Danfoss’s global advancements in decarbonisation

Danfoss kept up its audacious investment plans in 2023 to broaden its selection of cutting-edge and competitive solutions.

Danfoss has plans in place to decarbonise by 2030. Agreements have already been made to meet 30 percent of the decarbonisation target by 2030. To meet their scope 3 emission targets and lower their carbon footprint by 15 percent between 2019 and 2030, all segments have put in place roadmaps.

Ravichandran Purushothaman, President of Danfoss India, says, “I am proud to witness our continued positive trajectory amidst global economic headwinds. Our steadfast commitment to innovation and sustainability has enabled us to achieve remarkable results, evident in our 2023 performance with a 7 percent increase in sales and a significant reduction of 18 percent in scope 1 and 2 emissions. At Danfoss, we’re joining hands with communities worldwide to recognise the power of energy efficiency in shaping a sustainable future. As we strive towards a greener tomorrow, let’s acknowledge the impact of our collective efforts in conserving energy, reducing emissions, and mitigating climate change. With our clear roadmap to decarbonise operations by 2030, including strategic agreements in key markets like China and North America, we are poised to further elevate our impact and drive sustainable growth in the Indian market and beyond. At Danfoss, we already have the expertise and technology to take action on decarbonisation through energy efficiency. Using the three-step process, we can achieve rapid and cost-efficient decarbonisation, reduce energy consumption and waste, reuse energy through energy recovery and sector coupling, and resource energy with renewables.”

“We are entering a new era where the future energy system is electric, and improving energy efficiency in machines, infrastructure, and industry is critical to delivering an affordable, secure, and decarbonised future. In 2023, we continued with bold investments in expanding our offering of competitive and innovative solutions for our core business and high-growth opportunities like data centres, the electrification of heating systems, EVs, on- and off-highway vehicles, as well as marine vessels, and hydrogen production,” says Kim Fausing, President & CEO of Danfoss.

The integration of the most recent purchases proceeded according to plan in 2023. Danfoss took the lead in mobile and industrial hydraulics after acquiring Eaton’s hydraulics division in 2021. Semikron Danfoss, founded in 2022, wanted to hold a leading position in power semiconductor modules and assemblies. Danfoss currently has one of the broadest compressor portfolios in the cooling sector, with the acquisition of BOCK® compressors in 2023.

“During the second half of 2023, high inflation and interest rates impacted the market. The more challenging business environment has continued into 2024, but we remain focused on implementing our green growth strategy and delivering strong value to our customers and partners around the world,” says Kim Fausing, President & CEO of Danfoss.

Danfoss already has agreements in place that guarantee a 30 percent decrease in emissions, and the company has a clear plan in place to decarbonise operations by 2030. Two long-term power purchase agreements in China and North America are included in these accords; they will go into force in 2024 and 2025, respectively. We kept decarbonising our businesses in 2023. Before acquisitions, scope 1 and scope 2 emissions fell by 18 percent, decoupling from the 2 percent increase in organic sales.

“I am excited to see how our global teams continued to implement our green growth strategy and, at the same time, decoupled our organic growth from our emissions,” says Kim Fausing.

For more info visit: http://www.danfoss.com

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