The apparel firm is helping suppliers finance sustainable energy and water investments ©Levi Strauss & Co
The apparel firm is helping suppliers finance sustainable energy and water investments ©Levi Strauss & Co

Levi Strauss to cut supply chain emissions by 40%

3 August 2018

Levi Strauss & Co has announced plans to cut greenhouse gas (GHG) emissions in its supply chain by 40% by 2025.

The apparel firm said it would achieve this by expanding an existing programme to help its suppliers finance sustainable energy and water investments.

It added that after running a successful pilot scheme with a number of tier one suppliers (mostly cut and sew manufacturers) it would to expand the the programme to include more of its tier two fabric-mills. These represent a more carbon-intensive part of the company's supply chain.

Fabric production, which includes the spinning, weaving and dyeing of cotton, accounts for 31% of Levi’s supply chain emissions – the largest single contributor. Supply chain emissions account for 63% of Levi’s total GHG emissions.

The pilot scheme Levis ran was part of the Partnership for Cleaner Textiles (PaCT) programme, a public private partnership that that provides suppliers with access to low-cost financing for sustainable energy and water investments. PaCT is run by the International Finance Corporation, the financing arm of the World Bank.

The company said its six participating suppliers had reduced their carbon footprint by an average of nearly 20% and that the investment had helped save more than $1m in operating costs.

The firm has also set itself the target of reducing emission from its owned and operated facilities by 90% by 2025. This target includes the aim of using 100% renewables in all company-owned facilities.

Levi Strauss said its targets had been approved by the Science Based Targets initiative, an organisation that helps firms set targets in line with the Paris Agreement’s goal to keep global temperature increases below 2C.

Levi Strauss president and CEO Chip Bergh said: “We believe that business has the opportunity and the responsibility to be a force for positive change in the world.

“We are proud to be one of the first companies to set science-based targets for our global supply chain, and we hope to be an inspiration for others to follow.”

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