Big Brands Under Fire for Greenwashing Climate Promises
In a world where climate change is at the forefront of global concerns, big brands are increasingly using green taglines to cater to environmentally conscious consumers. However, many of these companies are facing backlash from courts and regulators for making climate promises they can’t keep.
According to researchers at the Grantham Research Institute on Climate Change and the Environment, there has been a significant increase in “climate-washing” cases in recent years. Between 2020 and 2022, the number of cases challenging the truthfulness of corporate climate commitments more than doubled.
This trend is playing out in several countries this year. In Denmark, Danish Crown, the country’s biggest pork producer, was told by a national court that labeling its pork as “climate-controlled” was misleading. Similarly, in Britain, fast-fashion brands were called out for labeling products as “recycled” without specifying the actual content that was recycled.
A Dutch court also prohibited KLM from using the slogan “fly responsibly” in its advertisements, while in New York, JBS, a meat multinational, was sued for making sweeping representations about neutralizing its emissions without a viable plan.
These cases highlight how campaigners are using legal avenues to hold companies accountable for their climate claims. The lawsuits are not only about ensuring truth in advertising but also reflect a growing consumer demand for sustainable products.
In the United States, sales of green or sustainable consumer products are growing twice as fast as non-green products, with younger and wealthier consumers leading the trend. Companies are recognizing this market opportunity but are also facing challenges in making authentic claims about their environmental efforts.
While these lawsuits can hold companies accountable, they can also make businesses hesitant to market themselves as environmentally friendly. Companies may choose to downplay their efforts to minimize risks associated with greenwashing claims.
As the push for sustainability continues, more cases against greenwashing are expected to emerge. Energy companies, airlines, and consumer goods manufacturers are all facing scrutiny for their environmental claims. It remains to be seen how these legal battles will shape the future of corporate sustainability practices.