Manufacturing Impact Report - Chemicals Edition

In our latest quarterly review of corporate sustainability impacts, risks and opportunities, we find that the chemicals industry is undergoing a major shift with 3M and other leaders announcing the phase-out of PFAS substances by 2025. The report highlights how this decision reflects broader regulatory trends, with organisations like Apple, Starbucks, and several food vendors targeting PFAS elimination by 2025. These changes present significant ESG challenges requiring thorough materiality assessment processes to address both financial materiality through potential compliance costs and impact materiality through environmental health outcomes and supply chain transformations.

This report analyses thousands of sustainability disclosures from 20 leading entities in the chemicals industry, including 3M, BASF, and Dow. Published in Q225 as part of a quarterly series, it also includes disclosures from Global South entities like Reliance Industries and Sasol Limited. The global nature of this analysis makes it an ideal source of external evidence for sustainability accounting and disclosure, particularly for organisations implementing circular economy practices and preparing for CSRD requirements on chemical management while aligning with SDGs for responsible production and consumption.