Businesses setting both near-term and net-zero science-based targets more than tripled in 18 months.
Asia recorded 134% growth in companies with validated targets, with China alone up 228%.
Industrials, Consumer Discretionary, and Materials sectors dominate adoption rates globally.
The Science-Based Targets initiative (SBTi) reports a sharp rise in corporate climate ambition, with the number of companies committing to both near-term and net-zero science-based targets climbing 227% between the end of 2023 and mid-2025. The share of companies setting near-term targets alone nearly doubled over the same period, marking a decisive shift toward long-term strategic climate planning.
Asia has emerged as a growth engine for this trend, posting a 134% increase in validated companies, driven by China, Thailand, Japan, Taiwan, Hong Kong, and Korea. China led the global surge, with the number of companies holding science-based targets jumping from 137 to 450 in just 18 months—an increase of 228%. Many of these companies operate in high-emission value chains and are now pushing suppliers to follow suit, amplifying climate action across regional and global supply networks.
By the end of 2024, 41% of global market capitalization—equivalent to a quarter of global market revenue—was represented by companies with validated science-based targets, according to Oliver Wyman’s analysis. This growth reflects a steady embedding of climate goals into corporate strategy, countering perceptions of waning climate commitment.
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Sector-wise, Industrials accounted for nearly one-third of all companies with targets, followed by Consumer Discretionary and Materials. These industries, integral to manufacturing, automotive, and raw materials supply, play a pivotal role in decarbonization efforts.
David Kennedy, CEO of the SBTi, said:
“Smart companies continue to see a strong business case to manage transition risk. Building climate action into commercial strategy helps maintain competitiveness now and in the future and allows companies to capitalise on opportunities in the low-carbon economy. The message is clear: if businesses want to be ahead of the curve, then science-based targets are where businesses start.”
The data underscores a global acceleration in corporate climate ambition, with companies increasingly recognizing that credible, comprehensive target-setting is the foundation for delivering net-zero commitments.
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