Jaguar Land Rover has invested in blockchain technology company Circulor to trace a sustainable supply chain as part of its efforts to reduce the environmental and ethical impacts of its products across their lifecycle.
The investment, through its venture capital and mobility services arm InMotion, will enable the luxury car manufacturer to source premium and valuable raw materials from origin to supplier, with Circulor already using blockchain to boost the traceability of minerals used for electric vehicle (EV) batteries.
The technology uses a combination of GPS, biometrics and QR codes to digitally verify the movement of raw materials at every step of the process.
In addition to the tracking compliance, the digital process will enable Jaguar Land Rover to assess the carbon footprint of its supply network.
Sebastian Peck, Managing Director of InMotion Ventures said: “This investment is further evidence of Jaguar Land Rover’s commitment to improving the sustainability of its supply chain around the globe and will help authentically trace raw materials from origin to supplier, eventually to vehicle.
“The implementation of blockchain technology provides a great opportunity to make a systemic change in supply chain compliance, not just for the automotive world but for other industries, too.”
Blockchain technology is believed to be impossible to modify or tamper with, giving customers “complete confidence” the supply chain is authentic and all the materials have been sustainably sourced.
Douglas Johnson-Poensgen, CEO and Founder of Circulor said: “Our blockchain technology has already proved its worth in tracking materials and we are excited to innovate further with Jaguar Land Rover and its global supply chain.
“We believe the digitalisation of the supply chain is key to ensuring traceability between the multiple intermediaries that handle the material between its origin and the manufacturer.”