We are aware that the transition to a climate-neutral economy could be slowed down by locked-in GHG emissions. Regarding Scope 1 and 2, certain processes cannot be converted to electricity yet. For Scope 3 downstream, the locked-in emissions depend on how the market will evolve in the coming years, in particular on the share of BEVs (Battery Electric Vehicle). However, it is important to point out that the higher the share of BEVs, the harder it is to reach the target set for Scope 3 upstream. We are developing plans to reduce emissions from downstream ICEs, and in particular, we are evaluating various technologies, including alternative fuels.

In order to define which Scope 3 categories are significant for the Company, we carried out a significance analysis according to the indications of the ISO 14064-1:2018. Hereafter the Scope 3 categories reported: Category 3.1, Upstream transportation and distribution (similar to category 4 of the GHG Protocol): Transportation and distribution of products purchased between its tier 1 suppliers and its own operations (in vehicles and facilities not owned or controlled by Ferrari); Category 3.2, Downstream transportation and distribution (similar to category 9 of the GHG Protocol): Transportation and distribution of products sold between its operations and the end consumer, including retail and storage (in vehicles and facilities not owned or controlled by Ferrari); Category 3.3, Employee commuting (category 7 of the GHG Protocol): Transportation of employees between their homes and their worksites.