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Total Score

D-

Manufacturing Emissions Change

31.61%

2023 Score

D

It has set a target of reducing 1 billion tonnes of GHG emissions in its supply chain by 2030 but lacks a Scope 3 target. Walmart plans to achieve Net Zero by 2050 for Scope 1 and 2 emissions and aims for 100% renewable energy in operations by 2035.

The company is focusing on supplier engagement, offering incentives through its Sustainable Supply Chain Finance Program. Walmart also targets 50% recycled polyester and 100% more sustainable cotton for private brands by 2025.

Walmart is working to electrify its fleet to reach net-zero emissions by 2040, focusing on electric delivery vehicles. It does not have specific upstream logistics or transportation emissions reduction targets and does not set a carbon price internally.

Score Breakdown

Climate and Net Zero Targets
Scope 1 and 2: Walmart has set a goal of reducing absolute scopes 1 and 2 GHG emissions by 35% by 2025 and by 65% by 2030 from our 2015 base year, but reported in December 2024 that it would not meet this target.

Scope 3: Walmart has not published a Scope 3 target, but set a goal of 1 billion tonnes of “reduced, avoided or sequestered” greenhouse gas emissions in supply chain by 2030.

Mid-term (2035/2040) milestones: No supply chain target

Net Zero Roadmap: Net Zero target by 2050 only includes Scope 1 and 2

Renewable Energy Targets
Own operations RE target: Walmart has set a target of 100% renewable electricity in its own operations by 2035, does report prioritizing higher impact sources.

Supply chain RE target: Walmart does not have a specific commitment to renewable electricity in the supply chain.

Thermal Coal Phase Out
2030 Coal Phase-out Target: No specific target

Thermal energy transition/ electrification: No

Transparency
Emissions data: Reports an emissions breakdown from 2022 for Scope 1 and 2, no breakdown for Scope 3 by country or supplier tier.

Supply chain energy data: Not disclosed

Supplier lists published: Walmart does not publish a supplier list.

Training, feasibility studies, and non-financial support for climate action
Walmart ran an engagement campaign to educate suppliers about climate change. This included providing training, support, and best practices on how to make credible renewable energy usage claims and similar on how to set Science Based Targets.
BUT % of suppliers by number: 12
% total procurement spend (direct and indirect) 75%

Additional, targeted support for transition planning: See previous

Financial Support for Decarbonization
Loans and financing: It’s not clear that Walmart offers collective financing.

Collective financing initiatives: It’s not clear that Walmart offers collective financing.

Direct/debt-free financing: It’s not clear that Walmart offers direct financing to suppliers.

Responsible/equitable buying to enable climate action
Purchasing decisions incentivize climate action: Walmart reports measuring suppliers’ engagement through project gigaton according to specific sustainability pillars, but it’s not clear if this is linked to sourcing decisions. Walmart reports working with CDP and HSBC to launch the Sustainable Supply Chain Finance Program, an early-payment program to incentivize suppliers who set science-based targets through Project Gigaton or have achieved certain score thresholds from CDP. As Project Gigaton continues to make progress across areas of the supply chain critical to decarbonization, Walmart is focused on increasing supplier engagement and ambition and catalyzing positive action.
More than 5200 suppliers signed up but not clear on how many of those are apparel related.

Equitable/long-term sourcing to enable climate action: Not clearly indicated.

Prices enable climate action: Walmart does not explicitly link prices or wages to decarbonization but does reference engagement on prices through project gigaton.

Climate Adaptation
Adaptation/worker just transition training funded or provided: Walmart reports working with suppliers to support climate resilience, but it is unclear if it is directly related to its fashion supply chains.

Emergency support developed with local groups: No evidence.

Decarbonization Progress
Reducing manufacturing emissions: No. Walmart has communicated it does not expect to hit its interim climate goals.

Increasing supply chain renewable electricity: Not disclosed

Coal phase out transition progress: Not disclosed

Commitment to phase out fossil fuel-derived fibers
Walmart does not have a specific target to reduce the use of synthetics, but has set a goal of 50% recycled polyester.

Deforestation-free materials
Leather: Walmart does report a zero deforestation policy, but does not directly specify leather supply chains.

Man-made Cellulosic Fibers: Walmart has a public policy to ensure that of the man-made cellulosic fibers sourced for Walmart U.S., Sam’s Club U.S., and Walmart Canada private brand apparel and home textile products are derived from ancient and endangered forests, or from endangered species’ habitats or other controversial sources.

Low-carbon materials
Walmart reports investing in circularity with a $10M investment in the Closed Loop Infrastructure Fund (CLIF), which provides below-market rate loans to finance projects that build out circular economy infrastructure in the United States.

Increasing Circularity
When it comes to circularity for its fashion business, Walmart demonstrates limited specific evidence.
It has a commitment to source 100% more sustainable cotton for certain label but does not have a stand-alone target for recycled cotton.
The company has a pre-owned marketplace, but this is by invite-only, limiting accessibility and is not specific to its fashion category.
Positively and more broadly, Walmart made a $10 million investment in the Closed Loop Infrastructure Fund (CLIF), which provides below-market rate loans to finance projects that build out circular economy infrastructure in the United States.

Target & increase recycled cotton
Commitment to 100% more sustainable cotton for certain labels. No progress reported on recycled.

100% recycled/organic/regen cotton + wool, report on progress
Walmart has a commitment to 100% ‘more sustainable’ cotton for Walmart U.S., Sam’s Club U.S., and Walmart Canada private brand apparel and home textile products by 2025, but not specifically organic, recycled or regenerative.

Support farmers, transition to regen/organic farming
Walmart reports several initiatives working with WWF and the Soil Health Institute to support farmers in India and the US transition to regenerative and organic farming practices

Resale/repair – % total sales/disclosure on #
Walmart has a pre-owned marketplace, but does not disclose data about sales. It is by invite-only, limiting accessibility and impact.

Direct link resale/repair to reduce production
No

Materials transparency
Shares material mix: Not disclosed

Provides data on units sold: Not disclosed

For such a large retailer, Walmart shares remarkably little information about efforts to reduce the heavy impact of its upstream logistics. Walmart does not have a specific target to reduce transportation emissions, and its emissions data is not transparent. The company also does not share its transportation modes, or any commitment around avoiding aviation.No evidence

No evidence of support for zero emission marine shipping.

However, Walmart says it is working to transition its last-mile delivery to electric vehicles, including a commitment to electrify its fleet and reach net-zero emissions from all our vehicles and transportation network, including long-haul trucks in the U.S. and Canada, by 2040, which is important. Walmart has made significant purchases of electric vehicles to support this goal.

Walmart demonstrates advocacy on energy policy, including participating in the leadership circle of the Clean Energy Buyers Alliance. It has spoken in support of promoting investment in clean energy and transportation initiatives . The company shared that alongside other retailers at COP28 in 2023, it encouraged world leaders to triple renewable electricity capacity by 2030.
Walmart recently worked with U.S. legislators to ensure the federal Farm Bill includes support for regenerative agricultural practices.
However, the company has been criticised for its recent rollback on DEI.