel was also affected by 
the uncertainty: the change negotiations 
in summer concerned about 1,000 em-
ployees, about two-thirds of whom we had 
to lay off temporarily and the rest made 
redundant. In the annual personnel sur-
vey, we identified the need for supporting 
mental well-being at work, and this will be 
one of our upcoming priorities in 2023.
Rapid reaction has become a new 
standard. Our strengths are reliable and 
high-quality operations in a varied envi-
ronment. That is why we started to speak 
openly and communicate our strategy in 
2022. One example of this is the first video 
of the future, compiled by a working group 
of our car builders. We want to create a fu-
ture that focuses on people, a more digital 
working environment, and a green attitude. 
Pasi Rannus
SVP, Vehicle Contract Manufacturing
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E-MOBILITY AT THE CORE OF OUR BUSINESS 
STRATEGY
Valmet Automotive’s business is built on three strong pillars with significant synergies:  
Vehicle Contract Manufacturing (VCM), Electric Vehicle Systems (EVS), and Roof & Kinematic 
Systems (RKS). Our focus is on e-mobility, and we have continued to take huge leaps toward it 
in all three business lines.
Our vision is to contribute to climate pro-
tection and a truly green world by posi-
tioning ourselves as an international and 
leading systems and service provider in 
e-mobility and renewable energy storage. 
Sustainability is at the core of this vision 
and an integral part of our business model 
and organizational culture, allowing a 
boost to the transition to a zero-emission 
society.
HARVESTING SYNERGY FROM 
E-MOBILITY
Our ambition is to grow our EVS sales to 
the level of VCM or above, to boost the 
sales of RKS and to keep VCM at a con-
stant high level. In brief, we are targeting 
at gross sales of more than 6 billion Euros 
in the long-term.
During 2022, much of the strategic fo-
cus of VCM was devoted to solar electric  
vehicles. In addition, we started prepara-
tions to launch a new car model for one of 
our longstanding key customers.
In RKS, we won new business for EV 
charging flaps as well as active kinematics 
in aero efficiency systems for EV. We have 
been successfully marketing the “charging 
experience 2.0” concept developed to  
improve charging convenience for premi-
um EVs. Another important milestone in 
2022 was the start of production of a new 
convertible roof system program.
FAST EXPANSION
We are further expanding our business in 
EVS. Mid-2022, we reached a major mile-
stone: over a million battery systems pro-
duced since 2019. During 2022, we also 
started production in our third battery 
plant in Kirchardt, and the second pro-
duction program for the Kirchardt plant 
is already in development. In addition, the 
lifetime and volume of running battery 
production programs were increased, and 
we received the first order for our Modular 
Power Pack, which has been developed for 
e.g. off-highway purposes. We see a large, 
growing demand for testing services in the 
market and made a remarkable invest-
ment to expand our battery testing oper-
ations in Bad Friedrichshall.
The geographic expansion in the EVS 
business supports our strategy of being 
close to our customers. The current plant 
capacities are fully sold out, and therefore 
we are looking at the fourth and even fifth 
plant on our roadmap, depending on the 
customers’ requirements. We will set forth 
acting as a contract manufacturer for EV 
systems, and at the same time further  
develop our competencies and capabili-
ties as a system supplier.
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
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13

STAKEHOLDERS’ PRIORITY ISSUES FOR 
SUSTAINABLE DEVELOPMENT
Materiality topics help to ensure internally 
strategic focus and to deliver relevant and 
decision-supporting information to our 
stakeholders.
The focus of this report is based on 
our sustainability strategy and material  
assessment conducted in 2019 at group 
level with an emphasis on the operations 
in Finland. We identified and selected the 
internal and external key stakeholders, 
such as personnel, suppliers, and public 
authorities. The sustainability themes for 
the survey were identified from relevant 
documents and key stakeholder interviews.
With the assessment and the related 
stakeholder survey, we identified and 
prioritized the most relevant economic, 
social, and environmental sustainability 
topics. 
Stakeholders 
expect 
Valmet  
Automotive to prioritize the well-being of 
the personnel, the economic continuity, 
and our profile as a global forerunner in 
environmental issues mirrored in our sus-
tainability strategy.
As we are committed to regularly con-
ducting and improving our sustainability 
materiality assessment, we will conduct 
a materiality assessment in 2023 aligned 
with upcoming standards such as on dou-
ble materiality. The results will inform our 
strategy, risk management, and disclosure.
	 GOVERNANCE 
• 	 Ensuring business profitability and continuity
• 	 Identifying the driving forces in the industry and adapting to change
• 	 Close cooperation with municipalities and educational institutions
• 	 Attracting subcontractors to the area in cooperation with municipalities
	 SOCIAL 
• 	 Continuous improvement of work safety
• 	 Motivating employees, support for coping at work, and extending careers
• 	 Ensuring equal and fair treatment at workplace
• 	 Planning and predictability in employment
	 ENVIRONMENT 
• 	 Profiling globally as a forerunner in environmental issues
• 	 Development of energy and material efficiency, reduction of energy consumption
• 	 Active reduction of environmental impacts in operations
• 	 Utilizing high technology and investments in new, greener processes and 	
	
practices
ESSENTIAL TOPICS FOR STAKEHOLDERS
Our sustainability materiality assessment is one of the cornerstones of our 
sustainability strategy.
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ABOUT THIS REPORT
This is the fourth annual sustainability  
report  of Valmet Automotive Plc (“Group” 
or “Valmet Automotive”) covering the 
same entities as our financial report for the 
reporting year 1 January to 31 December 
2022, unless otherwise stated. We report 
with reference to the GRI standards and 
are preparing for upcoming sustainability 
reporting standards. Our Group Manage-
ment Team (GMT) reviews and approves 
our sustainability report.
Our reporting is aimed at a broad range 
of audiences, including but not limited to 
our employees, customers, investors, NGOs. 
and industry associations.
The focus of this report and the selected 
topics are based on our sustainability stra- 
tegy and materiality assessment. We will  
reassess materiality in 2023 to take into  
account updated regulations and practices.
Scope 1 & 2 CO2 emissions have been 
externally assured. For more information 
on the environmental data, please read 
page 72. 
This report was published in March 2023.
CONTACT INFORMATION
Jaana Hänninen
Director, Sustainability Strategy
jaana.hanninen@valmet-automotive.com
Mikael Mäki
Manager, Corporate Communications
mikael.maki@valmet-automotive.com
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We strive to ensure resilient, profitable business by committing to lead  
the transformation into a zero-emission society throughout the organization. 
We also strive for good governance, to provide reliable and transparent data, 
and to set requirements for our supply chain to leverage our sustainability work.
RESILIENT BUSINESS
SUSTAINABILITY STRATEGY  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  18
VALUE CREATION  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .   20
THE SUSTAINABLE DEVELOPMENT GOALS  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  22
SUSTAINABILITY GOVERNANCE .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  23
RISK MANAGEMENT  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .   26
STAKEHOLDER ENGAGEMENT  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 30
BATTERY TESTING  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  32 
CO2 NEUTRAL OFF-HIGHWAY VEHICLE .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 34
16

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OUR FIT-FOR-FUTURE SUSTAINABILITY STRATEGY
Our vision is to contribute to climate protection and a truly green world by positioning ourselves as  
an international and leading systems and service provider in e-mobility and renewable energy storage.
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
Building towards this north star, our  
sustainability strategy builds on three key 
themes with action areas:
	 •	 Ensuring resilient & profitable business
	 •	 Strengthening integrity & dignity
	 •	 Respecting planetary boundaries
Our sustainability strategy is based on our 
materiality assessment, and a thorough 
review of upcoming regulatory changes, 
future trends, international sustainability 
frameworks, and relevant business factors. 
The strategy has an emphasis on climate 
and environmental issues and is support-
ed by the separate human resources (HR) 
strategy that is led by the Group HR. Our 
ambitious sustainability goals define and 
help measure our progress toward climate 
neutrality, resource efficiency, and respon-
sible sourcing. In 2023, we are setting short-
term science-based targets to ensure ro-
bust climate targets that cover both our 
own operations and our supply chain.
TRUE GREEN INITIATIVE
To put our sustainability strategy and goals 
into action, we launched a company-wide 
True Green Initiative in 2022. The initiative 
is a program and practical guide which in-
tegrates green thinking and actions into 
Valmet Automotive’s organizational cul-
ture at all levels. 
Our True Green Initiative consists of 
six workstreams, and each workstream in-
cludes a wide range of concrete actions. 
The initiative aims at enhancing green at-
titude within the organization, enforcing 
circular design and manufacturing, build-
ing sustainable value chains, ensuring 
data quality, and strengthening integrat-
ed decision-making and disclosure.
3
2
1
GREEN
MANUFACTURING
SUSTAINABLE
VALUE CHAIN
DESIGN FOR
ENVIRONMENT
5
4
6
DATA
MANAGEMENT
GREEN
ATTITUDE
DECISION-MAKING &
DISCLOSURE
TRUE GREEN INITIATIVE WORKSTREAMS
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STRATEGIC AREAS OF ACTIONS
ENSURE 
RESILIENT 
PROFITABLE 
BUSINESS
STRENGHTEN 
INTEGRITY 
AND DIGNITY
RESPECT PLANETARY BOUNDARIES
• Provide reliable and transparent data
• Commit to lead the transformation throughout the organization
• Actively develop processes and products to proactively 
fulfill future demands
• Operate in collaborations, partnerships and 
ecosystems at global and local level
• Set requirements and implement SCoC to our  
suppliers
• Introduce True Green Initiative to accelerate and lead  
the Sustainability Strategy
• Reach low carbon value chain and collaborate with 
suppliers to reach CO₂ neutrality
• Add environmental values in decision-making  
processes
• Utilize digitalization opportunities  
to drive green transformation.
• Develop and utilize circular  
economy and improving  
efficient use of resources  
(energy, water, materials)
• 	Truly bring the Code of Conduct alive  through our 
	 organization
• 	Ensure the sustainability 
	 maturity level and strengthen 
 	 ethical culture in the organization
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BUILDING CARS IS OUR BACKBONE
Our vision is to contribute to climate protection and a truly green world  
by positioning ourselves as an international and leading systems and 
service provider in e-mobility and renewable energy storage.
KEY RESOURCES FOR OUR BUSINESS
ELECTRIC VEHICLE 
SYSTEMS
ROOF & KINEMATIC 
SYSTEMS
VEHICLE CONTRACT MANUFACTURING
TRENDS THAT DRIVE OUR BUSINESS
CLEAN ENERGY
Shift to green energy and 
its storage systems
PREPAREDNESS FOR 
FUTURE SCENARIOS
In a volatile environment,  
we proactively anticipate
 and create new solutions
TALENT MANAGEMENT
Providing a sustainable environment  
for personal growth – we ensure success 
though competent, proud personnel
VALUE CHAIN
Focus on management across 
the whole value chain
E-MOBILITY
Strong market and regulatory 
trend for e-mobility
GLOBAL GOALS
Our vision aligns with the UN 
Sustainable Development Goals, the EU 
Green Deal and the Paris Agreement
• 	HUMAN & SOCIAL
• 	FINANCIAL
• 	ENGINEERING AND 
	 	 MANUFACTURING 
	 	 FACILITIES
• 	NATURAL
OUR VISION
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20

ECONOMIC
• 	Net sales 603.5 MEUR
• 	Gross sales 2,841.9 MEUR
• 	>1 MILLION Battery packs produced since 2019 
• 	Accelerated growth of battery business  
	 creating strong business pilar 
• 	SOLAR ELECTRIC vehicle production started
• 	Extended business on NEW PRODUCTS IN RKS
• 	Listed among the world’s 100 LARGEST 
	 automotive suppliers
CLIMATE AND ENVIRONMENTAL
• 	CARBON NEUTRAL in own operations since 2022
• 	Scope 1 & 2 emissions cut by 80% Since 2019 
• 	CDP  Climate score C
• 	Water use 128 667 m3
• 	Recycling rate 64%
SOCIAL
• 	~4 000 employees & 93 nationalities
• 	-5 Employee Net Promotor Score Measure 		
	 (eNPS)
• 	Group injury rate 9.4 (LTIF) (2021: 14.1)
• 	Collaboration with Finnish, German and Polish
 	 universities on theses, internships and courses
VALUE CREATION 2022
TRUE GREEN INITIATIVE
2027 SUSTAINABILITY GOALS
Company-wide program to accelerate action 
towards sustainability strategy and goals
GREEN MANUFACTURING
Minimize own (scope 1 and 2) CO2 
emissions & improve energy efficiency
SUSTAINABLE VALUE CHAIN
Reduce scope 3 emissions and improve 
supplier risk management 
DESIGN FOR ENVIRONMENT
Fulfil legal & customer demands & reduce 
the CO2 of own products 
DATA MANAGEMENT
Efficient, reliable,  trackable and tagged 
reporting
GREEN ATTITUDE
Increase the sustainability maturity level & 
implement it into company processes
DECISION-MAKING & DISCLOSURE
Integrating sustainability into  
decision-making and reporting
ZERO EMISSION COMPANY
Reducing GHG emissions in alignment with 
science-based targets
POSITIVE CLIMATE IMPACT 
Actively avoid CO2 by our own products
EFFICIENT IN  ELECTRICITY CONSUMPTION
Improving electric efficiency and using renewable energy
CONTRIBUTOR  TO CIRCULAR ECONOMY
Efficient  resource use and processes
RESPONSIBLE SOURCING
Identifying and managing sustainability across the value 
chain
CULTIVATE GREEN ATTITUDE
Engaging employees on sustainability
GREEN  INVESTMENT TARGET
Consistent with market requirements
IMPROVE THE GLOBAL CDP  SCORING
Transparent climate disclosure
CONTRIBUTING 
TOWARDS
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21

HOW WE CONTRIBUTE TO THE SUSTAINABLE 
DEVELOPMENT GOALS (SDGs)
The United Nations have created the Sustainable Development Goals to help governments, companies, 
and citizens to navigate into a more sustainable world by 2030. There are 17 main goals of which four 
are centrally linked to our strategy and operations.
ENSURE 
RESILIENT 
PROFITABLE  
BUSINESS
RESPECT 
PLANETARY  
BOUNDARIES
STRENGHTEN  
INTEGRITY  
AND DIGNITY
INDUSTRY, INNOVATION 
AND INFRASTRUCTURE
CLIMATE ACTION
DECENT WORK AND 
ECONOMIC GROWTH
Goal 9 concerns building resilient infrastructure, 
promoting inclusive and sustainable  
industrialization, and fostering innovation by 2030.
Goal 12 strives for mitigating the impacts of  
global consumption and production on the  
planet. It is increasingly important to invest in  
sustainable production of goods.
Goal 12 strives for mitigating the impacts of 
global consumption and production on the 
planet. It is increasingly important to invest in 
sustainable production of goods.
Goal 13, taking climate action, means taking  
urgent action to combat climate change and  
its impacts.
Goal 8 strives for promoting sustained, inclusive 
and sustainable economic growth, full and 
productive employment and decent work for all.
- Commit to lead the green transformation throughout the organization.
- Actively develop processes and products to proactively fulfill future demands.
- Operate in collaborations and partnerships and ecosystems at global and 
  local level.
- Set requirements and implement Supplier Code of Conduct (SCoC) to our 
   suppliers.
- Provide reliable and transparent data.
- Develop and utilize circular economy and improving efficient use of resources 
  (energy, water, materials).
- Utilize digitalization opportunities to drive green transformation.
- Introduce the True Green Initiative to accelerate and lead the Sustainability Strategy.
- Reach low carbon value chain and collaborate with suppliers to reach CO₂ neutrality.
- Add environmental values in decision making processes.
- Truly bring the Code of Conduct alive throughout our organization.
- Ensure the Sustainability maturity level and strengthen ethical culture in the 
   organization.
RESPONSIBLE  
CONSUMPTION 
AND PRODUCTION
RESPONSIBLE  
CONSUMPTION  
AND PRODUCTION
VA’S STRATEGIC	
RELEVANT UN SUSTAINABLE 	
SCOPE OF THE SDG	
OUR STRATEGIC AREAS OF ACTIONS THAT CONTRIBUTE TO THE SDG
SUSTAINABILITY AREA	
DEVELOPMENT GOALS (SDGS) 
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22

Our Board oversees our sustainability 
strategy whereas sustainability manage-
ment is realized on three levels, the Group 
Management Team (GMT), Sustainability 
Committee, and the Sustainability Team, 
in addition to being diffused into business 
line management.
The Board is composed of six non- 
executive directors with wide-ranging  ex-
pertise and extensive leadership experi-
ence (profiles can be read here*). Valmet 
Automotive´s Shareholders’ Nomination 
Board, comprising of representatives of 
three largest shareholders and the Chair 
of the Board, annually prepares propos-
als concerning the composition and re- 
muneration of the Board. In addition to the 
requirements of the agreement between 
the Shareholders, the Nomination Board 
considers Valmet Automotive’s business 
needs, as well as the diversity principles,  
independence and stakeholders when 
carrying out its tasks.
 All Board members are independent of 
the company, and all except for one are also 
independent of the company’s significant 
shareholders. 
The Board approves and oversees the 
implementation of our sustainability- 
and 
climate-related 
strategy, 
action 
plans, risks, and performance. As sustain- 
ability is integrated into our corporate stra- 
tegy, the relevant sustainability- and  
climate-related aspects are woven directly 
and indirectly into conversations through-
out all board meetings. Sustainability- 
specific performance is monitored regularly 
as information is escalated by the CEO, 
GMT, and the Sustainability Strategy Di-
rector. In addition, an annual sustainability- 
themed board meeting takes place to deep 
dive and make decisions on sustainability- 
and climate-related performance, action 
plans, strategy, and policies. 
The GMT consists of the CEO and Senior 
Vice Presidents (SVP) responsible for  
different business areas including a SVP of 
Operational Planning and Sustainability 
(profiles can be read here**).
The GMT ensures that corporate and 
sustainability strategies and goals align. It  
also approves, oversees, and ensures the 
effective management of sustainability 
and climate-related policies, risks, strategy, 
OUR SUSTAINABILITY GOVERNANCE
Good governance is essential to run our business sustainably  
and to meet our ambitious goals
GOVERNANCE STRUCTURE FOR SUSTAINABILITY
GROUP MANAGEMENT TEAM
SUSTAINABILITY TEAM
VEHICLE CONTRACT 
MANUFACTURING
ROOF & KINEMATIC 
SYSTEMS
EV SYSTEMS
SUSTAINABILITY
COMMITTEE
BOARD
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*https://www.valmet-automotive.com/company/board/
goals, and programs. The GMT moni-
tors and assesses quarterly reports on  
sustainability-related business line KPIs, 
including electricity and water withdrawal, 
**https://www.valmet-automotive.com/company/management/
23

health & safety, recycling rate, waste  
management and CO₂ emissions.
The Sustainability Committee contains 
people from the GMT and the Sustainability 
and Environment Director. The Commit-
tee´s task is to develop and advise on  
climate-related issues and the sustain- 
ability strategy, policy, processes, trends, 
risks, guidance and goals for the Board and 
GMT. The Committee also leads the mate-
riality and stakeholder assessments which 
are communicated to the Board and GMT.
The Sustainability and Environment  
Director is responsible for the operational 
management and leads the Sustainability 
Team. This team ensures the implementa-
tion of the common sustainability strategy 
and goals at the business line level and is re-
sponsible for the development and follow- 
up of local programs, goals, and actions.
An internal auditing system for sustain-
ability and its governance is part of the VA 
Operating System.
MANAGEMENT SYSTEM 
PROCESSES
The role of a management system is to har-
monize common processes and working 
methods internally, enhance transparency 
within the company and to communicate 
to all stakeholders how the company is or-
ganized and operated as well as ensure 
compliance with the relevant standards, 
customer, and authority requirements.
Valmet Automotive has a company- 
wide system that helps gather and unify 
documents of management system pro-
cesses from all three business lines into 
one central location. The system also  
allows linking e.g., sustainability processes 
to related certification and customer- 
specific requirements. As a result, the  
Valmet Automotive Group can more easily 
manage current trends and challenges 
as well as group-wide guidelines and pro-
cesses. Additionally, employees can easily 
Business line plants
Organization-wide 
Vehicle contract manufacturing (VCM)
Electric Vehicle Systems (EVS)
Roof and Kinematic Systems (RKS)
External certif ications
ISO 27001 	 Information security 
IATF 16949 	 Quality Management 
ISO 14001 	
Environmental Management
ISO 45001 	 Occupational Health & Safety Management
IATF 16949 	 Quality Management 
ISO 9001 	
Quality Management
ISO 14001 	
Environmental Management
IATF 16949 	 Quality Management 
ISO 9001 	
Quality Management
ISO 14001 	
Environmental Management
ISO 45001 	 Occupational Health & Safety Management
get an overview of their responsibilities. We  
continue to standardize proven models 
and then define KPIs from different busi-
ness areas with follow-ups.
To ensure robust implementation and 
management of sustainability aspects on 
a strategic and operational level, we utilize 
external certification programs. We are 
IATF 16949:2016 certified which covers 
quality management in the automotive 
sector supply chain and assembly.
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24

25

REINFORCING RESILIENCE IN A CHANGING 
OPERATING ENVIRONMENT 
Sustainability risks are integrated into our mainstream risk management to ensure 
strategic focus. 
Our operating landscape is changing 
swiftly with the increasing prevalence 
of sustainability issues and expectations 
from customers, regulators, and other 
stakeholders around sustainability. Our 
corporate and sustainability strategies  
focus on the low-carbon transition through 
e-mobility and are informed by sustain-
ability risks and opportunities. To ensure 
strategic focus, sustainability risks are inte-
grated into our mainstream risk manage-
ment process. 
Our risk management is steered by 
the Risk Management Policy, annually 
reviewed by the Board of Directors.  The 
main purpose of risk management is to 
identify, assess, monitor, and mitigate  
significant external and internal risks, which 
could affect or threaten the strategy we 
have put in place for the accomplishment of 
the objectives of our company. Identifying, 
assessing, and managing sustainability- 
related risks are realized in all business 
lines and at group level to help navigate 
operational and strategic risks, such as the 
ones discussed below. Sustainability and 
climate risks are considered and evaluated 
among other strategic, operative, hazard-
ous, and financial risks on a scale of severity,  
likelihood, and control. Risk reviews and  
reporting happen on a quarterly, half-yearly, 
and yearly basis depending on the risk 
characteristics and organizational level.  
Given the large spectrum and com-
plexity of sustainability issues, we continue 
to improve our risk management process 
to systematically integrate sustainability 
and harmonize across business lines 
through capacity building and targeted 
focus. Going forward, the role of reliable 
and transparent information on sustain- 
ability performance across our value chain 
becomes highlighted. Good-quality data, 
which supports  decision-making, will help 
decrease risks of reputational damage, 
non-compliance with our commitments, 
inefficient resource use. and limited oper-
ating licenses.
Informing our future risk work, we 
look to the Taskforce on Climate-related  
Financial Disclosures (TCFD), the upcoming 
regulatory requirements, and building 
our roadmap for science-based targets. In  
addition, we are planning to realize a new 
materiality assessment in 2023 that will 
feed into our risk work.  
EU SHIFTING TOWARDS A 
LOW-CARBON ECONOMY 
Current and upcoming regulations, under 
the EU´s Green Deal umbrella, focus on the 
just transition to reach carbon neutrality 
by 2050 and reduce emissions by 55% by 
2030, creating transitional risks and oppor-
tunities. In October, the EU approved to 
ban new internal combustion engine (ICE)  
vehicles powered by gasoline or diesel from 
2035 with other regions announcing similar 
legislation coming into effect between 
2030–2050. At COP27, the Zero Emissions 
Vehicle Declaration increased its reach to 
over 100 pledged with new business and 
government signatories. Our focus on  
enabling OEMs in their transition to 
low-carbon electrified mobility, aligns with 
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these developments. These trends also  
support green financing opportunities, 
technological developments, and customer 
preferences 
toward 
climate-conscious 
products.  
RESPONDING TO EVOLVING 
REGULATORY LANDSCAPE
We are building the capability to enhance 
processes, practices, and disclosure, to un-
derstand and respond to the various up-
coming policy and legislation changes 
focusing on sustainability issues such as 
disclosure, 
value 
chain 
management, 
green financing, and circular economy. 
Non-compliance might result in reputa-
tional harm, lost opportunities, or penal-
ties. The novelty and pace of change are 
challenges requiring adaptability and re-
sources. Changes in the legal framework 
at short notice can be associated with  
additional costs or higher investments. 
The current developing regulatory 
landscape supports the demand for 
low-carbon vehicles aligning with our busi-
ness objectives and expertise in the electric 
vehicle 
business. 
Collaboration 
across 
departments and with key partners is  
crucial to strategically identify and respond 
to the opportunities linked to these  
changes in our operating environment. 
VALUE CHAIN CRUCIAL TO 
FUTURE-PROOFING OUR 
BUSINESS 
Our most significant procurements are 
components, services, energy, and invest-
ments in production infrastructure such as 
assembly lines. As a Tier 1 supplier for OEMs, 
we also make direct procurements of e.g. 
battery components and logistical services. 
Supply-side challenges have continued 
with geopolitical instability, including the 
war in Ukraine, the energy crisis, inflation, 
and 
intermittent 
Covid-19 
lockdowns,  
affecting component shortages. From a 
sustainability lens, the automotive sector’s 
and e-mobility’s value chain is suscep-
tible to challenges in material sourcing,  
labor practices, human rights, and environ-
mental impact. Because of the complexity 
of technology going into batteries and the 
developing business nature of e-mobility, 
systems for supply chain management are 
still being developed.  
To support identifying sustainabili-
ty supply chain risk and improvement  
areas, we use a supplier self-assessment 
questionnaire (SAQ), which covers a large  
array of topics related to human resources, 
health & safety, responsible sourcing of 
raw materials, environmental manage-
ment, and other sustainability subjects 
aligned with current good practice and 
legislation.  
Working with our suppliers to set out 
clear expectations, we demand all of our 
suppliers to sign and adhere to our Supplier 
Code of Conduct (SCoC), which covers  
expectations on environmental manage-
ment, human rights, labor standards, and 
responsible conduct. The SCoC is integrated 
into the tendering process to ensure that 
all current and potential suppliers are fully 
aware of our requirements. Our client’s 
Code of Conduct applies in cases where 
vehicle components are procured accord-
ing to the client’s requirements. Along 
with SCoC, we request information on 
the supplier’s sustainability performance 
and goals prior to sourcing and during  
cooperation, for example through the SAQ 
and Conflict Minerals Reporting Template 
(CMRT). In addition to our code of conduct 
and requesting environmental, social, and 
governance information from our suppli-
ers, we are building more established due 
diligence practices that span across our 
value chain.  
To continue strengthening our re-
silience, we are building science-based  
climate targets aligned with the Paris 
Agreement which includes our value chain 
emissions. We have started dialogues with 
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suppliers to build collective solutions such 
as green freight corridors. In addition,  
upcoming regulatory changes require  
systematic 
sustainability 
risk 
process-
es and reporting throughout companies’  
value chains, such as the EU Battery Pass-
port and the EU Green Taxonomy. These 
bring opportunities in the coming years 
to help harmonize, collaborate and more  
effectively 
manage 
significant 
supply 
chain risks. Challenges remain with data 
quantity and quality to systematically prior-
itize and effectively manage sustainability  
aspects throughout our supply chain.  
CLIMATE AND 
ENVIRONMENTAL ASPECTS  
Acute physical climate-related risks include 
extreme weather events causing, for  
instance, power outages in manufacturing 
facilities and affecting global value chain 
logistics, resulting in raw material or com-
ponents bottlenecks. Chronic physical 
climate-related risks include extended 
drought periods, which can decrease the 
availability and thus increase the pric-
es of certain materials, whereas hot sum-
mers can affect production conditions and  
employee health and safety. For more  
information 
on 
climate-related 
risks, 
please see our CDP report. 
We announced our climate neutrality 
in our own operations in 2022 and we 
are constantly working to mitigate our  
negative impacts on the environment by 
reducing our CO2 emissions in our own  
operations and soon, also in our value 
chain through science-based targets. 
In our operations, we follow quarterly 
KPIs on environmental performance and 
manage impact on pollution, environmen-
tal incidents, water use, and others. All our 
factories (except Kirchardt which is in the 
set-up phase) are ISO 14001 certified and 
audited annually to ensure the manage-
ment of environmental risks. In addition, 
our True Green Initiative action plan  
includes improving energy efficiency, cir-
cular economy, and environmental perfor-
mance to build resilience and efficiency. 
We are following closely the rising volatil-
ity and uncertainty of energy costs which 
could affect the planned timelines for the 
remaining lower-emission energy projects. 
SOCIAL ASPECTS 
Attracting a skilled workforce in all loca-
tions is crucial for our company’s future. 
We aim to keep our salaries competitive 
while pursuing well-being and equal treat-
ment to ensure talent acquisition and  
continuity of business. 
In battery production, we have iden-
tified increased safety risks due to the 
handling of high-voltage battery systems, 
which are mitigated by rigorously updat-
ing Valmet Automotive’s safety practices 
and instructions. 
As a Tier 1 supplier, Valmet Automotive 
takes the product responsibility seriously  
through the whole product lifecycle from 
concept phase until decommissioning. 
We manage the product development 
and manufacturing in sustainable and 
safe manner with proper processes. At 
the same, we keep our policies and pro-
cesses up-to-date with external certifica-
tions such as  IATF 16949:2016. In battery 
development and production, we have 
identified  presence of safety risks due 
to the handling of high-voltage battery  
systems and lithium-ion battery cells, 
which are mitigated by rigorously updating 
Valmet Automotive’s safety instructions 
and state-of-the-art product development 
processes. Moreover, the product and pro-
ducer liability against product safety and 
environmental protection is top priority 
for the business responsibility for Valmet  
Automotive and such topics are actively 
trained for every member of the organiza-
tion.
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29

STAKEHOLDER ENGAGEMENT
As an international service provider for the automotive industry, we are constantly working to enhance stakeholder 
dialogue and coordination with identified key actors in our operating space such as our customers, personnel, 
owners, financial institutions, suppliers, local societies, authorities, and educational and local institutions.​
STAKEHOLDER
GROUP
CUSTOMERS
FINANCIAL 
INSTITUTIONS
SUPPLIERS
ADVOCACY GROUPS*, 
LABOR MARKET/ 
UNIONS
PERSONNEL,
DEPARTMENTS 
EXPECTATIONS
Creating value add, fulfilling 
contractual requirements, 
products conforming with the 
requirements   
Sustainable growth and profit,  
risk management
Co-operation as defined in contracts and 
forecasts, proper solvency, long-term 
agreements, risk management
Ethical and employee-focused business, 
reliable and interactive communication, 
and dialogue
Orientation to work, competence,  
motivation, training, personal and career 
development, ensuring equal and  
fair treatment at workplace 
BINDING OBLIGATIONS
Certified Management systems 
IATF16949, ISO9001, ISO14001, ISO 27001,  
ISO 45001; operational performance;
compliance with customer-specific  
requirements; customer audits
Reporting, compliance with contracts
Supplier Code of Conduct, contracts
Working according to the set common 
guidelines, collective agreements, Act on 
Co-operation within Undertakings
Providing health care,  ensuring and 
developing work safety requirements, 
ensuring employees’ equal treatment, 
non-discrimination policies
INTERACTION CHANNELS
Customer feedback, regular meetings, 
workshops, audits, reports, collaborative 
projects
Reporting  
(sustainability, financial, project related) 
Communication through contact persons, 
collaborative meetings and projects,  
supplier audits
Employee steward and  management 
communication, regular meetings
Training, internal newsletters, intranet, 
management meetings, face-to-face  
discussions, successor planning,  
competence mapping, performance  
review, quality inspections, safety walks, 
online surveys, compliance channel
 *Valmet Automotive is a member of several major industrial and relevant international automotive and professional associations (e.g. the battery strategy working group set by the Ministry of Economic 
Affairs and Labor in Finland).
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30

INSURANCE 
COMPANIES
EDUCATIONAL 
INSTITUTIONS
MEDIA
MUNICIPALITIES, 
SOCIETY AND 
AUTHORITIES
OWNERS AND 
BOARD OF 
DIRECTORS
INTERNAL 
BUSINESS LINES
CERTIFICATION 
AUTHORITIES
Work towards a safe and secure workplace, 
risk management, workforce training
Co-operation as defined in contracts and 
forecasts
Transparent, fast, ontime, reliable  
communication (proactive as well as  
reactive)
Collaboration to ensure the continuation  
of operation, license to operate, direct  
and indirect taxes, investments; safe,  
ethical and environmentally aware  
operation
Reputation, profit, and sustainable growth, 
risk management, continuous  
improvement, good governance
Ensuring business profitability, Identifying 
driving forces in the industry and leading 
the change, good governance
Continuous development, processed way 
of working
Insurance agreements
Actions according to contracts
Communication processes, nominated  
responsible persons available
Compliance with all regulations and  
requirements of the officials, common  
rehearsals and follow-up of changes in  
regulations and environmental permit,  
taxes, fulfilling environmental permits and 
other legal requirements (e.g. construction 
permits, town planning requirements)
Reporting, ensuring business profitability, 
risk management and sustainability policies
Common management system with  
harmonized processes and standards 
Fulfilling the demands of the standards and 
requirements
Meetings and audits
Workshops, training, thesis work, 
partnership programs, collaboration
 forums, visits at the plants
Media meetings, interviews, press  
releases, internet pages, social media 
channels, annual reports
Collaboration projects, meetings, regular 
audits, meetings as needed, business  
forums, local collaboration with the 
neighborhood, annual performance  
reports, authority inspections
Sustainability and financial reports, 
Board or Directors meetings,  
Shareholders’ General Meetings
Common intranet OnePlaza, meetings, 
training, newsletters, workshops,  
co-operation forums
Regular audits, meetings
EXPECTATIONS
BINDING OBLIGATIONS
INTERACTION CHANNELS
STAKEHOLDER
GROUP
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31

CASE   LARGE INVESTMENTS INTO 
BATTERY TESTING
Valmet Automotive invests into battery testing to offer customers high-class system 
development and safe & sustainable battery systems with top quality. However, new talent 
has been hard to find, so the company has increased training internally.
Along with the growing need for long-last-
ing and safe high-voltage batteries, the 
demand for battery testing is steadily in-
creasing. Over the past few years, Valmet 
Automotive has made significant invest-
ments to increase its battery testing ca-
pacity.
The company operates hundreds of 
different tests to ensure battery safety and 
quality. Within its three test centers, it fo-
cuses on automotive customer battery val-
idation in Bad Friedrichshall, technology 
testing in Weihenbronn, and off-highway 
applications in Uusikaupunki.
“Battery testing has a major impact on 
product quality and development. It en-
sures successful and sustainable business 
for Valmet Automotive and its customers,” 
says Stefan Sommer, Director for Battery 
Testing at Valmet Automotive.
Valmet Automotive has the capability 
to conduct electrical, life cycle, function, 
performance, and high voltage safety tests 
on batteries. In overload tests extreme 
conditions and mechanical stress are sim-
ulated to see what happens if batteries are 
misused or used in harsh conditions.
SOURCE OF KNOW-HOW FOR 
PRODUCT DEVELOPMENT
A lot of knowledge is needed to develop a 
safe and long-standing battery. This is why 
Valmet Automotive aims to build up mas-
sive testing capabilities.
The company has already invested in 
an experienced and talented team of pro-
fessionals. The test centers employ around 
50 people, and the target is to increase the 
number to 80 employees in 5–7 years. As 
the field of battery testing is reasonably 
young and the availability of talents is lim-
ited, Valmet Automotive has decided to 
train new employees internally.
“We have a lot of experience, so why 
not share it with motivated talents who 
might not have the experience yet,”  
Sommer sees.
THOROUGH TESTING ENSURES 
A LONG BATTERY LIFE
The upcoming battery regulations will re-
quire a longer, safer, and more sustainable 
life cycle for batteries worldwide. The re-
quirements will increase the need for test-
ing, and Valmet Automotive intends to be 
one step ahead. Valmet Automotive is al-
ready evaluating new second-life options 
for vehicle batteries, i.e. in industrial energy 
storage systems.
“We need to ensure that the complete 
life cycle of a battery can be extended af-
ter its usage in the first product. And such 
applications require new ways of testing,” 
Sommer concludes.
Valmet Automotive has a unique safety 
concept to ensure that hazardous tests can 
be conducted safely. Tests are carried out 
in separate testing boxes, and the events in 
the boxes can be monitored on screen in a 
separate room.
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33

CASE  DEVELOPING CARBON NEUTRAL 
OFF-HIGHWAY VEHICLES WITH A CONSORTIUM
Valmet Automotive is part of the SIX Mobile Machines consortium, which aims to be  
a pioneer in the green and digital transition in the field of off-highway vehicles.
The SIX Mobile Machines consortium, which 
is made up of manufacturers, technology 
companies, and research institutes, has 
drawn up a road map aimed at promoting 
the development of future off-highway ve-
hicle with green and digital solutions, en-
suring the availability of skilled labor and 
increasing the visibility and efficiency of  
decision-making in the sector.
In Finland, off-highway vehicle pro- 
duces four percent of the country’s carbon 
dioxide emissions*. There is a desire to re-
duce the emissions from vehicle used in 
logistics, mines, agriculture, and forestry, 
while increasing process efficiency.
Valmet Automotive participates by 
contributing its expertise in electrification 
and battery technology.
”Electrification and the use of different 
battery technologies play a key role in the 
digital-green transition Valmet Automotive 
is an active developer of key technolo-
gies, its vision, and experience are needed 
to achieve the goal”, says Harri Nieminen 
from the Technical Research Centre of Fin-
land (VTT), the leader of the SIX initiative.
THE CONSORTIUM WILL 
IMPLEMENT THE NATIONAL 
BATTERY STRATEGY 
Valmet Automotive has been involved in 
the development of a national battery strat-
egy for Finland, which aims to promote 
the battery industry through cooperation,  
innovation, and investment across the  
country. THE SIX Mobile Machines consor-
tium implements the developed battery 
strategy in concrete terms.
The 
consortium 
aims 
to 
achieve 
the digital green transition of the off- 
highway vehicle through various projects.  
Valmet Automotive is involved in four 
projects of the consortium. The Future  
Electric Mobile Machines project develops 
life-span and electronic technologies for 
off-highway vehicle, and the Strategic 
insight project develops a foresight toolkit 
to support the transition to sustainable 
growth.
The competitiveness of data project 
is looking at how to create new business 
from data collected on batteries in the  
future. In addition, a fourth project will be 
launched in early 2023 to explore options 
for reducing emissions from off-highway 
vehicle.
COOPERATION IS A 
PREREQUISITE FOR 
PIONEERING 
The mission of the SIX Mobile Machines 
consortium is to lay the foundations 
for future innovation. When compa-
nies open up their needs to researchers,  
research institutions can focus their  
research on future needs. At the same 
time, research has provided new ideas 
for companies.
Through 
the 
consortium, 
Valmet  
Automotive has also been able to iden-
tify the needs of the off-highway vehicle 
manufacturers in relation to electronic 
solutions. One of the objectives of Valmet 
Automotive is to create standard prod-
ucts that could serve as many types of  
land vehicles as possible.
“Finnish off-highway vehicle manu-
facturers are already leading the way on 
many fronts and the purpose of the con-
sortium is to strengthen Finland’s position 
internationally in the industry. The cur-
rent cooperation ensures that the solu-
tions benefit as many people as possible”, 
says Mika Kinnunen, representing Valmet  
Automotive in the consortium.
* Government: Cost-effective means to reduce 
emissions from off-highway vehicle, 2022 (in Finnish)
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Respecting planetary boundaries is at the heart of everything  
we do. We work towards reaching a low-carbon value chain and  
adding environmental values into decision-making processes.  
Digitalization is the key to driving green transformation,  
and partnerships for developing circular opportunities.
PLANETARY
BOUNDARIES
CARBON NEUTRAL OPERATIONS  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  38
EFFICIENT USE OF RESOURCES .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  44
36

64%
Recycling rate of waste
-80%
CO2 emissions from own 
operations (scope 1 & 2) 
from 2019 (base year)
  Commitment to set
  SCIENCE-
BASED 
 targets
37

CARBON NEUTRAL OPERATIONS SINCE 
THE BEGINNING OF 2022
We achieved externally validated carbon neutrality for our own operations (scope 1 & 2)  
from the beginning of 2022. The next step in our climate work is to examine opportunities  
to decrease CO₂ emissions in our supply chain (scope 3).
Reducing climate impacts has become an 
absolute must in the automotive industry, 
and it is what our customers are expecting 
from all their suppliers. At Valmet  
Automotive, we have done persistent work 
to achieve carbon neutrality and reduce 
our CO₂ emissions by 80% in our own op-
erations (scope 1 & 2) from the level of 2019.
Emissions from our own operations are 
mainly generated by the used energy, es-
pecially heating, so we promote the CO₂ 
neutrality target primarily by reducing en-
ergy consumption and by replacing exist-
ing sources of energy with renewable al-
ternatives. The remaining emissions have 
been compensated, and we aim at reduc-
ing CO₂ emissions from our own opera-
tions by 2027 by replacing all energy sourc-
es with renewable options.
There has been a slight increase in our 
scope 1 emissions in 2022 which is due to 
adding refrigerant gases into the emission 
calculations. However, our scope 2 emis-
sions have maintained on the level of 2021 
or below, even though the Electric Vehicle 
Systems (EVS) business has grown notably.
ENERGY CRISIS POSTPONING 
PLANS
Most of our own operations’ (scope 1 & 2) 
emissions originate from Vehicle Contract  
Manufacturing (VCM), 80 percent. In 2022, 
the only remaining sources of CO₂ emis-
sions originated from using fuel oil in 
the paint shop and body shop furnaces. 
We planned to replace fossil fuel with re-
newables in 2022. However, the process is 
still ongoing due to the uncertainties in 
the energy market. In 2022 we managed 
to reduce the consumption of liquefied  
petroleum gas (LPG) by shutting down the 
body shop furnaces for the time being. We 
are also running a pilot study on how to  
replace LPG in the long run.
Our aim was also to open a terminal 
for renewable energy in 2023. Due to risk 
management and the current situation in 
the energy market, the project has been 
postponed. However, Valmet Automotive 
is seeking options to replace fossil fuels 
with renewables  by 2027.
CIRCULATED ELECTRICITY 
FROM BATTERIES
In the EVS business line locations, the only 
remaining sources of CO₂ emissions were 
the heating energy in the Salo plant and 
German locations where we are negotiat-
ing to switch to renewable energy. In the 
battery plants, we have utilized discharged 
electricity from scrapped batteries for 
electricity of the battery testing system 
to support circularity. In addition, we are 
planning to install photovoltaic panels on 
the new battery plant in Kirchardt.
In battery manufacturing, the main 
parts of the batteries, such as aluminum and  
copper, cause significant CO₂ emissions. 
We are looking for solutions to provide lower 
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PRODUCTION & PROCUREMENT 
     SALES, DISTRIBUTION & USE
VALMET AUTOMOTIVE 
COMPANY
VEHICLES
COMPANY
FACILITIES
PURCHASED
ELECTRICITY, STEAM, GAS & OIL
HEATING & COOLING
FOR OWN USE
INDIRECT
SCOPE 3
INDIRECT
SCOPE 3
DIRECT
SCOPE 2
 0 CO2
Our operations (scope 1 & 2) 
are carbon neutral from  
the beginning of 
2022.
We aim 
to reduce
 emissions from 
the supply chain 
(scope 3). 
CO2e* EMISSIONS WE REPORT
DIRECT
SCOPE 1
CH4
N2O
HFCs
PFCs
SF6
CO2
EMPLOYEE COMMUTING
PURCHASES
CAPITAL 
GOODS
ENERGY 
UPSTREAM
TRANSPORTATION
WASTE
BUSINESS TRAVEL
* CO2e, carbon dioxide equivalent, describes the global warming potential of all greenhouse gases. The impact of different greenhouse gases is expressed in terms of the amount of 
CO2 that would result in the same amount of warming.
TRANS-
PORTATION
AND 
DISTRIBUTION
USE OF SOLD
PRODUCTS
END-OF-LIFE TREATMENT 
OF SOLD PRODUCTS
LEASED ASSETS
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39

levels of CO₂ emissions for the main metals 
as demand from customers increases.
EFFORTS FOR REDUCING 
SUPPLY CHAIN EMISSIONS
The impact of achieving carbon neutrality in 
our own production is remarkable. However, 
over 95% of all our CO₂ emissions are gener-
ated in the supply chain, and hence, we will 
be focusing on reducing supply chain emis-
sions (scope 3) in the upcoming years.
Most of the supply chain emissions 
stem from either purchased goods and 
services, especially from materials, ma-
chinery, and logistics. During 2022, we col-
laborated with our logistics partners with 
the aim to reduce CO2 emissions. The level 
of CO₂ emissions was one of the criteria 
in the logistics partner selection pro-
cess. In addition, we arrange regular col-
laboration meetings to find solutions to  
optimize logistics and thereby reduce 
CO₂ emissions.
All our suppliers commit to reducing 
CO₂ emissions by signing our Supplier 
Code of Conduct. We follow up on the 
progress of our main suppliers by col-
TOOLS FOR REDUCTION
Renewable
electricity (VCM)
Renewable
energy (VCM)
Switching company 
cars to electric and 
hybrid
Setting 
science-based 
targets
Compensation of
unavoidable CO2
emissions
2019
base year
2020
2021
2022
2024
–50%
emissions
–70%
emissions
Renewable 
electricity 
(EVS & RKS)
Examining renewable energy 
sources (EVS & RKS)
2023
–80%
emissions
CO2 
emissions
Valmet Automotive 
C0₂ neutral in own 
operations since 2022
VCM = Vehicle Contract Manufacturing
EVS = Electric Vehicle Systems
RKS = Roof & Kinematic Systems 
2025
Replacing
fuel oil (VCM)
37,000 tons CO2e
 13,375 tons CO2e 
TIMELINE FOR CO2 NEUTRAL VALMET AUTOMOTIVE GROUP
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lecting and evaluating data through a  
supplier questionary.
REGULAR EVALUATION OF 
OUR PROGRESS
The effectiveness of the actions we take 
is regularly reviewed. The Sustainability 
Committee checks the progress quarterly 
and makes sure that we are following 
the CO₂ neutrality roadmap. In addition,  
another party (external consultant) reviews 
our progress regularly. We have also  
established CO₂ footprint calculation for 
our own product.
All three business lines report to the 
corporate 
management 
the 
relevant  
environmental key performance indica-
tors (energy and electricity consumption, 
CO2 emissions, recycling rate) quarterly. 
Corrective actions are taken if the targets 
are not met. Best practices and pilots are 
also shared between corporate functions 
and 
business 
lines. 
Stakeholders 
are  
engaged in the process by e.g. maintaining 
a constant dialogue with customers and  
industry and research associations on both  
national and industry levels on low carbon 
roadmaps and their practical application.
In 2022, we also signed a public com-
mitment 
letter 
to 
set 
science-based  
climate targets. The targets will be in line 
with the Science Based Targets Initiative, 
81% OF CO2 EMISSIONS* FROM 
MANUFACTURING IN 2022
Vehicle Contract Manufacturing 6,738 tCO₂e
Electric Vehicle Systems 699 tCO₂e
Roof & Kinematic Systems 930 tCO₂e
81
%
11
8
* Emissions from own operations, scope 1 and 2 (market-based).
2020
2021
tCO2
20 000
10 000
5000
0
15 000
2022
Total 
15,470
Total
8,126
Total
8,370
7,832
7,638
7,677
7,924
449
446
CO2 EMISSIONS FROM OWN 
OPERATIONS 
Scope 1
Scope 2
Scope 1 includes emissions from own and leased premises’ fuel 
consumption and company-leased vehicle fuel consumption. 
Refrigerant gases have been added to the calculations for 2022.
Scope 2 includes emissions from purchased energy (market-based).
indicating how much and how quickly 
the company needs to reduce its green-
house gas emissions to limit global warm-
ing from exceeding 1.5 °C aligned with the 
Paris Agreement.
VERIFIED CARBON 
NEUTRALITY
Our carbon neutrality has been verified  
according to PAS 20260, a global standard 
for carbon neutrality. The remaining CO₂ 
emissions in scope 1 & 2 (8377 CO₂e) were 
compensated by funding a wind power 
project in Thailand. The compensation 
program was selected against certain cri-
teria: the project is verified by a recognized 
third party (Gold Standard) and it supports 
Valmet Automotive’s targets for renewable 
energy and selected UN Sustainable  
Development Goals.
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200 000
150 000
100 000
50 000
0
2020
MWh
2021
2022
ENERGY CONSUMPTION
61,288
92,145
153,433
* District heating, natural gas, light fuel oil and LNG
Total
Purchases (cat. 1) 	
tCO2e
Capital goods (cat. 2)	
tCO2e
Fuel and energy-related activities (cat. 3)	
tCO2e
Transportation and distribution (cat. 4)	
tCO2e
Waste generated in operations (cat. 5)	
tCO2e
Business travel (cat. 6)	
tCO2e
Employee commuting (cat. 7)	
tCO2e
Upstream leased assets (cat. 8)	
tCO2e
Downstream transportation 
and distribution (cat. 9)	
tCO2e
Use of sold products (cat. 11)	
tCO2e
End-of-life treatment of sold products (cat. 12)	 tCO2e
SCOPE 3 CO2e EMISSIONS (SUPPLY CHAIN), 2021
SCOPE 3
122,047*
53,101
11,098
6,205
45,742*
1,178*
119
4,603
Electricity consumption (MWh) 
Heating energy consumption (MWh)* 
65,153
117,361
182,514
Scope 2, market-based    	
tCO2e	
7,832.1	
448.7	
446
Scope 2, location-based   	
tCO2e	
16,236.6	
20,009	
17,177
2020	
2021	
2022
SCOPE 2 EMISSIONS
2020	
2021
137,800
64,437
21,980
8,851
33,804
2,267
293
5,596
363
56
119
35
*Numbers from 2020 have been revised. 
Spend-based calculations.
67,090
99,470
166,560
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43

EFFICIENT USE OF RESOURCES
With Circular Economy, we can create sustainable growth and reduce our CO2 emissions.
We aim to improve the efficient use of  
materials and resources, e.g. packaging  
material, waste, water, and energy, as well 
as develop procurement practices that  
support circularity. Developing circularity 
is included in our sustainability strategy 
and the True Green Initiative. In particular, 
the Green manufacturing workstream has 
identified activities that are closely related 
to circular economy:
	
• 	Identifying operating methods that
 	 	 support circular economy
	
•	 Increasing internal communication
 	 	 and training to raise awareness of 
	
	 sorting
	
•	 Implementation of material flow 
	
	 analysis to reduce waste flows
We have set targets for the recycling rate 
of waste (65%) and the reduction of water 
withdrawal. These indicators (KPIs) are part 
of our environmental program and are 
monitored regularly in each business line. 
The development is reviewed quarterly 
by the Group Management Team. Other 
targets related to the circular economy are 
in progress.
ENGAGING WITH 
STAKEHOLDERS
EU has launched an action plan for the  
Circular Economy, and Circular Economy 
is also included in the upcoming EU  
Taxonomy regulation. Our owners, clients, 
and investors have also expressed their in-
terest in the topic.
We have created an ethical guide-
line for suppliers, the Supplier Code of  
Conduct, which among other things,  
obliges suppliers to improve their resource  
efficiency and reduce the environmental 
impact of their operations, products, and 
services. In the future, the creation of com-
mon practices would help to systematically 
guide procurement toward a more sustain- 
able direction.
The concept of circular economy has 
already landed in the automotive industry 
and can be seen in many car manufac-
turers’ operations. In battery production, 
the importance of transparent data from 
the product’s life cycle and its recycling  
possibilities are important topics that we 
are also addressing.
CIRCULAR ECONOMY 
ROADMAP IN PROGRESS
In 2022, we launched circular economy 
projects at our Uusikaupunki plant and 
partnered up with our waste manage-
ment service provider to build a circular 
economy roadmap for our operations. In 
the initial phase of the project, we collected 
more than 60 development ideas from  
different functions. The next step is to  
define the actual roadmap.
In addition, we updated our instruc-
tions, produced an animated video about 
circular economy for internal distribu-
tion, and are creating a Circular Economy 
Handbook for our personnel to raise aware-
ness on how to boost circular economy in 
our daily work routines. The handbook will 
be also utilized in our other locations and 
translated to local languages.
PARTNERSHIPS TO BOOST 
CIRCULAR ECONOMY
Partnerships play a crucial role in our  
sustainability strategy. Partnerships will 
have a notable impact in developing and 
reaching our targets in circular economy, 
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100 000
50 000
0
150 000
2020
2021
2022
WATER WITHDRAWAL, m3
Electric Vehicle Systems
Vehicle Contract Manufacturing
Roof & Kinematic Systems
Total 
115,995
110,133
Total 
133,538
124,834
Total weight of waste generated in metric tons, and 
a breakdown of this total by the composition of the waste
Other waste
Metals
Paper, carton & cardboard
Energy waste
Hazardous waste & WEEE1
Plastic
Batteries
Reusable pallets and wooden pallets
WASTE GENERATED, T
2022
Total
128,667
114,714
11,104
(2021: 6,539)
3,434
2,653
1,942
1,191
744
644
275
220
1Waste electrical and electronic equipment
2,725
3,380
4,561
 3,137
5,324
9,392
80%
40%
2020
2021
2022
GOAL
58%
61%
64%
65%
RECYCLING RATE OF WASTE
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45

as the material volumes flowing through 
our production are significant.
At the Uusikaupunki car plant, the 
packages for vehicle components are  
circulated back to the suppliers and  
reused several times. Reusable packages 
are also extensively utilized in our battery 
plants. Most of the other packaging mate-
rials are recycled as material. At the Roof & 
Kinematics Systems (RKS) plant in Zary, we 
partner with one of the suppliers to repair 
scrapped wooden pallets for reuse or for 
recycling the material for furniture.
We collaborate with Lindström Group 
at Uusikaupunki and Salo plants to recycle 
worn-out working clothing. At the Salo 
battery plant, working clothes are rented. 
We have also initiated a partnership for  
recycling used ICT equipment. Office  
furniture that is no longer needed is do-
nated to charity.
These measures are aligned with our 
True Green Initiative and 2027 sustain- 
ability goals, and we are constantly looking 
for opportunities to improve circulation of 
material flows at all our production sites.
We partner with Fortum for efficient 
recycling of scrapped batteries from pro-
duction at the battery plants in Salo and 
Uusikaupunki, and we are planning to apply 
the same process in Kichardt, as well. We 
are also preparing our products to be 
aligned with the EU Battery Passport. The 
regulation will provide reliable and trans-
parent data throughout the battery accu-
mulators’ life cycle and improve the oppor-
tunities for battery recycling.
WASTE MANAGEMENT
Valmet Automotive’s target for recycling 
rate is 65 percent. The total amount of 
waste in 2022 increased to 11 000 tons, and 
the recycling rate was 64 percent. Targets 
will be updated in 2023.
Most of Valmet Automotive’s waste is 
produced in the Vehicle Contract Man-
ufacturing business line (VCM), where 
packaging materials, such as cardboard, 
metal, and plastic, create most of the 
waste. The majority of those are recycled, 
and the rest, e.g. contaminated card-
board, hard plastic, and gloves, are in- 
cinerated and utilized as heat.
The recycling rate increased to 69  
percent in VCM in 2022. The increase was 
mainly due to diverting the reusable metal 
and plastic packaging materials to recy-
cling. The calculation of the recycling rate 
was refined in 2022, so the result is not  
fully comparable with previous years. After 
the end of one of our manufacturing con-
tracts, we were unable to utilize all the  
remaining materials in ongoing customer 
projects.
We also reached the recycling target 
in the Electric Vehicle Systems business 
line. The average recycling rate reached 
81 percent. The ramp-up of the plant in  
Kirchardt generated a mass of construc-
tion waste which is still challenging or  
impossible to recycle. In Kirchardt, we are 
building a recycling system for the plant 
with a new service provider. In addition, 
a thesis writer started to research the  
opportunities for improving recycling at 
the Salo plant. The goal of the project is to 
create a communication plan and a plan to  
improve recycling in collaboration with our 
service provider in 2023.
Most of the hazardous waste is gener-
ated in the paint shop at the Uusikaupunki  
“Customer 
demand is  
shifting towards 
climate friendly 
vehicles.”
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46

47

plant. At the battery plants, most of the  
hazardous 
waste 
is 
generated 
from 
scrapped batteries. Some parts of the bat-
teries can be salvaged and reused in pro-
duction, while scrapped battery parts are 
transported to our service provider Fortum 
for further processing and recycling.
At the RKS plant in Zary, the main chal-
lenge for 2022 was to find a partner for  
recycling textile waste. As the textiles are 
impregnated for vehicle usage and con-
tain significant amounts of chemical sub- 
stances, finding a solution for their recy-
cling in Poland has turned out to be chal-
lenging. However, finding a partner for 
textile recycling is crucial for reaching the 
target for the recycling rate. In 2022, the 
rate resulted in 42 percent.
At Valmet Automotive, we evaluate 
the effectiveness of the actions based on 
data on the progress of the KPIs collected 
monthly from each business line. The top 
management reviews the progress quar-
terly. Corrective actions will be taken if sig-
nificant challenges occur. We continue 
to annually improve our data quality on 
waste based on identified challenges and 
updated standards.  
WATER MANAGEMENT
Water circulation is also part of circular 
economy. 
In 
2022, 
water 
withdrawal 
decreased in each business line mainly 
because of less production that directly 
affects water usage. We mostly use raw 
water in our production processes in the 
VCM business line.
Water usage is only minor in the pro-
duction processes of the RKS business 
line, and at the battery plants, water is only 
used as sanitary water.
The targets for water management  are 
defined by the energy group and approved 
by the management. Water withdrawal  
is one of the KPIs of our environmental 
program. Aligned with our sustainability 
agenda, we are looking into water manage- 
ment programs. We also report our ef-
forts for water security to CDP (Climate 
Disclosure Project). CDP reviews, for ex-
ample, the company’s disclosure of water- 
related risk management and withdrawal. 
In 2022, we received the score C, aware-
ness level, and strive to constantly leverage 
the score.
We are also about to implement a Wa-
ter Efficiency Plan in which we assess the 
water flows in our processes. Our goal is to 
develop methods to reduce water with-
drawal based on the analysis.
VOC EMISSIONS
We strictly measure VOC (Volatile Organic 
Compounds) in VCM. The limit value in 
the Uusikaupunki plant’s environmental 
permit is 45 g/m2, but the internal target  
is more ambitiously set at 19 g/m2. The  
target was reached in 2022, resulting in 
17.2 g/m2. We managed to lower the emis-
sions by working in close cooperation with 
material suppliers and actively looking for 
tools for reduction. From time to time, we 
conduct tests with new materials and test 
their suitability for our use. For example, in 
2022 we conducted an experiment on the 
use of a new clear coat.
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48

49

OUR PEOPLE
We want to foster and develop employee well-being,  
support continuous learning, and provide our employees  
with opportunities for career development.
OUR PEOPLE
MANAGING HR TOPICS  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 52
OUR PEOPLE AT THE CORE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 53
HEALTH AND SAFETY AT WORK  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 58
LEADERSHIP PROGRAM  . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 62 
50

93
Nationalities
~4,000
         employees
9.4 
group-level rate of  
accidents (LTIF) 
51

MANAGING HR TOPICS
The human resources strategy of Valmet Automotive Group leans on six pillars: transforming 
HR to proactive and predictive services, agile practices, learning organization, integrated 
employee well-being, employee branding, and enhancing diversity in the organization.
HR strategy and targets (excl. health and 
safety topics) are prepared by Group HR. 
Group HR formulates the strategy, poli-
cies, and goals in collaboration with the 
Business Line HR Leads. The HR strategy, 
including targets and actions, is discussed 
and approved in our Group Management 
Meeting.
The role of Group HR is to facilitate and 
set the standard, include business lines’ 
views into the big picture, and be respon-
sible for monitoring and implementing the 
strategy in the business lines.
TRACKING THE 
EFFECTIVENESS OF OUR 
ACTIONS
To track how committed our people are, 
we regularly monitor the turnover rate of 
our employees and ask our people how we 
are doing through the Pulse Check Survey. 
Other key performance indicators (KPIs) of 
HR are absence rate and diversity, includ-
KEY STRATEGIC LEVERS OF THE HR STRATEGY 2021–2027
1 	 THE 5 COMMITMENTS
	
•	 Developing culture through leadership development and training
2 	EMPLOYER BRANDING & VALUE PROPOSITION
	
• 	Being an employer of choice by elevating employee experience
3 	LEARNING ORGANIZATION
	
• 	Cultivating a learning mindset at all levels through formalized structures, 	
	
	 change leadership and psychological safety
	
• 	Establishing a learning environment through a mix of stretching 
	
	 on-the-job experience and formal training, e.g., digital learning
4 	TRANSFORMATION OF HR
	
•	 Transforming HR into a data driven HR with a consultative role
5 	AGILE PRACTICES
	
• 	Enabling people and leadership to apply agile methods and processes
	
• 	Implementing organizational change by adjusting functions, 
	
	 hiring new positions
6 	INTEGRATED WELL-BEING
	
• 	Supporting our employees’ work/life balance and personal growth
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
ing the number of nationalities and gen-
der ratio on different levels of the organ-
ization. Targets are set for turnover and 
absence rates. Also, an action plan is in pro-
gress, including a systematic structure for 
exit interviews to identify the root causes 
for leaving the company.
As for diversity, we are committed to of-
fering equal opportunities in employment 
and education, and respecting the diverse 
backgrounds of our employees in our Code 
of Conduct. No separate diversity strate-
gy or action plan has been created. How-
ever, we evaluate each candidate and sal-
ary based on a structured job architecture 
framework. 
The KPIs are reported to the Board 
twice a year. The development is also dis-
cussed regularly in the People and Culture  
Committee of the company, where the 
Senior Vice President Group HR, owners, 
the Chair of the Board, and in 2023 also the 
CEO, are represented.
52

OUR PEOPLE AT THE CORE
Our employees are our most important source of competitive strength. We are focused 
on creating conditions, where our people can be at their best, both professionally and 
personally.
We have a significant impact on peo-
ple’s well-being by employing thousands 
of people. From the company’s perspec-
tive, the market of competencies in elec-
trification is challenging. The availability of 
talented workforce is limited, and we are 
competing with many other companies.
The year 2022 was challenging from 
both recruitment and well-being points 
of view. The external circumstances have 
caused 
insecurity. 
These 
challenges 
are something we will not overlook 
but will actively search for ways to sup-
port our people. For example, in 2023 
supervisors 
will 
receive 
training 
on 
how to pay attention to early signs of  
mental health issues.
FEEDBACK FROM OUR PEOPLE
In 2022, we changed the platform for 
our Pulse Check Survey that not only  
measures how we live our Commitments 
but also other important areas such as re-
ward, strategy, organizational fit, meaning- 
ful work, environment and autonomy. 
The target was to benchmark our results 
against the industry averages (employee 
Net Promoter Score, eNPS) and to col-
lect and analyze data more dynamically.  
Even more importantly, the new plat-
form is providing us the possibility to 
continuously listen to our employees 
through real-time insight. This allows us 
to take the necessary actions and respond 
very quickly. In 2022, the engagement 
score was slightly negative (eNPS: -5). Our 
target is to reach net zero in 2023.
Our employees appreciate especially 
the collaboration between teams, the  
sustainability of the battery business, and 
the high quality of our roof and kinematic 
products. In Vehicle Contract Manufacturing 
(VCM), we were strong in goal setting, free-
dom of opinion, and providing peer rela-
tionships. Our strengths are at giving our 
people responsibility and trusting their 
skills. Despite the sudden changes in VCM 
production, people have felt that they are 
psychologically safe and that they have  
opportunities to develop.
However, we need to improve in sup-
porting mental health, workload, rewards, 
and providing spaces for employees to  
socialize with others. Action plans will be 
created in the business lines to respond to 
our employees’ concerns.
The global situation and the cor- 
responding changes in production have 
caused uncertainty and exhaustion among 
our employees in Electric Vehicle Systems 
(EVS). People are motivated, but the work-
load has sometimes grown heavy. In 2023, 
we intend to curb burdesome changes in 
production and work shifts at the Salo plant 
and develop our processes and interfaces in 
cross-functions departments.
In VCM, we will be focusing on three 
main areas to increase our people’s sat-
isfaction. First, we will focus on educat-
ing supervisors on mental well-being and 
providing additional services in occupa-
tional health care. In addition, we will con-
centrate on clarifying what the meaning-
fulness of work means to our production 
workers and increase transparency of our 
salary structure.
In Roof & Kinematic Systems (RKS), we 
will update old IT equipment and provide a 
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counseling phone service for our employ-
ees with a third party. One challenge in RKS 
has been the low response rate to the Pulse 
Check Survey. In 2023, we will promote the 
survey better and raise awareness of the 
anonymous data collection of the survey.
REASONS FOR LEAVING THE 
COMPANY
The turnover rate is one indicator of the 
commitment of our people. This was  
reasonably high in EVS (17.5%) where pro-
cesses are still in progress. Due to this, 
some people have felt lost and tired. To 
find out the root causes behind the issue, 
we decided to form a transformation team 
dedicated to the topic.
Among the production workers in 
EVS, reasons for leaving were for instance,  
laborious shift work and distance to plants. 
The cost of living has increased notably 
in 2022, and the development of wages 
has not held parity. We have budgeted 
some salary increases for 2023, and in addi-
tion, will pay attention to communicating 
the salary structure and benefits better. 
The reasons for office employees’ resig-
nations were most commonly slow career 
development, lack of established process-
es, and lack of proper communications on 
the change of the company structure.
In RKS, the turnover rate grew among 
office employees from 7.1% to 12.4%. The 
THE MAJORITY OF OUR 
EMPLOYEES WORK IN VEHICLE 
CONTRACT MANUFACTURING
59.0
27.8
%
12.2
Vehicle Contract Manufacturing  (2,421)
Electric Vehicle Systems  (1,141)	
Roof & Kinematic Systems (501)
Group corporate functions (40)
In all 4,103
Status 31.12.2022. External contracts on page 75.
1.0
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reasons were similar to the other business 
lines. In addition, the local job market has 
managed to provide new interesting op-
portunities. In 2023, we will focus on im-
proving our communication, leadership, 
and salaries.
In VCM, the sudden changes in produc-
tion caused employee reductions in 2022. 
However, the turnover rate has stayed at a 
decent level: 11.3% among production em-
ployees and 6.6% among office personnel.
DEVELOPMENT 
OPPORTUNITIES
Continuous learning is one of our 5 Com-
mitments. In order to promote learning, 
growth, and exchange among our employ-
ees, we make every effort to provide learn-
ing opportunities on our platforms, such as 
our LMS (Learning Management System). 
We continue to build our own eLearning 
opportunities for specific needs such as we 
did with our Finance experts when creating 
“Finance for Non-Finance People”. In addi-
tion to a countless number of off-the-shelf 
formats, we encourage our people to attend 
and engage in our online training platform 
VAcademy. The idea is that anyone can take 
a course with their supervisor’s approval 
whenever it fits their schedule.
These learning opportunities are not uti-
lized to their full potential, mainly because 
<30 years old (940)	
30–50 years old (2,228)
>50 years old (935)
AVERAGE AGE 40 YEARS
22.9
54.3
22.8
%
Permanent        Temporary
98% PERMANENT EMPLOYEES
98
%
Status 31.12.2022.
2
of a lack of time. A big challenge is having 
training available when it is needed to make 
sure learning is connected and relevant to 
work. We are looking for ways to support 
our people to find room for learning. In 
the meantime, we are training our man-
agers on leadership (read more p. 62). We 
have also increased coaching sessions and 
mentoring opportunities not only as part 
of our leadership development program. 
Additionally, we offer voluntary education  
support for degree-oriented education.
In 2022, we started a new career path 
training program for non-Finnish employ-
ees in VCM. The need for development op-
portunities for non-Finnish-speaking em-
ployees came up in the 2021 Pulse Check 
Survey. In 2022, we arranged three training 
programs in English: from car builder to 
team leader, from car builder to ICT spe-
cialist, and from team leader to supervisor. 
During the year, 36 employees were pro-
moted to supervisor or team leader, most 
of them participants in these programs.
EMPLOYEE BENEFITS
In Finland locations, we offer our employ-
ees different benefits, e.g. for culture and 
sports activities and a wider occupational 
health service than required by law.
In the EVS locations in Germany, we 
have an employee referral program in 
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ONE WOMAN 
IN THE BOARD
17
%
Status 31.12.2022
93
 NATION-
ALITIES
place, through which our employees can 
receive a bonus when a person they have 
referred is recruited to work with us. In RKS, 
we offer bonuses twice a year to employ- 
ees who have been on sick leave for less 
than five days during the year and com-
muting support for employees who travel 
a distance of over 12 km.
To encourage employees in sustainable 
behavior, Valmet Automotive introduced a 
bicycle benefit program in Germany last 
year. This program will be expanded to 
other locations in 2023.
REMUNERATION POLICIES 
In 2022, we created a policy for the CEO’s 
and board members’ remuneration. The 
policy was prepared by the Group HR and 
approved by the Board. The policy was also 
discussed in the Board´s People and Cul-
ture Committee. An external consultant 
was involved in benchmarking the remu-
neration.
73% OF ALL 
EMPLOYEES MEN
73
27
ONE WOMAN IN THE 
MANAGEMENT TEAM
90
10
%
Women	
Men
Women	
Men
%
Office personnel 
VCM
EVS
RKS
Production employees 
VCM
EVS
RKS
TURNOVER RATES 2020–2022
2020
5.9% 
5.6%
1.3%
15.8% 
10.4%
0.8%
Cumulative staff turnover: the amount of employees that have resigned within
the year in focus divided by the average number of employees of the year.
2021
6.7%
6.4%
7.1%
17.7%
19.9%
2.2%
2022
6.6%
14.6%
12.4%
11.3%
20.5%
0.4%
83
Women	
Men
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57

HEALTH AND SAFETY AT WORK
Taking care of our employees’ health and safety is a priority focus for us, and it is constantly 
developed. During 2022, the group-level rate of accidents (LTIF) improved from 14.1 to 9.4 
per million hours worked.
Health and safety issues are managed at 
Valmet Automotive Group by each busi-
ness line and reported regularly to the 
Group Management Team. “Health and 
safety” is one of the six pillars in the Group’s 
operating system. The policies, targets, and 
follow-ups are prepared and defined by 
the business lines, as each of them have in-
dividual needs and scopes. The key perfor- 
mance indicators (KPIs) in health and 
safety are injury rates (TRI, LTI, LTIF, TRIF)*, 
Safety Observations, Safety Moments, and 
Management Safety Walks.
The 
Valmet 
Automotive 
locations 
in Finland have their own occupational 
health and safety committees, as legally 
required. The committees meet regularly 
and monitor the development of occupa-
tional safety, potential risks, as well as key 
figures. The committee consists of employ-
ees elected every other year, including HR 
managers and directors of operations. The 
next elections will be held in 2023. Further-
more, health and safety are on the agenda 
at every regular management level meet-
ing, separately organized meetings in pro-
duction areas, and collaboration meetings 
between business lines where incidents, 
best practices, and development meas-
ures are discussed. 
The Roof & Kinematic Systems (RKS) 
plant in Zary and the Vehicle Contract Man-
ufacturing (VCM) plant in Uusikaupunki 
have ISO 45001 certification for occu-
pational health and safety. The Electric  
Vehicle Systems (EVS) plants in Salo and 
Uusikaupunki will be certified in 2023.
In April 2022, we fully deployed a Group 
level reporting system for health and safety 
in all of our locations. This means that each 
location is reporting into the same system 
with a systematic protocol. In addition, 
we harmonized risk assessment process-
es and general personal protective equip-
ment at group level.
HAZARD IDENTIFICATION AND 
RISK ASSESSMENT
At Valmet Automotive, risks for high- 
consequence accidents are identified by 
means of occupational risk analysis and as-
sessment, considering the frequency and 
severity of occurred accidents and safety 
notes reported by employees. At least once 
a year and in case of significant changes in 
the working area, devices, or methods, we 
conduct a risk assessment where we as-
sess risks pre-emptively, as well as severe 
near-miss cases. The risk assessment pro-
cess itself is checked regularly, as well.
Regular safety meetings organized by 
managers for their teams also play a signifi- 
cant role in risk identification and in en-
couraging employees to report poten-
tial safety risks. All production locations  
organize their own safety walks, in which all 
managers from all areas are encouraged 
to participate. This means that once a day, 
safety walks are organized somewhere 
around the group’s domains.
We ensure the quality of health and  
safety processes through specialized em-
ployees and supervisors and provide in-
ternal training to ensure that all employ-
ees possess basic knowledge of health and 
safety. We evaluate and continually im-
prove the processes through internal and 
external audits, and planned programs.
* TRI(F) = Total Recordable Incident (Frequency), 
LTI(F) =  Lost Time Injury (Frequency) 
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When high-risk accidents occur, the  
investigation process starts with a hear-
ing of the injured person and their super-
visor with the help of a Health, Safety &  
Environment officer. In the hearing, cor-
rective measures are agreed upon, and the 
supervisors are responsible for their execu-
tion. If necessary, the risk assessment is up-
dated.
Employees are encouraged to report 
work-related hazards to their supervisors. 
If they fear reprisals or have been victims of 
inappropriate behavior, they can report to 
the next-level supervisors or to the whistle- 
blowing system. Employees also have the 
right to stop working if they believe the 
work could cause injury or health hazards. 
In these kinds of very rare situations, the 
process will be stopped until it has been 
ensured that the work can be continued 
safely.
SIGNIFICANT IMPROVEMENTS 
IN VCM
During 2022, we managed to improve the 
injury rate significantly in the VCM busi-
ness line. The frequency of lost time injury 
per million work hours (LTIF) improved 
from 19.4 to 11.1. Most of the accidents were 
minor, with less than three days lost time 
injuries, such as cases where there have 
been minor hand and finger injuries or 
stumbling on objects.
In 2022, we put a lot of effort into improv-
ing health and safety. First, we have taken 
actions to eliminate hazards and minimize 
risks using the hierarchy of controls. In the 
VCM plant in Uusikaupunki, the focus for 
2022 was to improve communications. We 
increased proactive procedures, like safe-
ty walks and moments, and launched an 
internal safety TV with almost 70 screens 
throughout the plant. Various slides and 
animations regarding safety are shown 
on the screens. VApp, a mobile app used 
in VCM, also offers a platform for sending 
activating 
messages 
and 
animated 
safety videos straight to the majority of the 
personnel. The app will be deployed in oth-
er business lines, too.
We also managed to reduce high- 
consequence accidents in the loading and 
unloading areas of the VCM plant. Traffic 
has run smoother in the loading area after 
authorizing only one company to handle 
freight trucks in logistic areas. In addition, 
preventive actions for changing weather 
conditions have been more efficient, and 
that has reduced the number of accidents. 
We have identified the highest safety risks 
in internal traffic, where a lot of forklifts are 
moving. We have worked to make pedes-
trian traffic safer at the site including the 
parking area.
In 2022, we recorded altogether 1,620 
safety moments between managers and 
their teams, which is 43 percent more than 
in 2021 (920 moments). One explanatory 
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factor may be that reporting has been 
made easier and supervision more effective 
– and safety is our number one priority. 
Employees reported 3,894 safety notes in 
2022 which is almost double the amount 
in 2021 (2,156). To encourage our employ-
ees to actively report their observations 
on safety, we have added QR code posters 
around the factory premises - employees 
can easily submit safety notes on their  
personal mobile phones. The quality of the 
safety notes has also improved, which has 
made it easier for supervisors to process 
the notifications.
Communicating health and safety  
issues has improved on the management 
levels as well. Safety issues are a priority 
topic to discuss, whether it’s daily meet-
ings or production meetings. We are  
going to maintain communications as 
one of the priority topics in 2023, as well 
as safety training and process definitions.  
Ergonomic and occupational health ser-
vices will also be one of the focus points 
next year.
ONBOARDING NEW PEOPLE 
AFFECTED THE INJURY RATE
In the EVS business line, the injury rate 
(LTIF) has risen from 4.8 to 9.9 during 2022. 
Most of the cases, 60 percent of them, 
were connected to moving materials and 
other internal traffic. A bit less than half of 
the cases needed longer than four days’ 
sick leave. One of the main reasons for the  
increased injury rate is that several new 
people were hired, especially at the ex-
panded battery plant in Salo.
Due to the increase in accidents, we 
have already started several measures. In 
the fourth quarter of 2022, we hired a full-
time forklift trainer focusing on operating 
logistics and internal traffic safety. In  
addition, instructions were improved. Safe-
ty communication is also to be improved 
and increased.
In 
EVS, 
a 
collaboration 
meeting  
between Finnish health and safety officers 
is arranged weekly. Monthly meetings  
between plants are also arranged to share 
knowledge about best practices. This has 
already shown improvement, as no acci-
dents occurred in December.
In the RKS business line, the LTIF rate 
increased from zero to 3.4 during the last 
year. This contains three medium acci-
dents, which all have unfortunately led to 
long sick leaves. In 2022, we have increased 
training for employees and instructions 
and markings of high-risk areas and con-
tinue to improve the safety conditions in 
2023. As in VCM, employees can submit 
safety notes on their phones via QR code 
posters added around the factory prem-
ises in RKS. We will also implement a TV 
screen in the canteen that conveys infor-
mation about safety issues.
CONSTANT TRAINING OF OUR 
PEOPLE
Caring about the safety of our employees 
is important to us, and that is why we have 
invested especially in safety training. All  
supervisors are trained separately on  
safety, and all employees receive general 
training on safety, which is followed by 
task-specific safety training.
From 2022, the training center’s train-
ing program in Uusikaupunki has been  
expanded to all production departments. 
Induction training and training on the 
right use of assets, for example,  take place 
at the center.
In EVS, all recruited production em-
ployees received a comprehensive orien-
tation, including three separate safety card 
trainings: occupational safety, electrical 
work safety, and high voltage work safety 
training.
In addition, we have mandatory safety 
training for the contract partners working 
at our premises. If partners are working on 
a larger project, they are required to com-
pose a separate safety plan.
OCCUPATIONAL HEALTHCARE 
SERVICES
At 
Valmet 
Automotive’s 
locations 
in  
Finland, employees are provided with  
occupational health care. The Uusikaupunki  
plant has its own medical center, which is 
staffed with occupational health nurses, a 
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60

Injury rate, Vehicle Contract 
Manufacturing (>1 days) LTIF
Injury rate, EV Systems (>1 days)
Injury rate, Roof & Kinematic Systems  
(>1 days)
Injury rate, group  
(>1 days)
Injury rate, group 
(>4 days)
Total Recordable Incident Rate (TRIR), group
Number of injuries, group
Occupational diseases
Number of work-related fatalities
Number of safety observations
Safety observations (/employee)
Number of injuries VCM
Number of injuries EVS
Number of injuries RKS
SAFETY INDICATORS
TARGET 
2022
9
5
5
8.5
22.1
> 1
2020
13.4
4.6
6.1
11.8
6.2
28.2
66
0
0
3,566
0.96
59
2
5
15
10
0
2020
2021
2022
Target 2023
11.8
14.1
9.4
6
INJURY RATE*, GROUP
* Work-related injuries that have led to >1 days of absences per 
million hours worked.
2021
19.4
4.8
0
14.1
6.7
24.2
95
3
0
3,535
0.81
89
6
0
physiotherapist, and a doctor during office 
hours. The health service provider has 
also several regional locations where the  
employees can attend.
Occupational healthcare not only con-
ducts pre-employment, employment, and 
periodic medical examinations but also  
assists with health concerns and minor 
accidents. The same service provider also 
provides occupational healthcare services 
and examinations to our employees in 
Salo, Turku, and Vantaa. We work closely 
with healthcare professionals and include 
them in our meetings.
We provide also other voluntary services,  
especially in our largest locations in Fin-
land. We provide a substance abuse pre-
vention program, free access to our own 
gym at the Uusikaupunki plant, vouchers 
for Finnish employees to promote health 
and well-being, sleeping instructions for 
shift workers, and the possibility to share 
the mental load with our health care pro-
fessionals, in the chat service or at short-
term therapy. In 2022, Covid-19 vaccina-
tions were also provided for the employees.
In Poland, we have signed contracts 
2022
11.1
9.9
3.4
9.4
4.6
16.3
114
4
0
5,591
1.19
42
20
4
TARGET 
2023
8
5
5
6
11
min. 1
 Injury rates per 1,000,000 hours worked.
with two external professional medical 
centers which provide medical examin- 
ations. Employees in Poland have access to 
short-term therapy with an external spe-
cialist. In Germany, we do not have compre-
hensive occupational health care contracts. 
Medical services are purchased mainly for 
induction and periodic examinations, and 
consulting for other special needs.
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LEADERSHIP PROGRAM HELPS MANAGERS TO GET 
THEIR TEAMS OFF THE GROUND
In 2022, Valmet Automotive piloted a new leadership program designed to develop 
managers’ leadership skills. Senior Manager Nita Hyvönen participated in the program 
to develop as a manager: to identify the needs of her team members, and to be able to 
provide constructive feedback.
The leadership program originated from 
the need to align the leadership compe-
tency framework throughout the Group. 
Leadership had also been singled out in the 
Pulse Surveys as an area for improvement. 
The program was created as a way to pro-
mote an effective management style based 
on Valmet Automotive’s 5 Commitments 
and thus also to support strategic priorities.
“There is always room for improvement. 
That’s when you have to learn new ways of 
working,” says Hyvönen. She was part of 
the Empower for Effectiveness training 
program for middle managers, together 
with 11 other participants. In total, there 
were three training groups.
A GOOD LEADER SUPPORTS 
AND ENCOURAGES
The six-month program included a half-day 
remote workshop about once a month. The 
workshops and supporting group work and 
training materials taught participants how 
to support different types of employees 
and how to identify and develop leadership 
styles.
“Learning together with colleagues 
from different business lines gave me a 
broader perspective on different practical 
work challenges. The program also created 
unity across business lines,” says Hyvönen.
Hyvönen joined the training after a  
development discussion with her manager 
and out of a desire to learn new things and 
develop as a manager.
“Supporting the personal development 
of team members was the most important 
lesson 
learned 
during 
the 
training.  
People have different ways of working and 
are motivated by different things. A good 
leader makes sure that everyone can be 
themselves within the team and do exactly 
what they are good at. A good leader picks 
up the slack and helps others to reach new 
heights.”
THE PROGRAM WILL 
CONTINUE AND EXPAND
Hyvönen, who has worked in many differ-
ent positions at Valmet Automotive since 
2006, emphasizes that opportunities to 
develop her own work in this way have 
been the spice of the job.
“At Valmet Automotive, you have the 
opportunity to develop and try something 
new if you want to. There is a good drive 
here and always an eye on the future.”
The program is to be continued and  
offered to all supervisors and managers in 
the future. In 2023, the programs will be 
set up and organized as learning journeys 
again with the aim to continue shaping 
the future.
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63

Living up to our commitments and guidelines is a matter of dignity 
for us. We aim to truly bring the Code of Conduct alive throughout our 
organization and supply chain.
INTEGRITY 
AND DIGNITY
OUR 5 COMMITMENTS  . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  66
REALIZING THE COMMITMENTS  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  67
COMPLIANCE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  68
64

95% 
of the office personnel 
completed our ethical principles 
e-training
68%
of employees see that we 
live up to our commitments 
(Pulse Survey results)
65

5 COMMITMENTS  
– VALMET  
AUTOMOTIVE’S 
CORPORATE  
CULTURE
To build one uniform corporate 
culture for the group of companies, 
Valmet Automotive has defined 5 
commitments – always learn, show 
entrepreneurial spirit, deliver, lead 
at all levels and respect – that serve 
as a benchmark for every Valmet 
Automotive employee across all 
levels. They guide and help us to 
live to our values.
RESPECT
We value our own work as well as that 
of our colleagues’, customers, partners 
and other stakeholders. We value and 
take pride in the environment where we  
operate. This paves the way to continuously  
improve sustainable economic growth 
and the performance level of our business.
ALWAYS LEARN
We are never too busy or too good not to 
learn and improve us and the company 
continuously. The willingness to open 
up new fields, to explore and to listen, is  
shaping us more than ever. Continuous  
training and increased awareness are the 
keys to engage our employees to sustain- 
ability. We are actively informing and  
training employees on issues related to  
protecting the  environment, conserving 
natural resources and occupational health 
and work safety.
SHOW ENTREPRENEURIAL 
SPIRIT
We are innovative, curious, open. And 
when we have almost reached our goal, 
we passionately take that last step. We 
love what we do. We are characterized by 
a clear strategic discipline of the Group 
as a whole to be economically successful. 
We are committed to ambitious targets in 
sustainability, and the corporate rules and 
processes support achieving them.
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DELIVER
We want to be the best in everything we 
develop, manufacture, plan, test and offer 
our customers as a service provider. We 
never deliver “just like that”. Our systems 
and processes that are used globally are 
just as best-in-class as our employee and 
process management. We have set highly 
ambitious targets in a carbon neutral  
manufacturing process. We keep our 
promises and deliver results, in sustainability 
as in other fields of our operations.
LEAD AT ALL LEVELS 
It takes place at all levels, from the small-
est unit to the Group Management Team. 
Only the willingness to lead enables us 
to make decisions and take responsibili-
ty for the big picture. Leadership is essen-
tially personal responsibility for one’s own 
actions and decisions. Risk management 
and safety of work environment are issues, 
to which every employee at Valmet  
Automotive can and must contribute.
REALIZING THE COMMITMENTS
We regularly ask our employees how 
the 5 Commitments are lived at Valmet  
Automotive through the yearly Pulse 
Check. In 2022, altogether 2,767 employ-
ees, equaling 75% of the personnel, re-
sponded to the survey. The response rate 
improved significantly due to a large com-
munication campaign and a new plat-
form, which allows all employees to access 
the survey on their mobile phones as well.
Overall, 68% of the respondents see 
that we are living up to the 5 Commit-
ments, which is slightly less than in 2021. 
Some decreased results such as Deliver 
and Lead at all Levels can be explained by 
high workload, missing communication, 
or some missing structures in the work 
processes. Also, lack of time can often be 
the reason for not being able to Always 
Learn. 
During 2023, we are going to focus 
on common priorities such as workload, 
well-being and common informal spaces 
for employees to collaborate.
PULSE SURVEY RESULTS 
Share of respondents who agree or strongly agree that we live up to 
the commitment. 
	
	
2020 	
2021	
2022
	
In all	
65%	
73%   	
68%	
	
Respect	
67%	
74%	
69%	
   	
	
Deliver	
70%	
81%	
74%	
	
Lead at all levels	
78%	
84%	
69%
	
Show Entre-preneurial Spirit	
55%	
63%	
64%	
	
Always Learn	
56%	
65%	
63%
	
Respondent %	
36%	
52% 	
75%	
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
67

ENSURING AN ETHICAL COMPANY CULTURE
Valmet Automotive’s ethical principles in the Code of Conduct set the framework  
for the organization’s ethical culture and compliance program.
Strengthening integrity and dignity is one 
of the cornerstones of Valmet Automotive’s 
sustainability strategy. The target is to set 
up a plan for increasing the understanding 
of the Code of Conduct and ethical prin-
ciples through training and improving 
sustainability 
communications. 
Valmet  
Automotive’s compliance program has 
been set up to secure that the employees are 
aware of the applicable rules and regulations, 
 and to prevent and detect misconduct.
TRAINING FOR PERSONNEL
The compliance program is primarily im-
plemented through training for employ-
ees. Valmet Automotive’s office personnel 
are required to complete mandatory on-
line training on ethical principles and their  
application within a month after onboard-
ing. In the training, the application of  
Valmet Automotive principles to everyday 
life is highlighted through practical exam-
ples. In 2022, 95% of the office personnel 
had completed the training.
We encourage stakeholders to seek ad-
vice for raising concerns by contacting the  
legal department of Valmet Automotive, or  
if internally, by contacting the supervisor. In 
case of suspecting HR-related misconduct,  
we advise our personnel to primarily con-
tact their supervisor or the HR department.
COMPLIANCE CHANNEL
As part of the compliance process, we 
have introduced a whistleblowing channel 
where anyone can report anonymously if 
they suspect non-compliance against the 
Code of Conduct. The reporting channel 
is presented as a part of the compliance 
training and in the Code of Conduct. It is 
accessible on our intranet and website for 
both internal and external stakeholders. 
An outsourced, third-party-owned whistle-
blowing system ensures that the notifier 
can stay anonymous.
The whistleblowing system complies 
with the ISO 27001 standard for data se-
curity management and the ISO 27018 
standard for the protection of personal 
data in cloud services. We are tightly fol-
lowing the EU’s Whistleblowing Directive 
and its national implementation in our op-
erating countries, and based on them, will 
review our processes.
INVESTIGATION PROCESSES
A team of three specialists, two from the le-
gal department and one from HR, have ac-
cess to the reporting system. The process 
is managed by the Group General Counsel  
who checks the encrypted reports and 
if needed, requests additional informa-
tion. The aim is to respond to the initiator 
within 7 calendar days, and this target was 
achieved in 2022.
The legal department is responsible 
for designing and monitoring compliance 
processes. The processes are updated  
according to feedback from the Group 
Management Team and the Board of  
Directors. Valmet Automotive’s compli-
ance performance, including e-learning 
completion rate and notifications to the 
compliance channel, is reported to the 
Group Management monthly. The Board 
of Directors reviews the compliance pro-
cess annually. In case there is a concern of 
misconduct by a senior executive, the legal 
department is required to report it imme-
diately to the Chair of the Board.
The effectiveness of the grievance 
mechanisms is evaluated based on the  
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
68

expertise of the legal department and the 
quality of the policies, completion rate of 
training and the number of notifications 
through whistleblowing channel.
23 NOTIFICATIONS THROUGH 
THE COMPLIANCE CHANNEL
In 2022, we received 23 notifications (2021: 
27) through the whistleblowing channel. 
The majority of the reports were related to 
leadership practices or misbehavior at work. 
After an investigation process in collabora-
tion with the HR department, a few of the 
reports lead to labor law consequences (e.g. 
warning). One case of sexual harassment 
was reported through the channel as well as 
outside of the channel through a work safety 
report, and corrective actions were taken. In 
2022 Valmet Automotive did not take any of 
the reported matters to the police.
If a violation of the Code of Conduct or 
legislation is suspected, a contact person 
from the corresponding business line may 
be invited to participate in the process-
ing, in order to form an overall picture. The 
Group General Counsel follows the process- 
ing of the case and when it is closed, the 
initiator will be notified.
During 2023, the whistleblowing practic-
es will be slightly revised to address the up-
coming regulatory requirements of the EU 
Whistleblowing Directive’s national imple-
mentation in Finland, Germany, and Poland.
During 2022, we paid a compensation 
of 6 500 euros as a settlement facilitated 
by the Non-Discrimination Ombudsman 
of Finland due to non-compliance of 
the Non-discrimination Act in a recruit-
ment process. A candidate had been dis- 
qualified from the process because of lack-
ing a residence permit. The HR has since 
corrected the process and a residence per-
mit is no more required for employment.
CONFLICTS OF INTERESTS
Members of the Board follow the Code of 
Conduct and commit to excluding them-
selves from the decision-making of issues 
with a potential conflict of interest. All mem-
bers of the Board are obliged to provide  
information about their related parties to 
the company, and the finance department 
regularly runs checks through the finan-
cial system to ensure no conflicts of inter-
ests are detected in transactions. Cross- 
shareholdings with suppliers, too, are con-
sidered in the decision-making. The mem-
ber of the Board in question is excluded 
from decision-making of the issue in con-
cern if a concern on conflict of interest arises.
The financial information of trans- 
actions of related parties is publicly dis-
closed, however, the actual parties are not 
reported externally. In the case of cross-
board membership, the candidate as- 
sesses the potential for conflict of interest, 
and if considered appropriate, the topic is 
discussed with the other party in question.
THESE PRINCIPLES GUIDE EVERYONE AT 
VALMET AUTOMOTIVE
• 	 We comply with applicable national and international laws, regulations, 
	
and generally accepted practices. We require this also from our business 
	
partners.
• 	 We are committed to international standards on human rights, working 	 	
	
conditions and hours, the fight against corruption, and the environment.
• 	 We are committed to the principles of sustainable development of the 
	
International Chamber of Commerce (ICC).
• 	 We support fair competition and a free market and refuse to discuss or 
	
agree with competitors on pricing, market shares, or suchlike activities, 
	
nor do we accept any form of corruption, such as bribery or embezzlement.
• 	 Our activities are guided by the UN Global Compact initiative and 
	
the fundamental rights of the worker as defined by the International 
	
Labor Organization (ILO), which include freedom of association, the right to 
	
organize, the right to collective bargaining, the prohibition of forced labor 		
	
and equal opportunities and treatment.
• 	 We do not use child labor or deal with subcontractors or suppliers who use it.
• 	 We are committed to monitoring our working conditions and taking care of 
	
the occupational safety and the health of our employees.
• 	 We refrain from business relationships that may result in conflicts of interest.
• 	 We strive to streamline our business and prevent our environmental impact, 
	
and actively train our employees in environmental protection.
The Code of Conduct in its full extent is available on our website: 
https://www.valmet-automotive.com/wp-content/uploads/2022/05/va-code-of-
conduct-2021.pdf
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
69

GRI & DATA
ABOUT ENVIRONMENTAL DATA  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  72
GRI CONTENT INDEX  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  73
DATA ON EMPLOYEES . .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  75
DATA ON ENERGY  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  77
SUSTAINABILITY VOCABULARY  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  78
70

Independent Limited Assurance 
Report 
to the Management of Valmet 
Automotive Group 
 
 
 
Scope of Engagement 
Valmet Automotive Group (“Valmet Automotive”) 
commissioned DNV Business Assurance Finland Oy Ab 
(“DNV”) to conduct a limited assurance engagement over 
the achievement of carbon neutrality in the Qualifying 
Explanatory Statement - 1st Declaration of achievement (the 
“Report”) of Valmet Automotive dated 16.3.2023. 
Selected Information 
The scope and boundary of our work is restricted to 
assessing that Valmet Automotive’s preparation of the 
achievement of carbon neutrality with regards to Scopes 1 
and 2, presented in the Report is in accordance with the 
publicly Available Specification for the PAS 2060:2014 
Demonstration of Carbon Neutrality achievement (the 
“Criteria”). In addition, Scope 1 and 2 greenhouse gas 
emissions, presented in the Report (page 05) have been 
assured for the reporting period 1st January to 31st 
December 2022.  
We have not performed any work, and do not express any 
conclusion, on any other information that may be published 
outside of the report and/or on Valmet Automotive’s 
website for the current reporting period.  
Our conclusions 
Based on the procedures we have performed and the 
evidence we have obtained, nothing has come to our 
attention that causes us to believe that the Report is not 
fairly stated and has not been prepared, in all material 
respects, in accordance with the Criteria.  
This conclusion relates only to the Report and is to be read 
in the context of this Assurance Report, in particular the 
inherent limitations explained below. 
Standard and level of assurance 
We performed a limited assurance engagement in 
accordance with the International Standard on Assurance 
Engagements (ISAE) 3000 revised – ‘Assurance 
Engagements other than Audits and Reviews of Historical 
Financial Information’ (revised), issued by the International 
Auditing and Assurance Standards Board. This standard 
requires that we comply with ethical requirements and plan 
and perform the assurance engagement to obtain limited 
assurance. 
DNV applies its own management standards and 
compliance policies for quality control, in accordance with 
ISO/IEC 17021:2015 - Conformity Assessment Requirements 
for bodies providing audit and certification of management 
systems, and accordingly maintains a comprehensive 
system of quality control including documented policies and 
procedures regarding compliance with ethical 
requirements, professional standards, and applicable legal 
and regulatory requirements. 
The procedures performed in a limited assurance 
engagement vary in nature and timing from and are less 
detailed than those undertaken during a reasonable 
assurance engagement, so the level of assurance obtained is 
substantially lower than the assurance that would have 
been obtained had a reasonable assurance engagement 
been performed. We planned and performed our work to 
obtain the evidence we considered sufficient to provide a 
basis for our opinion, so that the risk of this conclusion 
being in error is reduced, but not reduced completely. 
Basis of our conclusion 
We are required to plan and perform our work in order to 
consider the risk of material misstatement of the Selected 
Information; our work included, but was not restricted to: 
• 
Conducting interviews with Valmet Automotive’s 
management to obtain an understanding of the data 
management systems and processes used to 
generate, aggregate and report the information; 
• 
Two remote site audits to review the processes and 
systems for preparing site level data. The site 
reviews were conducted at: 
o 
Valmet Automotive Plc, Uusikaupunki 
production site in Finland 
o 
Valmet Automotive EV Power Ltd, 
Salo production site in Finland 
• 
Reviewing data at source and following this through 
to consolidated group data; 
• 
Assessing whether the standards and methodologies 
used in carbon emission calculations met the 
Criteria; and 
• 
Reviewing whether the evidence, measurements, 
and Report is prepared in accordance with the 
Criteria. 
Inherent limitations 
Our assurance relies on the premise that the data and 
information provided by Valmet Automotive to us as part of 
our review procedures have been provided in good faith. 
Because of the selective nature (sampling) and other 
inherent limitations of both procedures and systems of 
internal control, there remains the unavoidable risk that 
errors or irregularities may not have been detected. Energy 
use data utilized in greenhouse gas (GHG) emissions 
calculations are subject to inherent limitations, given the 
nature and the methods used for determining such data. 
Finally, the selection of different but acceptable 
measurement techniques may result in materially different 
measurements.  
DNV expressly disclaims any liability or co-responsibility for 
any decision a person or an entity may make based on this 
Independent Assurance Report. 
Our competence, independence and quality 
control 
DNV established policies and procedures are designed to 
ensure that DNV, its personnel and – where applicable – 
others are subject to independence requirements (including 
personnel of other entities of DNV) and maintain 
independence where required by relevant ethical 
requirements. This engagement work was carried out by an 
independent team of sustainability assurance professionals, 
whose members have not been involved in the 
development of any of the Criteria. Our team consisted of 
professionals with environmental and sustainability 
assurance experience. 
Responsibilities of the Management of 
Valmet Automotive and DNV 
The Management of Valmet Automotive have sole 
responsibility for: 
• 
Preparing and presenting the Report in accordance 
with the Criteria;  
• 
Designing, implementing and maintaining effective 
internal controls over the information and data, 
resulting in the preparation of the Report that is free 
from material misstatements; 
• 
Measuring and reporting the Report based on their 
established Criteria; and 
• 
Contents and statements contained within the Report 
and the Criteria. 
 
 
 
 
 
 
Our responsibility is to plan and perform our work to obtain 
limited assurance about whether the Report has been 
prepared in accordance with the Criteria and to report to 
Valmet Automotive in the form of an independent limited 
assurance conclusion, based on the work performed and 
the evidence obtained. We have not been responsible for 
the preparation of the Report. 
For and on behalf of DNV Business Assurance Finland Oy/Ab 
Espoo, Finland 
 
16th March, 2023 
 
 
 
 
 
 
                          
Heidi Käkelä                                         Sari Siitonen 
Lead Auditor                                         Principal Consultant and Reviewer 
DNV Business Assurance Ab Oy        DNV Business Assurance Ab Oy 
 
 
 
 
 
 
 
-------------------------------------------------------------------------------- 
DNV Business Assurance Finland OY/AB is part of  
DNV – Business Assurance, a global provider of certification,  
verification, assessment and training services, helping customers  
to build sustainable business performance. www.dnv.com  
 
 
71

ABOUT ENVIRONMENTAL DATA AND ITS COLLECTION
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
EMISSIONS
The CO2 emission calculations presented 
in this report are based on the Greenhouse 
Gas Protocol company standard and guid-
ance. Emission calculations are divided into 
three main categories: Scopes 1, 2, and 3. 
Scopes 1 and 2 include Valmet Automotive’s 
emissions from both owned and leased pre- 
mises of which we have operational control. 
This enables Valmet Automotive to have di-
rect influence over the reduction of emissions 
and take necessary steps to achieve carbon 
neutrality without offsets.
Scope 1 emissions (i.e. direct GHG emis-
sions) cover the on-site energy consumption 
of fossil fuel sources for owned facilities, as 
well as emissions from owned or leased fleet 
vehicles.
Scope 2 emissions (i.e. indirect GHG  
emissions) are from purchased electricity 
and district heating. Valmet Automotive re-
ports both market and location-based Scope 
2 electricity emissions. Corporate offices 
(Vantaa, Turku, and Frankfurt) are included 
in Vehicle Contract Manufacturing (VCM´s) 
calculations.  
GHG emissions are calculated based on 
the direct measurement of energy use (e.g. 
meter reads/invoices) where available and 
estimated energy consumption based on 
office area or reference periods where direct  
measurement is not possible. The base year for  
calculations is 2019 (the first year calculating).
VERIFIED CARBON 
NEUTRALITY
The scopes 1 and 2 carbon neutrality has also 
been verified by an external party (page 71). 
The verification process started with an as-
sessment of CO₂ emissions included in the 
carbon neutrality program (scopes 1 and 2) 
and a review of the calculation framework 
and methodology against reporting stand-
ard criteria (e.g. GHG protocol, PAS 2060, and  
Valmet Automotive’s instructions).
Then, the activity data, emission factors, 
and calculation accuracy were reviewed 
based on selected sampling and data assur-
ance. The carbon neutrality management  
approach, claims and offset, and other rele-
vant PAS 2060 requirements were assessed 
to finish off the process.
VALUE CHAIN EMISSIONS
Scope 3 accounts for other indirect GHG 
emissions (upstream and downstream)  
relevant for Valmet Automotive in 2021:
1. Purchased goods and services
2. Capital goods
3. Fuel- and energy-related activities
4. Upstream transportation and distribution
5. Waste generated in operations
6. Business travel
7. Employee commuting
8. Upstream leased assets
9. Downstream transportation and 
    distribution
11. Use of sold products
12. End-of-life treatment of sold products
Our Annual Sustainability Report included 
scope 3 data from the previous year as scope 
3 data is gathered in Q2. 
WATER AND WASTE 
Corporate offices are not included in water 
or waste calculations. The calculation of the  
recycling rate for VCM was refined in 2022, so 
the result is not fully comparable with previous 
years.
RESTATEMENTS IN DATA
In last year’s 2022 Annual Sustainability  
Report, GRI indicators 302-1 energy con-
sumption within the organization and 306-2 
waste by type and disposal method were in- 
complete in the GRI index but not in the main  
report text. Due to a clerical fault, scope 3 
data has been updated for the year 2020 
which has resulted in about 20% lower GHG 
emissions than previously reported.
72

GRI CONTENT INDEX
	
	
PAGE NUMBER, COMMENTS 		
	
	
GRI 	
GRI DESCRIPTION	
AND EXCLUDED INFORMATION
2-1
2-2
2-3
2-4
2-5
2-6
2-7
2-8
2-9
2-10
2-11
2-12
2-13
2-14
2-15
2-16
2-17
2-18
2-19
2-20
2-21
2-22
2-23
2-24
2-25
2-26
2-27
2-28
2-29
2-30
Organizational details 
Entities included in the organization’s sustainability reporting 
Reporting period, frequency and contact point
Restatements of information
External assurance 
Activities, value chain and other business relationships 
Employees 
Workers who are not employees 
Governance structure and composition
Nomination and selection of the highest governance body
Chair of the highest governance body
Role of the highest governance body in overseeing the management of impacts
Delegation of responsibility for managing impacts
Role of the highest governance body in sustainability reporting
Conflicts of interest
Communication of critical concerns
Collective knowledge of the highest governance body
Evaluation of the performance of the highest governance body
Remuneration policies 
Process to determine remuneration
Annual total compensation ratio
Statement on sustainable development strategy
Policy commitments
Embedding policy commitments
Processes to remediate negative impacts
Mechanisms for seeking advice and raising concerns
Compliance with laws and regulations
Membership associations
Approach to stakeholder engagement
Collective bargaining agreements
8–9
15
15
72
71, 72
8–9, 27 (supply chain)
54-56, 75
75 
23–24, 56 and Valmet Automotive website*
23–24
23–24 and Valmet Automotive website*
23–24
23–24
15, 23-24 
69
68–69
23–24
23–24
Excluded
56
Excluded
6
67–69, Code of Conduct
67
68–69
68–69
69
30–31
30–31
76
GRI 2 – GENERAL DISCLOSURES
*valmet-automotive.com/company/board/
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
73

GRI CONTENT INDEX
	
	
PAGE NUMBER, COMMENTS 		
	
	
GRI 	
GRI DESCRIPTION	
AND EXCLUDED INFORMATION
3-1
3-2
3-3
Process to determine material topics
List of material topics
Management of material topics
14
14, 19
See topic disclosures (38, 44, 52, 53, 58)
GRI 3 – MATERIAL TOPICS
201-1
201-2
Direct economic value generated and distributed
Financial implications and other risks and opportunities due to climate change
9. Taxes/payments to governments have not been distinguished by 
country).
26–28. More details in CDP report.
GRI 200 – ECONOMICAL IMPACTS
401-1
403-1
403-2
403-3
403-4
403-5
403-6
403-7
403–9
405-1
414-1
New employee hires and employee turnover
Occupational health and safety management system
Hazard identification, risk assessment, and incident investigation
Occupational health services
Worker participation, consultation, and communication on occupational health and safety
Worker training on occupational health and safety
Promotion of worker health
Prevention and mitigation of occupational health and safety impacts directly linked by business relationships
Work-related injuries
Diversity of governance bodies and employees
New suppliers that were screened using social criteria
54, 56, 75
58–59
58–59
60–61
58–59, 61
60
60–61
58–61
61
76
27
GRI 400 – SOCIAL IMPACTS 
302-1
305-1
305-2
305-3 
306-3
308-1
Energy consumption within the organization
Direct (Scope 1) GHG emissions
Energy indirect (Scope 2) GHG emissions
Other indirect (Scope 3) GHG emissions
Waste generated
New suppliers that were screened using environmental criteria
42, 72, 77
41, 72
41–42, 72
42, 72
45-46, 72
27
GRI 300 – ENVIRONMENTAL IMPACTS
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
74

N
4,022
1,075
2,944
3
81
37
44
0
4,011
1,066
2,942
3
92
46
46
0
0
351
%
98.0%
26.7%
73.2%
0.1%
2.0%
45.7%
54.3%
 
 0
 97.8%
26.6%
73.3%
0.1%
2.2%
50%
50%
0
0
N
3,835
 
 
 
87
%
98%
 
 
 
2 %
N
4,553
1,115
3,400
5
98
45
53
3,666
953
2708
5
39
24
15
269
%
97.9%
24.5%
74.7%
0.11%
2.1%
45.9%
54.1%
 
 
 78.8%
26.0%
73.9%
0.1%
0.8%
61.5%
38.5%
DATA ON EMPLOYEES
Permanent
Female
Male
Unknown/
undeclared
Temporary
Female
Male
Unknown/
undeclared 
Full-time
Female
Male
Unknown/
undeclared
Part-time
Female
Male
Unknown/
undeclared
Non- 
guaranteed 
hours 
employees
External 
workers
EMPLOYMENT 
TYPE	
2020 	
2021	
2022
Extra 
information
The group-wide system  
doesn’t collect this data,  
not in use in Finland or Poland.
GRI 2–7 EMPLOYEES 
GRI 2–8 WORKERS WHO ARE NOT EMPLOYEES
All
Gender 
Female
Male
unknown/undeclared
Age structure
<30
30-50
50<
 2021	
2022
N
1,709
367
1,336
11
 
764
749
211
%
21.5%
78.2%
0.6%
 
44.7%
43.8%
12.4%
N
461
165
296
0
 461
187
226
48
%
35.8%
64.2%
0.0%
 
40.5%
49%
10.4%
Additional infrmation
Temporary contracts excluded. 
New hire category divided by all hires multiplied by 100.
 
 
Age by the end of the year. New hire category divided by 
all hires multiplied by 100.
NEW EMPLOYEE HIRES 
DURING THE YEAR
GRI 404-1 NEW EMPLOYEE HIRES AND EMPLOYEE TURNOVER
Headcount
Headcount
Headcount
Headcount
We use rented workforce 
mostly for production, logistics 
and quality or contractors to 
build up a production line. 
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
75

DATA ON EMPLOYEES
OP=Office personnel 
PE=Production employees
GMT=Group Management team 
Status 31.12.2022
983
151
573
259
2,939
879
1,416
644
3,922
1,030
1,989
903
 
 
4
6
 
 
1
4
 
15.4%
58.3%
26.4%
 
29.9%
48.2%
21.9%
 
26.3%
50.7%
23.0%
 
 
40,0%
60.0%
 
 
20.0%
80.0%
1,262
221
725
316
3,389
1,005
1,612
772
4,651
1,226
2,337
1,088
 
 
4
6
 
 
1
4
 
17.51%
57.45%
25.04%
 
29.7%
47.6%
22.8%
 
26.4%
50.3%
23.4%
 
 
40.0%
60.0%
 
 
20.0%
80.0%
1,441
268
846
327
2,662
672
1,382
608
4,103
940
2,228
935
 10
 0
3
7
 6
 0
1
5
 
18.6%
58.7%
22.0%
 
25.2%
51.9%
22.8%
 
22.9%
54.3%
22.8%
 
 0%
30.0%
70.0%
 
 0.0%
16.7%
83.3%
OP
< 30
30-50
50<
PE
< 30
30-50
50<
All
< 30
30-50
50<
GMT
< 30
30-50
50<
Board
< 30
30-50
50<
2020 	
2021	
2022
AGE 
STRUCTURE
GRI 405-1 DIVERSITY OF GOVERNANCE BODIES AND EMPLOYEES
3,362
GRI 2–30 COLLECTIVE BARGAINING AGREEMENTS
a. employees covered 
by collective bargaining 
agreements;
2021     %
2022         %
81.9%
2022
GROUP, N
1
2022
RKS, N
931
2022
EV, N
2022
MBL, N
2,413
EXTRA
INFORMATION
Status 31 Dec.
COLLECTIVE BARGAINING 
AGREEMENTS
17
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
76

Total fuel consumption within the organization from non-renewable sources/liters
Fuel type
Total fuel consumption within the organization from renewable sources/mwh
i. electricity consumption/mwh
ii. Heating consumption/mwh (district heating, natural gas, light fuel oil and LNG)
iii. Cooling consumption/mwh (included in electricity consumption)
iv. Steam consumption
i. electricity sold
ii. Heating sold
iii. Cooling sold
iv. Steam sold
Total energy consumption within the organization GWh
DATA ON ENERGY CONSUMPTION
302-1	 ENERGY CONSUMPTION WITHIN THE ORGANIZATION 	
2020	
2021	
2022
2,415,773 
light fuel oil
61, 288
92,145
153,4
a.
 
b.
c.
c.
c.
c.
d.
d.
d.
d.
e.
2,433,889 
light fuel oil
65,153
117,361
182,5
2,345,480
light fuel oil
0
67,090
99,470
12
0
0
0
0
0
166
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
77

SUSTAINABILITY VOCABULARY
Carbon Footprint – A measure of the total amount of greenhouse 
gas emissions that are produced directly and indirectly by an  
individual organization or product.
CDP (formerly Carbon Disclosure Project) – An independent 
non-profit organization that promotes the disclosure of environ-
mental data by companies and municipalities. 
Circular Economy – An economic system that aims to keep  
resources in use for as long as possible and minimize waste by  
reducing reusing and recycling materials.
Compensation – The harmful climate impact of a certain amount 
of GHG emissions is eliminated by reducing or removing an equiv-
alent amount of emissions elsewhere. For compensation we use 
certified projects, i.e., projects that have been certified by a third 
party as efficient. These projects can be related, for example, to re-
newable energy projects, reforestation, or energy efficiency.
CO2e (carbon dioxide equivalent) –  CO2e describes the global 
warming potential of all greenhouse gases. The impact of different 
greenhouse gases is expressed in terms of the amount of CO2 that 
would result in the same amount of warming.
CO2-neutral – For us carbon neutrality means that we aim to re-
duce our emissions, for example by replacing fossil fuels with re-
newables. Unavoidable emissions we compensate so that our CO2 
emissions are on balance with compensations.
Greenhouse Gas Protocol (GHG) – An international standard for 
corporate GHG accounting and reporting.
Gold Standard – The highest quality standard for carbon-off- 
setting projects. Gold Standard projects not only avoid CO2, but 
they also contribute to the project location’s sustainable environ-
mental and social development. The Gold Standard was devel-
oped under the direction of the World Wildlife Fund (WWF) and 
with the assistance of the German Ministry of the Environment.
High-voltage (HV) batteries – HV batteries supply the electric  
motors of electric and hybrid vehicles with energy. They can be  
recharged. They use chemical processes to store energy that can 
be released again as needed.
Life Cycle Assessment (LCA) – A systematic analysis of the  
environmental impact of products, processes, and services along 
the entire value chain – from development to the use phase and 
recycling.
LTIF Lost Time Injury Frequency – The rate of work-related injuries 
resulting in an absence of at least one day are reported).
Planetary Boundaries – Include the key earth system processes 
that are critical to maintaining a stable and habitable planet. These 
boundaries represent the environmental limits beyond which the 
earth system may shift to a new and potentially less hospitable 
state.
Plug-in hybrid (PHEV) – A vehicle with a hybrid drive system for 
which the battery can be charged either by a combustion engine 
or by the power grid.
Resilience – The resilience and adaptability of people and commu-
nities in the face of unforeseen and unexpected change and their 
ability to recover from it.
Safety observation – Safety observations mean observations 
or notes related to safety or imminent safety risks reported by  
employees.
Scope 1 emissions – Greenhouse gas emissions caused by a  
company’s own activities, e.g., through the generation of energy 
and heat in its own power plants or the operation of its own fleet 
of vehicles.
Scope 2 emissions – Greenhouse gas emissions caused by the 
generation and transport of purchased energy, e.g., electricity or 
district heat.
Scope 3 emissions – Greenhouse gas emissions caused by  
upstream and downstream activities. These include greenhouse 
gases emitted in the supply chain and emissions caused by our 
vehicles that are operated by customers.
RESILIENT BUSINESS              PLANETARY BOUNDARIES              OUR PEOPLE              INTEGRITY & DIGNITY              GRI & DATA
78

Science Based Targets Initiative (SBTI) – The science-based targets initiative 
(SBTI) provides a framework for companies to set targets that are consistent 
with the goals of the Paris agreement which aims to limit global warming to 
well below 2 degrees Celsius above pre-industrial levels and pursue efforts to 
limit it to 1.5 degrees Celsius.
Tier 1 – Tier 1 refers to the first upstream stage of the value chain, i.e., the direct 
suppliers. The other stages of the value chain (all the previous suppliers) are 
referred to as Tier 1 suppliers.
TRIF – TRIF means total recordable incident frequency and refers to the 
amount of all accidents per million hours worked.
Turnover rate - Cumulative staff turnover: the number of employees that 
have resigned or whose contracts have been terminated within the year in 
focus divided by the average number of employees of the year. Furloughs 
are not included.
UN Sustainable Development Goals (SDGs) – The United Nations have  
created the 17 Sustainable Development Goals to help governments,  
companies, and citizens to navigate into a more sustainable world by 2030.
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