With the help of our suppliers, customers and other value chain players, we are working to reduce environmental impact at every step of the value chain. The food industry has a crucial role in mitigating climate change, and we remain committed to playing our part.
Why decarbonising the value chain matters?
Global food systems account for around 30% of global GHG emissions and are key to tackling the climate crisis. To avoid widespread adverse impacts and damages to nature and people, we must keep warming to not more than 1.5°C above pre-industrial levels. This requires deep, rapid and sustained GHG emissions reductions in all sectors.
Climate impact reduction is a focus theme of our environmental policy and climate action is a central element of our 2030 Strategy, reflecting the strong interconnections between reducing climate impact, protecting nature and advancing circularity.
Our decarbonisation efforts focuses on the climate decarbonisation levers and climate risks across our entire value chain, including suppliers, our own operations, customer operations, transportation, and the sale and end‑use of our products.
Reducing our upstream emissions
Our upstream1 GHG emissions include those related to the production of the goods we purchase, such as liquid packaging board, aluminium and polymers. We engage with our suppliers to identify opportunities to reduce emissions in their operations throughout their supply chains, including through data collection, supplier engagement programmes and collaboration on lower‑carbon materials. To reach our 2030 SBTi target2,3 of 46% absolute emissions reduction across the entire value chain (scopes 1, 2 and 3)4 compared to a 2019 baseline, we set a target to reduce emissions from our purchased base materials5 by 50% by 2030.
We also request that prioritised suppliers in our Join Us in Protecting the Planet initiative (JUIPP) set a target certified against the SBTi’s Corporate Net‑Zero Standard to limit global temperature rise to 1.5⁰C and drive decarbonisation together.
How base materials help create a lower-carbon carton
As of 2025, we reduced the absolute climate impact from our base materials (scope 3.1) by 25% compared to 20196. This is mainly driven by improvements made together with our aluminium and polymer suppliers and by allocating a greater share of volumes to suppliers with lower emissions. Aluminium foil and liquid packaging board suppliers in particular achieved meaningful decarbonisation by increasing their use of renewable electricity, improving efficiency in their own operations and sourcing lower emission input materials.
Reducing our operational emissions
We are on track to reach our target of reducing GHG emissions in our own operations in our operations by 70% by 2030, with a reduction of 56% in 2025 against our 2019 baseline. Reductions in 2025 were mainly the result of securing renewable electricity in three more sites (Gotemba, Jurong and Jeddah) combined with ongoing facility and real estate management (FREM) initiatives, such as energy efficiency improvements.
Reducing transportation footprint
Inbound and outbound transportation is responsible for 7% of our total value chain GHG emissions. In 2025, we developed a plan to decarbonise operations linked to the transport of our products. This has allowed us to establish a unified approach to data-gathering, ownership and the implementation of decarbonisation initiatives across all parts of the company.
Creating value for customers
As the majority of the GHG emissions in our value chain come from the use of our equipment, we must optimise efficiencies for customers in order to meet our climate goals. In 2025, the climate impact of the use of the equipment we sold that year was 43% lower compared to the equipment sold in our 2019 baseline year.
Sustainability is integrated throughout our portfolio. Our aim is to continually enhance energy efficiency and reduce the emissions intensity of our solutions, recognising that significant impact often comes from upgrading lines and processes and not merely isolated technologies.
We believe companies that place sustainability at the centre of their operations gain a distinct competitive advantage. In 2025, customers realised tangible sustainability benefits through the use of our solutions, including improved efficiency, lower costs and reduced carbon footprints.
1 ‘Upstream’ refers to the early stages in the operations of a business or industry, as exploration and production in the oil business (opposed to downstream). Source: https://www.dictionary.com/browse/upstream.
2 The Science Based Targets initiative (SBTi) helps companies set realistic, impactful emission-reduction targets to help prevent the worst impacts of climate change and, at the same time, future-proof business growth. Targets are considered ‘science-based’ if they are in line with the latest climate science and the Paris Agreement goals – limiting global warming to 1.5°C above pre-industrial levels, 2022. Source: https://www.tetrapak.com/about-tetra-pak/stories/net-zero-science-based-targets.
3 ‘Downstream’ refers to the latter part of a process or system: https://www.dictionary.com/browse/downstream.
4 Scope 1 covers direct emissions from owned or controlled sources. Scope 2 covers indirect emissions from the generation of purchased electricity, steam, heating, and cooling consumed by the reporting company. Scope 3 includes all other indirect emissions that occur in a company’s value chain.
5 Base materials are the materials we use to produce the packaging we sell to food and beverage producers, including paperboard, polymers, aluminium foil and inks.
6 Compared to 2019 for best practice lines.