Considerable quantities of greenhouse gases are already produced during the production of a semiconductor. Nevertheless, indirect Scope 3 emissions account for around 90% of_{CO2 emissions} in the semiconductor industry. Supply chain managers can have a major influence on a significant proportion of these emissions: the greenhouse gases released through transportation and distribution services for goods and end products under their own responsibility (Scope 3.4).

For example, the internal and external transport of 1.5 tons of semiconductors along the value chain causes more than seven tons_{of CO2 emissions}. The Scope 3.4 emissions for a VW Golf of roughly the same weight, on the other hand, correspond to less than half a ton of greenhouse gas. A significant proportion of this is due to the importance of air freight for the semiconductor industry, which accounts for over 95% of transport emissions. But how can companies reduce emissions in their transportation network and remain competitive at the same time?

More sustainable air freight as a solution?

A radical switch from air freight to other, more climate-friendly means of transportation is not to be expected in the short term. On the one hand, the supply chain requirements for small, lightweight high-tech products with very high value are an argument against this: short delivery times, high flexibility, low inventories; on the other hand, the global nature of value creation: production is usually centralized in Asia for cost and partly competence reasons, while the end customers are often located in Europe and the USA.

In contrast to the land freight sector, supply chain managers can hardly influence the utilization of cargo aircraft and operational processes, for which the air freight company is usually responsible. Despite their great potential, alternative aviation fuels (SAF) also do not yet offer a scalable alternative to kerosene due to their currently limited availability.

One option for reducing_{CO2 emissions} that can already be implemented today is the conscious choice of transport company based on suitable criteria, such as the blending ratio of SAF or the age of the fleet. New aircraft models emit up to 15 - 20 % less_CO2 than their predecessors thanks to more efficient engines, better aerodynamics and lower weight. By way of illustration, a comparison of various air freight providers on the example route Singapore-Frankfurt showed an average savings potential of 22% greenhouse gas emissions with a fleet that is on average around half as old (12 vs. 22 years).

The greatest leverage lies in the network

Reviewing and revising the network strategy offers the greatest - and also most effective - lever that can be directly influenced to improve the carbon footprint. The favorable choice of one or more airport locations can significantly reduce the distances of air freight main runs, avoid air freight on-carriage and save up to 90 % of emissions per tonne-kilometer in the domestic on-carriage. In addition, one longer flight is better for the greenhouse gas balance than two medium-haul flights. Due to the energy-intensive take-off and landing processes, short and medium-haul flights emit around 22% more_{CO2 emissions} per tonne-kilometer than long-haul flights. It is also worth taking a look at the distribution and number of distribution centers in the global network to ensure that products with short-term requirements are kept in stock close to customers. In this way, total transport distances can be minimized and alternative means of transport to air freight can be used to reduce greenhouse gas emissions. Suitable demand forecasting tools, well thought-out supply chain segmentation and expertise in technology-supported supply chain planning help to avoid overstocking.

The greatest lever for_{reducing CO2 emissions} is the regionalization of supply chains, even if this is made more difficult in the semiconductor industry by high investments in equipment, the large amount of knowledge built up in Taiwan in particular, which is difficult to transfer, and the availability of raw materials. However, the_{CO2 potential} is immense: switching from 12,000 km of air freight to 1,000 km of land freight reduces_{CO2 emissions} by 99% for every ton of material transported. The geopolitical drive towards more regionalization in the semiconductor industry and corresponding investment programmes in Europe and the USA play into the hands of sustainability and open up new logistical opportunities for the future.