Industry and Manufacturing

From clothes to cars — how everything is created. This is inclusive of the entire process from raw material extraction through manufacturing.

According to Project Drawdown, the industry sector accounts for roughly 21% of global greenhouse gas emissions each year and is the hardest sector to decarbonize.

Traditionally, this sector operates in a “linear” fashion but to achieve net-zero emissions it needs to be “circular.” In a linear economy, we extract materials from the earth, create products, and then throw them out as waste. A circular economy takes a look at the entire lifecycle of the product to keep it in use, regenerating the natural system, and inevitably reducing waste.

This sector also requires the use of heat-intensive and energy-consuming machines to operate which leads to an excess of carbon in the atmosphere.

The solutions in this sector include improving materials, reducing waste, and enhancing efficiency.

‍In recent news, the Inflation Reduction Act has fueled some major possibilities for this sector through:
- Investment tax credits for clean energy manufacturing facilities
- Advanced manufacturing production tax credit
- Tax credits for hydrogen and carbon capture
- Loans and loans guarantees

Companies like Rheaply, Novamera, Ginkgo Bioworks, Diamond Foundry, Boston Metal, H2green Steel, and many more are setting the new standard.