227% Surge in Companies Setting Science-Based Climate Targets

by  
Seneca ESG  
- August 18, 2025

Global corporate climate action is gaining serious momentum. According to the Science Based Targets initiative (SBTi), there’s been a staggering 227% rise in the number of companies committing to both […]

Global corporate climate action is gaining serious momentum. According to the Science Based Targets initiative (SBTi), there’s been a staggering 227% rise in the number of companies committing to both near-term emissions reductions and long-term net-zero targets between late 2023 and mid-2025. This jump signals a shift in how businesses approach sustainability, from a corporate social responsibility effort to a strategic growth priority grounded in climate science.

Asia is at the forefront of this global movement. China, in particular, saw a 228% surge in companies with validated science-based targets, reflecting a rapid acceleration in corporate climate ambition across the region. Meanwhile, other fast-growing markets such as the Middle East and Africa are also stepping up, signaling that climate leadership is no longer confined to Europe or North America.

Heavy-emitting sectors are now among the most engaged. Industrial, consumer discretionary, and materials companies are leading the charge, not only setting targets for their own operations, but also driving change throughout their supply chains. Many are requiring suppliers to adopt science-based targets as part of broader net-zero strategies, creating a ripple effect of climate accountability across industries.

This transformation is reshaping the global business landscape. As of mid-2025, companies with validated science-based climate goals represent 41% of global market capitalization and account for roughly 25% of total global revenues. These numbers show that science-based targets are no longer niche; they’re mainstream and financially material.

David Kennedy, CEO of the SBTi, emphasizes that climate targets are now a business imperative. They help companies manage transition risks, stay competitive, and attract investors in an increasingly sustainability-driven marketplace.

As pressure from regulators, investors, and customers mounts, companies that embed science-based targets into their operations will be better positioned to lead in a low-carbon economy. Expect continued growth in corporate climate commitments, with value chains and global markets evolving toward transparency, accountability, and long-term resilience.

Source:

https://esgnews.com/sbti-reports-227-rise-in-firms-setting-near-and-long-term-climate-targets/

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