shein releases carbon reduction plan

SHEIN today announced a new goal to reduce total greenhouse gas emissions across its operations by 25% by 2030 and released its 2021 greenhouse gas (GHG) emissions data.

This time, SHEIN partnered with Intertek, an industry-leading comprehensive quality assurance provider, to measure its carbon footprint impact in 2021, calculate its Scope 3 baseline emissions, and determine science-based emissions reduction targets through a joint interactive workshop.

The collaboration established the following 2030 targets, which will be submitted to the Science Based Targets Initiative (SBTi) for validation via a commitment.

Scope 1: Emissions from SHEIN operations account for less than 0.05% of total emissions in 2021, and absolute emissions in this scope will be reduced by 42% by 2030.

Scope 2: Emissions from energy purchases for SHEIN’s own facilities, accounting for less than 0.5% of total emissions in 2021. The goal for this scope is to use 100% renewable energy certificates for electricity used in SHEIN operations by 2030.

Scope 3: Emissions generated by SHEIN’s entire supply chain, accounting for more than 99% of total emissions in 2021, will be reduced by 25% by 2030.

To reduce Scope 1 and 2 emissions, SHEIN will invest in energy efficiency efforts across its operations, supplemented by using 100% electricity with renewable energy certificates (RECs).

Given that Scope 3 generates the largest share of SHEIN’s carbon emissions, SHEIN will work with expert partners on the transition to renewable energy and carbon reduction initiatives. SHEIN’s Scope 3 carbon reduction efforts also include accelerating the use of recycled materials and increasing near-shore delivery of products.

At the same time, SHEIN announced today that it will provide $7.6 million in project funding to the Apparel Impact Institute.Aii, a nonprofit organization dedicated to decarbonizing and modernizing the fashion industry's supply chain, will establish an emissions reduction roadmap for SHEIN's supply chain.

Aii will implement energy efficiency projects at more than 500 of SHEIN's supplier factories, with an estimated 10% reduction in greenhouse gas emissions per factory per year.

In addition, SHEIN will also collaborate with Brookfield Renewable, a global leader in renewable energy and decarbonization, to use renewable energy to power the operations of SHEIN's supply chain partners and address greenhouse gas emissions in their supply chains.

Brookfield Renewable is one of the world's largest renewable energy owner-operators and developers, with approximately 23,000 megawatts of generation capacity and a 75,000-megawatt development pipeline, including wind, solar, energy storage, distributed generation, carbon capture and other energy transformation asset classes.