Net zero commitments up 9% among US firms

Annual review shows continued rise in corporate pledges, although most still lack strategic credibility

US firms are continuing to commit to net zero despite a political clampdown on sustainability in the country, with a 9% increase in pledges over the past 12 months. 

The latest annual review by non-profit Net Zero Tracker found that 304 US-headquartered companies have now set targets, up from 279 last year.  

The increase still represents roughly half (52%) of US companies within the Forbes Global 2000.

Globally, 63% of the index have net-zero targets, with Japanese and British constituents identified as leaders, with “near-universal coverage”. 

Net zero commitments among Asian firms continue to rise, but the rate of growth has slowed.   

Target setting increased in Japan (from 184 to 199), in China (48 to 60), in South Korea (41 to 48), in Taiwan (26 to 35), in Thailand (11 to 15) and in India (29 to 34).  

But the analysis also raised questions about the integrity of commitments, with a third of companies lacking a climate transition plans showing how they would achieve their targets.   

Such plans are most common among French companies, more than 90% of whom have one. That figure was 70% for UK and Japanese firms.  

While a third of companies with net-zero commitments said they would use nature-based carbon removals to hit their targets, less than 5% had published removal-specific targets, which Net Zero Tracker said “raised questions about transparency and the credibility of their intended emission reductions”.