Clariant Accelerates Sustainability Transformation with Science-Based Climate Targets

Clariant, a focused, sustainable and innovative specialty chemicals company, announced it has raised its targets for delivering a sustainable future. Following the establishment of a dedicated transformation unit in 2020 to accelerate its sustainability transformation, the company is now following up by committing to new 2030 targets for reducing CO2 emissions in line with the Science Based Targets initiative (SBTi). The new targets, officially approved by SBTi, set out ambitious absolute emission reductions in the company's operations and supply chain. Clariant is targeting a 40 percent absolute reduction in Scope 1 and 2 greenhouse gas emissions and a 14 percent absolute reduction in Scope 3 greenhouse gas emissions between 2019 and 2030, striving for the level of decarbonization required to keep global warming well below 2°C. [1]

Bernd Hoegemann, Chief Transformation Officer at Clariant, said: "Sustainability is one of Clariant's five strategic pillars and guides our path toward becoming a leading specialty chemicals company. Our new targets reflect our commitment and responsibility to delivering a more sustainable future. Innovation and transformation are two vital elements that will drive our success."

Climate change represents both a compelling mandate and a tremendous opportunity for the chemical industry to develop innovative and sustainable solutions required to reduce its own emissions and drive significant reductions in other sectors, putting the world on a trajectory aligned with the Paris Agreement on climate change. Cynthia Cummis, Director of Private Sector Climate Action at the World Resources Institute, a partner of the Science Based Targets initiative, said: "We congratulate Clariant for setting emission reduction targets aligned with climate science and Paris Agreement goals. By setting targets grounded in climate science, Clariant is positioning itself for success in the transition to a net-zero economy." Clariant's science-based targets are accompanied by other environmental targets in the areas of water intake, wastewater, hazardous waste, non-hazardous waste sent to landfills and nitrogen oxide emissions (NOx). Clariant also commits to implementing sustainable water management systems in all areas of high water stress by 2030. Together, these targets ensure continuous improvement of Clariant's environmental footprint and provide further contribution to UN Sustainable Development Goal SDG 13 "Climate Action," one of the SDGs on which Clariant is focused. The company has also adapted important governance elements, such as linking the reduction of greenhouse gas emissions to remuneration to steer its transformation and implementing internal carbon pricing.

Clariant is pursuing a mixed approach to reduce emissions across its value chain. The company will focus on increasing energy efficiency through digitalization in operations, increasing the use of green electricity and low-carbon fuels, and accelerating innovation in value chains with increased use of low-carbon raw materials such as waste streams and sustainable bio-based materials.

The commitment to science-based targets marks the next milestone in Clariant's sustainability transformation journey and emphasizes performance across all environmental, social and governance (ESG) dimensions. This follows Clariant's eighth consecutive listing in the Dow Jones Sustainability Index with a best-in-class innovation score and its new listing in the Swiss Exchange's newly launched SPI ESG Indices. [1] Scope 1 emissions refer to direct greenhouse gas emissions produced during production (for example, from the burning of fuels). Scope 2 emissions result from indirect greenhouse gas emissions produced from the consumption of secondary energies – particularly electricity and steam. Scope 3 emissions refer to other indirect greenhouse gas emissions occurring in Clariant's value chain. Scope 3 targets are aligned with a 2°C scenario.