The company has shown gradual improvement since the 2021 scorecard, and now deserves credit for meaningful investments in next generation fibers and textile recycling, as well as for partnering with groups such as the Asia Clean Energy Coalition and Apparel impact institute to increase access to clean energy and decarbonization in supply chain regions. Lululemon’s manufacturing emissions continued to increase in 2023, although at a slower rate than previously, but it still reported a relatively high proportion of emissions from upstream transportation due to a dependence on carbon-intense air freight. As a priority the company should replace its intensity-based emissions target with an absolute target, and release a full transition plan which includes its pathway to transition its thermal processes, as well as electricity, to renewables.
Total Score
Manufacturing Emissions Change
2023 Score
About the Scorecards
As the rampant production of fossil-fueled clothing continues to rise, contributing at least 4% of global emissions, the fashion industry must urgently correct course by ending its dependency on fossil fuels for manufacturing, transportation, and raw materials.
Read Report Download Report (PDF)Emissions change of Scope 3 Category 1 emissions when compared with the brand’s baseline year. Emissions change of -27% is used as the benchmark for alignment with 1.5C, based on 50% total reduction by 2030 compared with 2018 levels.
Score Breakdown
Climate and Net Zero Targets
Scope 1 and 2: Yes –
60% absolute reduction in greenhouse gas (GHG) emissions in all owned and operated facilities (Scope 1 and 2 42) by 2030
against the base year of 2018.
Scope 3: No – company has an intensity based target instead of absolute.
60% intensity reduction in GHGs in purchased goods and services, and upstream transportation and distribution (Scope 3) by 2030, against the base year of 2018.
Mid-term (2035/2040) milestones: No interim targets for 2035, or 2040 were communicated in the latest impact report
Net Zero Roadmap: No.
Renewable Energy Targets
Own operations RE target: Yes – 100% renewable electricity in our owned and operated facilities by 2021. Has maintained since.
Does not specify high impact in goals.
Supply chain RE target: No – working to achieve 25% renewable electricity among core suppliers by 2025. Specifies through use of on-site solar, off-site procurement (e.g., Power Purchase Agreements [PPAs]), and EACs
Update to: New target of at least 40% renewable electricity among core suppliers by 2025, prioritizing on-site solar, off-site procurement (e.g., Power Purchase Agreements), and EACs where needed.
Thermal Coal Phase Out
2030 Coal Phase-out Target: Yes – We work with our Tier 1 and Tier 2 suppliers to eliminate on-site use of coal, including having them sign commitment letters and establish credible roadmaps to phase out existing coal boilers by 2030.
Thermal energy transition/ electrification: Provides detail on phase down. The company engages with technical experts and suppliers to conduct feasibility studies, reviewing material manufacturing processes that require high heat and assessing potential solutions. The Responsible Supply Chain (RSC) team works directly with supplier facilities to identify coal use, confirm feasibility, monitor transitions through corrective action plans, and verify phase-out roadmaps. Supplier progress on coal phase-out is reviewed during business reviews with sourcing teams and integrated into broader supplier management, including the qualification phase. Lacks specific detail on electrification vs alternative fuels.
Transparency
Emissions data: Yes, Scope 1 -3 emissions history in report. Scope 3 category breakdown in CDP ’24. No clear split by Tier or country.
Supply chain energy data: No breakdown of supply chain energy or electricity consumption beyond aggregate re%
Supplier lists published: Shares Tier 1 and Tier 2 publicly.
Training, feasibility studies, and non-financial support for climate action
Yes. Demonstrates examples. The company supports training through the Aii Carbon Leadership Program and its own programs on measuring GHG emissions, creating time-bound action plans, mitigating environmental impact, setting operational commitments, and making credible renewable energy usage claims for Tier 1 and Tier 2 suppliers. It also participates in the Clean Energy Procurement Academy by the Clean Energy Buyers Association (CEBA), which educates supplier partners on renewable energy purchasing. The Academy offers both in-person and digital training to help suppliers reduce carbon emissions at scale. The training has been shared with suppliers in Mainland China and Vietnam.
Additional, targeted support for transition planning: Yes, through Aii CLP on target setting, own supplier training and membership of the Clean Energy Procurement Academy.
Financial Support for Decarbonization
Loans and financing: The brand contributes to the Aii Fashion Climate Fund, a capital pool to help suppliers create roadmaps, build capacity, and improve affordability. It also mentions evaluating collaborative financing options with partners to further support carbon-reduction projects, but provides no additional details.
Collective financing initiatives: Direct/debt-free financing:
Direct/debt-free financing:
Responsible/equitable buying to enable climate action
Purchasing decisions incentivize climate action: Yes. When engaging suppliers on climate change, the company selects those that represent a significant portion of procurement spend and material production. Suppliers must meet at least one of the following criteria: 1) be a key strategic supplier, 2) produce key materials or deploy specific processes, 3) require training or capacity building for data needed for regulated disclosures, or 4) have potential for GHG emissions reduction. The company further engages with these suppliers if they don’t meet criteria or need additional training in climate change or GHG reporting. Suppliers must also track energy usage and report data through Higg FEM.
Equitable/long-term sourcing to enable climate action: Not linked specifically to decarbonization but does say We engage with suppliers and offer support to address issues underlying non-compliance when it occurs. When an issue is flagged in an assessment, we require suppliers to develop Corrective and Preventive Action Plans (CAPAs) to address identified issues. All zero-tolerance issues are addressed and remediated with high priority
Prices enable climate action: Not specific to decarbonization but member of Global Living Wage Coalition and Fair Labor Association.
Climate Adaptation
Adaptation/worker just transition training funded or provided: No strong examples.
Emergency support developed with local groups: No
Decarbonization Progress
Reducing manufacturing emissions: No. Scope 3 category 1 emissions have increased by more than 100% since 2018, although the rate of increase slowed in the past year.
Increasing supply chain renewable electricity: Lululemon reported increasing supply chain renewable electricity to 14% among “core Tier 1 and Tier 2 suppliers”
Coal phase out transition progress: No data
Commitment to phase out fossil fuel-derived fibers
No. Company has overall goal; 75% of total preferred materials procured for our products by 2025. This includes 75% recycled polyester by 2025.
Deforestation-free materials
Leather: Company reports not using animal based leather in products.
Man-made Cellulosic Fibers: Through certification – including Canopy. Had target to certify or assess by a third party 100% of our forest-based materials are sourced responsibly by 2023.
Low-carbon materials
Yes. Multiple good examples for next-gen materials; made investments with Geno, Samsara Eco, and ZymoChem, and work closely with them to help drive innovations that can scale in the future.
biomanufacturing firm ZymoChem, which has technology that uses proprietary, carbon-conserving microbes to convert renewable feedstocks into bio-based materials. Samsara Eco. Through this partnership, we unveiled one of the world’s first enzymatically recycled nylon. Also partnered with Debrand (our product recycling partner) to run circularity trials to test our products using various textile-to-textile recycling technologies.
Increasing Circularity
Lululemon has made investments in next gen material companies including Geno, Samsara Eco, and ZymoChem. The company has a target of 100% responsibly sourced by 2025. Including US Cotton Trust Protocol, organic, regenerative but recycled cotton is not explicitly included.
It has partnered with Debrand, its product recycling partner to run circularity trials to test products using various textile-to-textile recycling technologies.
The brand is yet to roll out repair and resale services across all markets.
Target & increase recycled cotton
For cotton, brand has a target of 100% responsibly sourced by 2025. Including US Cotton Trust Protocol, organic, regenerative. Recycled cotton is not explicitly included.
100% recycled/organic/regen cotton + wool, report on progress
For cotton, brand has a target of 100% responsibly sourced by 2025. Including US Cotton Trust Protocol, organic, regenerative. Recycled cotton is not explicitly included. Total responsibly sourced cotton – 46%.
Support farmers, transition to regen/organic farming
Partial. In it’s 22 Impact report brand says: We are also planning organic and regenerative organic agriculture sourcing projects in our existing supply chains. These techniques help capture more environmental impact data from our cotton supply chain, and support farmers in transitioning to more regenerative farming techniques. ’23 report didn’t mention progress.
Resale/repair – % total sales/disclosure on #
Not yet. Brand reports working on a trade in programme for North America. Working on a repair roll out in China, Europe, Australia and New Zealand.
Direct link resale/repair to reduce production
No – focused on extending product life cycle
Materials transparency
Shares material mix: Shares by % of total fibre basket, not volumes. 33% polyester, 31% nylon, 19% cotton, 6% regenerated cellulosics, 10% other, animal derived 1%T and natural rubber <1%
Provides data on units sold: No
Lululemon’s Scope 3 target was recently updated to include upstream transportation, which is positive. The company’s emissions decreased from 2022 to 2023 by 34%, which the company indicates is due to a reduction in air freight. However, since its baseline year the company’s transportation emissions increased by 157% overall. Lululemon does not report on its transportation modes, or publish a commitment or plan to avoid aviation. The company has joined the Sustainable Aviation Buyers Alliance to support Sustainable Aviation Fuel, although this is not an effective solution in comparison to less polluting modes of transport.
Action to reduce the impact of marine shipping: Limited . Brand communicates it is using modal shifts to reduce emissions, and is a member of the Zero Emission Maritime Buyers Alliance to support a longer term shift to zero emission vessels.
No strong direct examples.