Polestar, an electric car manufacturer, has announced a strategic alliance with Circular, a blockchain traceability startup.

The two firms already trace cobalt used in some Polestar electric vehicle batteries.

Polestar places a premium on ethics and the community. Polestar CEO Thomas Ingenlath said, “With this unparalleled degree of traceability, Polestar will encourage sustainable and ethical practises in its supply chain and provide greater accountability for customers.”

Last month, the Swedish automaker unveiled Polestar 0, an ambitious initiative to build a carbon-neutral vehicle by 2030. There’s something, though.

Whereas other companies use carbon offsets such as planting trees or investing in renewables, Polestar claims that its supply chain would leave the factory with a zero-carbon footprint without balances.

To accomplish this, complete transparency is needed. As a result, the company has extended its partnership with Circulor to monitor additional raw materials, especially those that risk the environment or human rights, such as nickel, mica, manganese, graphite, and lithium.

“One of the materials used in batteries is lithium, which has been linked to environmental issues, especially in places like the Atacama Desert,” said Circulor CEO Douglas Johnson-Poensgen.

“Human rights issues are linked with rare earth elements. While aluminium has a large carbon footprint, there is a small yet increasing trend towards greener aluminium. Nickel, which is obviously important in battery manufacturing but is also used in steel manufacturing, is on that list.”

Circulor’s blockchain solution will be used to monitor CO2 emissions in the manufacturing process, as well as statistics inherited from its supply chain.

The Hyperledger Fabric business blockchain is used in this technology.

Circulor is backed by Polestar’s parent company Volvo, as well as Jaguar Land Rover. The firm also tracks Mercedes’ electric vehicle battery emissions.