SpeedRead Sustainability #40: Weekly Highlights

Explore the latest sustainability updates and trends in this edition, which highlights the impacts and risks of social and environmental challenges, alongside innovative solutions that benefit both people and the planet.

Top Story:

Sustainable Finance and ESG Trends in 2025

Green and sustainability bond issuance is expected to reach $1 trillion in 2025, maintaining 2024 levels. Climate mitigation financing will remain a priority, with growing interest in climate adaptation and nature-based solutions. However, gaps between decarbonization goals and implementation will become more evident amid intensifying climate impacts. Market scrutiny on greenwashing, evolving regulations, and political uncertainties may slow overall growth, while transition and sustainability-linked bonds continue to face market challenges.

Country and Corporate Action Spotlight:

Volkswagen Cancels U.S. Launch of ID.7 Amid EV Market Uncertainty

Volkswagen has scrapped plans to introduce its ID.7 electric sedan in North America, citing a challenging EV climate. Despite record EV sales in the U.S. in 2024, political shifts—including the Trump administration’s efforts to roll back fuel economy standards and EV incentives—have created uncertainty for automakers.

Switzerland Sets New Climate Targets Under Paris Agreement

The Swiss Federal Council has approved new climate reduction targets, committing to a 65% reduction in greenhouse gas emissions by 2035 compared to 1990 levels, primarily through domestic measures. This aligns with the Swiss Climate and Innovation Act and supports the country’s net-zero goal by 2050.

EU Unveils Competitiveness Compass to Drive Sustainable Growth

The European Commission has introduced the Competitiveness Compass, a new framework guiding the EU’s economic strategy for the next five years. Building on Mario Draghi’s recommendations, the plan focuses on innovation, decarbonization, and security to strengthen the EU’s global position. Key initiatives include fostering AI adoption, accelerating industrial decarbonization, and securing critical resources through new trade partnerships.

Maui Wildfire Victims Avoid Court Testimony in $4 Billion Settlement

A last-minute agreement has spared Maui wildfire survivors from testifying in court over the distribution of a $4 billion settlement. The deal, reached just before trial, prevents victims from reliving the trauma of the 2023 Lahaina fire, which killed over 100 people and caused $5.5 billion in damage.

Chipotle Invests in Sustainable Protein and Methane Reduction Technologies

Chipotle Mexican Grill Cultivate Next fund is backing Plantible and CH4 Global to advance sustainable food solutions. Plantible develops Rubi Protein? from duckweed as a plant-based alternative to animal proteins, while CH4 Global’s Methane Tamer? uses Asparagopsis seaweed to reduce methane emissions from cattle by up to 90%. These investments align with Chipotle’s commitment to food innovation and climate action, supporting scalable solutions for a more sustainable food system.

IKEA Expands Mattress Recycling to Boost Circular Furniture Production

宜家 is scaling up mattress recycling efforts in Europe, using materials from discarded beds to create sofas, chairs, and new mattresses. Partnering with Dutch recycler RetourMatras, the company is converting polyurethane foam into high-quality new foam, advancing its circularity goals. A recent $1 billion investment will expand recycling infrastructure, though the U.S. lacks similar technology.

Nature-First Urban Planning: How Two Cities Are Leading the Way

Singapore and Barranquilla are redefining urban development by integrating nature into their infrastructure. Singapore’s City in Nature vision has expanded green spaces, improved biodiversity, and enhanced climate resilience, with nearly half of the city now covered in greenery. Barranquilla’s BiodiverCity strategy has transformed neglected areas into thriving public spaces, boosting ecotourism and community engagement.

DHL: Asia's First Sustainable Aviation Fuel Cargo Service

DHL Express has launched Asia’s first regular cargo service powered by sustainable aviation fuel (SAF), securing an annual supply of 7,200 kilolitres from Japan’s Cosmo Energy Holdings. This marks DHL’s first SAF acquisition in Asia and positions Chubu Centrair International Airport as a key hub for sustainable air freight.

Trends, Research and Insights:

The Trump Administration’s Impact on Corporate Sustainability

The return of the Trump administration signals a shift in the U.S. sustainability landscape, with policies favoring fossil fuels, rolling back climate initiatives, and undermining DEI efforts. Federal support for clean energy and environmental protection is at risk, forcing companies to reassess their sustainability strategies. However, global market forces and long-term business trends continue to drive sustainability efforts.

IFRS Foundation Releases Guidance on Climate-Only Disclosures Under ISSB Standards

IFRS Foundation has introduced a new guide to help companies report only climate-related information when applicable under ISSB Standards. This guide supports the implementation of IFRS S1 and IFRS S2, addressing investor demands for climate disclosures while considering challenges in broader sustainability reporting.

Managing Extreme Weather Risks: The Role of Business

As climate-related disasters intensify, businesses must strengthen their resilience by integrating climate risk management into operations. Early warning systems (EWS) are emerging as critical tools, with every dollar invested yielding significant returns. Policymakers and businesses must collaborate to enhance preparedness, while greater transparency in risk mapping can inform regulatory action.

2025: A Breakthrough Year for the Regenerative Blue Economy

Momentum is building for the regenerative blue economy, with businesses and investors increasingly recognizing its strategic and financial potential. Ocean financing solutions, such as blue bonds and debt-for-nature swaps, are maturing, while key policy barriers are being addressed through initiatives like the High Seas Treaty and the 30x30 target.

Navigating Pushback: How CSOs Can Drive Sustainable Business Success

Chief Sustainability Officers (CSOs) face growing pressure to align sustainability with business priorities while managing internal resistance. Success depends on C-suite support, clear sustainability priorities, and the ability to demonstrate financial value. Effective CSOs excel at sustainability tension management, balancing trade-offs between profit, planet, and people.

Rethinking DEI: A New Framework for Workplace Inclusion

As DEI faces backlash, a new FAIR framework—focusing on Fairness, Access, Inclusion, and Representation—offers a results-driven approach to workplace equity. Unlike traditional DEI, which often relies on training and awareness campaigns, FAIR emphasizes measurable outcomes, systemic change, and coalition-building. Companies that adopt this model prioritize structural improvements, such as equitable hiring practices, transparent promotions, and inclusive decision-making.

How Climate Change Became a Partisan Issue

Climate change was once a scientific concern, but decades of industry lobbying, media framing, and political polarization turned it into a divisive issue. Fossil fuel companies funded misinformation campaigns to cast doubt on climate science, while partisan shifts—such as the 2000 election’s red vs. blue state narrative—deepened ideological divides.

Extreme Heat Could Kill Millions in Europe by 2100, Study Warns

A new study published in Nature Medicine projects that extreme heat could cause up to 2.3 million deaths in Europe by the end of the century, particularly in Italy, Spain, and Greece, unless aggressive emission reductions and adaptation measures are taken.

The EU Omnibus: What’s at Stake for Business, People, and the Planet

The EU’s Omnibus Simplification Package aims to streamline reporting under the Green Deal laws—the EU Taxonomy, CSRD, and CSDDD—but concerns are rising that it could dilute critical sustainability regulations. Business leaders, including Nestlé, Unilever, and Mars, warn that weakening these frameworks could undermine corporate certainty and investment. While reducing administrative burden is valuable, turning simplification into deregulation could create unintended consequences.

Climate Change Made the L.A. Wildfires 35% More Likely

A new analysis from World Weather Attribution (WWA) finds that climate change increased the likelihood of the devastating Palisades and Eaton fires in Los Angeles by 35%. Researchers identified reduced rainfall, prolonged drought, and intensified Santa Ana winds as key factors in fueling the wildfires, which have burned over 35,000 acres and killed more than two dozen people.

Corporate Climate Action Falls Short: CDP Health Check Reveals Gaps in Business Progress

The CDP Corporate Health Check, developed with Oliver Wyman and the World Economic Forum , finds that only one in 10 companies are fully embedding Earth-positive decision-making into their business models. With climate inaction threatening to cut global GDP by 18% by 2050, corporate progress remains slow—only a third of businesses are on track to meet emissions reduction targets.

Climate Change Threatens the Future of Major Sporting Events

A new study from Queen’s University Belfast warns that nearly 90% of stadiums hosting the 2026 FIFA World Cup in North America could face dangerously high temperatures, with some reaching extreme heat levels above 32°C (89.6°F). Experts suggest rescheduling matches to cooler times and integrating climate resilience measures into event planning to protect players and spectators.

Americans Agree: Companies Must Treat Employees Fairly

Despite political divides on many issues, a strong majority of Americans—78% of Democrats, 72% of Republicans, and 74% of Independents—agree that large companies must ensure fair treatment for all employees and job applicants, regardless of gender, race, religion, or sexual orientation.

The Value Impact of Sustainability-Related Announcements

Investors increasingly expect businesses to link sustainability strategies to value creation, yet only 40% believe companies effectively communicate their rationale. A BCG analysis of sustainability announcements across 15 sectors found that high-quality announcements—those demonstrating a clear link to value creation, verified goals, and material relevance—outperformed lower-quality ones in shareholder returns.

2024 Was the Hottest Year Ever—But Also the Coolest of the Rest of Your Life

The Copernicus Climate Change Service has confirmed that 2024 was the hottest year on record, marking the first time global temperatures surpassed the 1.5°C warming threshold set in the Paris Agreement. Experts warn that this milestone is just the beginning, with current climate policies putting the planet on track for up to 3°C of warming by 2100. As extreme heat, wildfires, and storms intensify, shifting baseline syndrome—where each new climate reality feels “normal”—may reduce public urgency for action.

Campaigns and Initiatives Roundup:

The Ordinary Unveils ‘Wikileaks of Beauty’ to Demystify Skincare Science

The Ordinary has launched a free digital library of beauty industry white papers, offering consumers worldwide access to peer-reviewed research on skincare science. Dubbed The Wikileaks of Beauty, the initiative provides expert explanations on commonly misunderstood topics like parabens, natural ingredients, and sunscreen formulations.

Japanese Brewery Crafts Beer for Readers with BOOK IPA

Japanese secondhand book retailer ValueBooks and Saitama-based brewery COEDO have collaborated to launch BOOK IPA, a limited-edition beer designed for reading. Unlike traditional IPAs, it features toned-down bitterness with herbal and citrus notes to enhance, rather than overpower, the senses. The partnership aligns with both companies’ sustainability efforts—ValueBooks extends the lifecycle of books, while COEDO upcycles local ingredients like sweet potatoes.

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