Fast fashion giant Shein has announced SBTi-verified targets, pledging to reduce absolute scope 1 and 2 greenhouse gas (GHG) emissions by 42% by 2030, and scope 3 by 25% within the same timeframe, with a 2023 baseline year.
According to Shein’s sustainability report, in 2023 the company emitted 16.7 million metric tonnes of carbon dioxide equivalent[i], more than the annual output of four coal power plants combined[ii], and slightly more than the nation of Ethiopia’s 2023 emissions[iii].
Since 2021 the organisations emissions have almost tripled, with Shein now surpassing Zara owner Inditex to become fashion's biggest polluter, and whilst Shein’s revenue grew by 39% in 2023, emissions increased by a staggering 82%, well ahead of rival Inditex, which saw revenue increase by 10% and emissions by just 5%[iv].
Notably, 99% of Shein’s emissions in 2023 were from Scope 3, yet the company is only targeting a reduction of 25% within key categories by 2030. The emissions categories covered by the target are: purchased goods and services, fuel and energy-related activities, upstream transportation and distribution, waste generated in operations, and end-of-life treatment of sold products.
Mustan Lalani, Global Head of Sustainability at SHEIN, said,
"SBTi's validation of our net-zero targets marks an important step in SHEIN's decarbonisation journey. We are committed to reducing emissions across our value chain and recognise that addressing Scope 3 emissions is a complex but critical part of that effort. As we continue this work, we will build on our momentum and adapt our approach in line with evolving technologies, policies and industry best practices."[v]
However, the targets have faced criticism with Ken Pucker, Adjunct Professor at the Tuck School and a Professor of Practice at Tufts University, stating that he is ‘dubious’. In a LinkedIn post he explained that Shein’s plan to decarbonise is likely in advance of its attempt to go public. He questions the emissions reduction targets, noting that:
“Assuming that emissions grew by 20% (conservative) in 2024 (which has yet to be reported), Scope 3 emission would actually have to decline by 37% in absolute terms in the next 5+ years. SHEIN’s emissions have never decreased year on year.”[vi]
He adds: “If SHEIN delivers on its plan to grow approximately 25% over the near term, that would mean that carbon intensity / unit would have to fall by 85% to achieve their target.”[vii]
Shein’s parent company Roadget Business also announced long-term targets, including a new 2050 emissions target aligned with the SBTi’s Corporate Net-Zero Standard, committing to reach net-zero greenhouse gas (GHG) emissions across its value chain by 2050.
The SBTi is currently undertaking a review of the corporate net zero standard, following reports of issues with its adoption. Last year more than 200 companies, including Microsoft, X, Diageo and P&G saw their short-term or net zero climate commitments removed from the SBTi (Science Based Targets initiative) verification process, due to failure in meeting submission deadlines.
Of those companies who failed to meet the SBTi’s deadlines a third (32.3%) stated that this was because the Net-Zero Standard had not been published. A quarter (24.2%) raised concerns over their ability to meet the targets, and just over a fifth (21%) said that tackling Scope 3 emissions was currently "too big a challenge"[viii].
In response, the SBTi has sought to address some of these challenges and has published an initial draft outlining changes to the Standard. The full document can be accessed here.
Perhaps the most considerable change being proposed relates to Scope 3 reporting, where the SBTi is targeting increased flexibility with options to set targets for green procurement and revenue generation, instead of setting an emissions reduction target. The initiative says that by focusing on direct suppliers and/or those in emissions-intensive sectors, the proposal seeks to focus action in the most emission-intensive activities and those where companies have the highest influence.
In addition, the draft standard also proposes splitting out Scope 1 and Scope 2 emissions to reflect the unique challenges around decarbonising each of these categories, as well as simplified requirements for medium-sized companies in developing markets and SMEs.
A public consultation to discuss the proposals closed on Monday (1st June 2025), the SBTi has also been creating expert working groups to inform the draft’s evolution, as well as running pilot testing.
[i] Shein: Fashion’s Biggest Polluter in Four Charts | BoF
[ii] Shein is officially the biggest polluter in fast fashion » Yale Climate Connections
[iii] Ethiopia: CO2 Country Profile - Our World in Data
[iv] Shein: Fashion’s Biggest Polluter in Four Charts | BoF
[v] SHEIN's Science-Based Net-Zero Target is Approved by SBTi
[vi] (4) Post | LinkedIn
[vii] Ibid
Lauren has extensive experience as an analyst and market researcher in the digital technology and travel sectors. She has a background in researching and forecasting emerging technologies, with a particular passion for the Videogames and eSports industries. She joined the Critical Information Group as Head of Reports and Market Research at GRC World Forums, and leads the content and data research team at the Zero Carbon Academy. “What drew me to the academy is the opportunity to add content and commentary around sustainability across a wealth of industries and sectors.”
