Bloomberg Law
June 7, 2021, 10:13 AM

Biggest Companies Plan to Reduce Emissons By Culling Suppliers

Alastair Marsh
Alastair Marsh
Bloomberg News

For the world’s biggest companies, reducing emissions means cutting suppliers that aren’t moving quickly enough to prepare for a low-carbon economy.

Just short of 80% of multinational companies will start culling “slow-to-transition suppliers” by 2025, and 15% have already begun to do so, according to a report from Standard Chartered Plc based on a survey of corporate executives at 400 of the world’s largest companies. Since more than 70% of emissions for such businesses come from their supply chains, lowering those emissions is the first step in their climate-change strategies.

With companies such as Apple Inc., Royal Dutch Shell Plc ...