Joint efforts with the BMW Group enable secure, sovereign data exchange as a foundation for carbon accounting
California SB-253, the Climate Corporate Data Accountability Act, will require covered entities — generally companies ‘doing business in California’ with more than $1 billion in annual revenue — to publicly report and obtain third‑party assurance/ verification of their greenhouse gas emissions, including Scope 1 and Scope 2 starting in 2026 and Scope 3 starting in 2027. These requirements, like the EU’s CSRD regime, accelerate the shift from largely voluntary Scope 3 tracking to a regulatory and operational reporting obligation for in-scope companies.
Automotive suppliers that align early with standardized product carbon footprint (PCF) approaches reduce compliance risk, audit effort, and integration costs, positioning themselves as preferred long‑term partners for global original equipment manufacturers (OEMs). In anticipation of these regulatory requirements, Flex piloted a multiregional data exchange digital infrastructure using Catena-X-based open source, peer-to-peer data space technology. The digital infrastructure enables the fast, seamless, and secure exchange of authentication data as parts travel to vehicle assembly plants from Flex sites across APAC, EMEA, and North America.