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Our vision is to create a better everyday life for the many people. In today’s world, this means transforming our business and value chain to drastically reduce our climate footprint. It’s our responsibility to the home we share and what our customers and co-workers expect.
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This means reducing more greenhouse gas emissions than the IKEA value chain emits, while growing the IKEA business. We are committed to reducing the climate footprint of the IKEA value chain in line with the 1.5°C target – including halving emissions by 2030 and reaching net-zero by 2050 at the latest.
To reduce our climate footprint we have set the following strategic goals, in order of priority:
This will be achieved by using more materials and food ingredients with a low climate footprint, striving towards electrification, 100% renewable energy and continually improving energy efficiency, promoting choices with a lower climate footprint, and transforming into a circular business.
To reduce our climate footprint, it’s important to focus on the largest areas in terms of volume and climate footprint: wood, metals, paper, textile furnishings and plastics. Together they represent about 90% of our material needs and climate footprint, with wood-based materials representing 60% of our material needs. As part of our commitment to reducing the climate footprint of our materials, we aim to reach 100% renewable or recycled materials by 2030.
We’re committed to reaching the goal of 100% renewable electricity for all IKEA operations by FY30 and we want to enable our supply partners to achieve this goal as well. We’re providing two ways for them to convert: by financing on-site investments and enabling the purchasing of renewable electricity.
We reached 100% renewable electricity in our retail and centres operations across 23 countries in FY21. This is particularly satisfying as local availability, policies and regulations can make this challenging. We also took the final step to secure that all IKEA owned factories only consume renewable electricity – globally.
The next step in halving our climate footprint is removing CO₂ from the atmosphere through natural processes. To do this we will store CO₂ through better forestry and agriculture management practices. A circular economy will also ensure that carbon remains stored in our products and materials for longer.
We will take an extended responsibility for the climate footprint of our customers, suppliers and sourcing. To do this we will transform our suppliers’ entire factories or operations to renewable energy - not just the part used for IKEA production.
We will achieve our climate positive goals without using carbon offsets, as we believe that we need to address the root causes of our climate footprint within our own value chain or in connection to our customers, suppliers and sourcing areas. Only by doing so can we transform into a sustainable business.