Ashok Leyland Ranked No. 1 in Global ESG Risk Rating for Heavy Machinery and Trucks

Key Highlights:

• Ashok Leyland ranked No. 1 globally in ESG Risk Rating for Q3 FY25.
• It aims to be among the top 10 global commercial vehicle players.
• Targets carbon neutrality by 2030, net-zero emissions by 2048. 
• Sustainability is now a core business strategy.
• Recognition highlights its shift to sustainable mobility.

Ashok Leyland has secured the top global ranking in Sustainalytics' ESG Risk Rating for the Heavy Machinery and Trucks sector in Q3 FY25. Sustainalytics assesses companies based on environmental management, social responsibility, and corporate governance. The rating will position the Indian commercial vehicle manufacturer at the top of its industry segment.

ESG Assessment and Industry Impact

Sustainalytics evaluated the company on multiple ESG parameters, assessing its performance in sustainable business practices. The recognition comes at a time when the commercial vehicle industry is under growing pressure to adopt eco-friendly practices and reduce environmental impact.

Sustainalytics provides ESG research and ratings globally. These ratings help the investors and stakeholders assess companies' sustainability performance.

Leader's Perspective

Shenu Agarwal, MD & CEO of Ashok Leyland, stated that this recognition aligns with the company's goal of becoming one of the top 10 global commercial vehicle players. 

Alok Verma, Head of Corporate Strategy & ESG, highlighted the company's commitment to integrating sustainability into its core business strategy.

Environmental Commitments and Goals

The company has set ambitious environmental targets, including achieving carbon-neutral operations by 2030 and net-zero emissions by 2048. Additionally, it has committed to using 100% renewable energy by 2030 under the RE100 initiative.

Sustainability in Business Operations

Ashok Leyland has moved from a compliance-based approach to incorporating sustainability across its business operations, product development, and corporate social responsibility initiatives.

A Legacy of Innovation and Sustainability

Ashok Leyland has established a strong presence in both domestic and international markets. This ESG ranking highlights its transition from a traditional manufacturer to a company focused on sustainable mobility solutions.

About Ashok Leyland

Ashok Leyland, headquartered in Chennai, Tamil Nadu, is India’s second-largest commercial vehicle manufacturer. With the motto "Big on Comfort, Big on Performance, Big on Savings," the company has played a key role in innovation. In April 2017, it introduced IEGR technology for engines up to 400HP to meet BS-IV emission norms, now also used in BS-VI vehicles. 

It was the first to launch full-air brakes and power steering trucks in India and also built the country’s first double-decker bus. Additionally, Ashok Leyland produces spare parts and engines for various industries, including marine applications. Ashok Leyland Ltd. was originally founded as Ashok Motors by Raghunandan Saran, a Punjabi freedom fighter. The company was named after his only son, Ashok Saran. It was initially established in collaboration with Austin Motor Company.

Also Read: Ashok Leyland Sales Report January 2025: Reports 4.50% Growth

CMV360 Says

Ashok Leyland’s No. 1 ranking in ESG Risk Rating is a big achievement for the company. It shows the company is working hard to be more eco-friendly. Their plans for carbon neutrality and renewable energy sounds good and interesting. This will make them a strong and responsible company in the industry.