• Six months after VW scandal: Seven other automakers exposed to up to US$4.8billionin emissions penalties; GM and Ford are companies with greatest exposure;

• Tightening environmental regulations boosting advanced vehicles market, especially in China;

• Nissan, Renault, BMW and Toyota rank highest on environment-related metrics;

•  Suzuki, Tata Motors, Hyundai,FCA rank worst of those who disclose.

A new report, analyzing 15of the world’s largest automakers with combined market capitalization of US$846billion, has found that tightening regulations on emissions are having a significant business impact in the wake of the Volkswagen scandal six months ago.

The report shows Volkswagen is not the only car maker potentially facing significant penalties as regulations on fleet emissions tighten around the world. Seven other car makerspotentially also face up to US$4.8billionin penalties (from the EU and UScombined) for non-compliance on their fleet emissions. The two US car giants General Motors and Ford are the companies at most notable risk – their penalties could potentially equate to a combined US$1.8 billion (114% of EBIT) and US$1.2 billion (27% of EBIT) respectively.

The report also identifies several automakers who have taken a lead on ‘advanced vehicles’, putting them at a competitive advantage in light of developments such as the Paris Agreement to limit emissions reached in December 2015 and increasing measures to disadvantage diesel vehicles. Nissan, Renault and Volkswagen are the only car makers to receive an ‘A’ grade from CDP in this area. Volkswagen launched five new models of advanced vehicles last year, contributing to a three-fold increase in advanced vehicles sales volume globally. There is explosive opportunity in China from advanced vehicles where some of the most stringent passenger vehicle fleet emissions targets combines with a booming market(CDP estimates China could have nearly two million advanced vehicle sales in 2020).

CDP’sautomotive ‘Super League Table (SLT)’ highlights those best prepared for climate regulation:

A Detailed Executive Summary of The Report is Available Here