87% of US Companies Maintain or Increase Sustainability Investment Despite ESG Backlash
A survey of global companies finds that 87% of US companies have maintained or increased sustainability investments as of 2025, even as ESG backlash and the EU's Omnibus Simplification Proposal drive a trend of 'greenhushing' — where companies quietly pursue sustainability goals without public disclosure. Global sustainability leadership remains commercially valuable, with sustainable products commanding a 26.6% price premium and achieving 2.3 times higher sales than conventional alternatives.
Research cited in the analysis shows that 88% of global companies still view sustainability as a long-term value creation opportunity, despite political and regulatory headwinds in the United States and shifting timelines in Europe. By mid-2025, nearly 11,000 companies had validated science-based targets or committed to set them, with companies holding both near-term and net-zero targets surging 227% since 2023. Corporate sustainability momentum has not reversed, but many organisations are reducing public communication about their goals even as they continue to pursue them.
The analysis, produced by CCH Tagetik (Wolters Kluwer), identifies three strategies for companies navigating the current sustainability environment: tying sustainability targets to measurable business value, moving from broad ambitions to specific financially-grounded decarbonisation pathways, and engaging the Chief Financial Officer as a leading figure in funding and validating sustainability strategies. A 2025 Verdantix survey found that 77% of sustainability leaders view the CFO as a leading or significant figure in funding sustainability strategy, ranked third behind only CEOs and Chief Sustainability Officers.
The EU's Omnibus Proposal, while creating short-term regulatory uncertainty, is being interpreted by some sustainability managers as an opportunity to focus on data quality and strategic integration rather than compliance timelines. Regulations continue to advance outside Europe, with global sustainability frameworks including the IFRS S1 and S2 standards and regional Asian disclosure requirements maintaining momentum. Companies are encouraged to use periods of regulatory transition to strengthen internal carbon accounting systems and scenario planning capabilities, ensuring they are positioned for regulatory certainty when it returns.
Key figure — 26.6% price premium commanded by sustainable products over conventional alternatives
This content is AI-assisted and reviewed by the ESG Broadcast editorial team. It is for informational purposes only and is not investment or ESG-rating advice. See our Technology & Transparency policy.
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