Sustainably Driven Toward Achieving Net Zero

Global challenges such as climate change, resource scarcity, and urbanization demand bold action and innovative solutions. Sika embraces these challenges with a clear vision: to help industries achieve net zero emissions. With 2024 marking the validation of Sika’s Science-Based Targets initiative (SBTi), the company underscores its commitment to a sustainable future. By championing the efficient use of resources and reducing impacts on ecosystems, Sika positions itself as a key enabler of sustainable development. Through innovative solutions for construction and transportation, Sika not only addresses the urgent demands of climate action but also seizes new opportunities created by global sustainability trends.

Sika supports the Science-Based Target initiative (SBTi) and joined the growing group of leading corporations that are setting emissions reduction targets in line with the objective of the Paris Agreement. The SBTi has approved Sika's near and long-term science-based greenhouse gas emissions reduction targets displayed below. This achievement underscores Sika's commitment to sustainability and its proactive role in decarbonizing the building sector and automotive industry, while advancing its growth strategy.

Scope 1 and Scope 2 emissions include direct emissions from owned or controlled sources, as well as indirect emissions from purchased electricity, steam, heating, and cooling. Scope 3 emissions includes all other indirect emissions in the value chain, such as from purchased goods and services, upstream and downstream transportation, and waste disposal. 

Sika commits to report annually on its progress towards meeting these targets. Sika also acknowledges that the latest climate science may change, and is committed to review all active targets every 5 years to ensure consistency with the latest SBTi criteria.

Moreover, the compensation scheme of Group Management and Sika Senior Managers is linked to the GHG emissions performance of the company (scope 1 and 2). The company will keep analyzing and reporting on GHG emissions with the aim to develop a net zero roadmap aligned with the objective of the Paris Agreement to limit the increase of global temperature to 1.5°C above pre-industrial levels.

Improving Sika’s material efficiency through applying circular principles along the value chain will be critical for Sika’s path to net zero. Sika is committed to preventing waste in its activities and ensuring optimal waste management. The company reduces the amount of waste per ton sold by putting in place activities such as optimization of the production planning, streamlining the production process layout, and the reuse of production waste. Sika has actively started to seek performance enhancements by using increasingly recycled materials. In the new Strategy 2028, Sika set the target to reduce by -15% waste disposed per ton sold.

Sika’s production and distribution activities are less energy intensive than its supplier industries, specifically the chemical industry, but base to a large extent on non-renewable energy sources. This exposes Sika to price volatilities, supply uncertainties, and increasing regulatory action related to energy consumption like the taxation of CO₂ emissions. Therefore, Sika believes that energy efficiency and mitigation of emissions are key success factors of its overall efficiency efforts.   

Apart from raw materials, energy is the main resource input for Sika’s operations. CO₂ emissions are a consequence of fossil fuel consumption, but also direct emissions from manufacturing processes, which can be limited by increasing energy efficiency. The CO₂ footprint of purchased electricity depends on the power production in each country and cannot be influenced easily. Sika is committed to maximizing the share of renewable electricity supply in its operations through diverse types of renewable instruments, minimizing negative impacts on climate change, reducing costs, and increasing competitiveness.

Water is an important input material for Sika’s production. The increasing water scarcity in many regions of the world may be a potential threat to business growth and expansion. Especially in regions where freshwater is scarce, businesses may be exposed to water shortages, lower water quality, water price volatility, and reputational issues.

Efficient production projects have been implemented using closed loop cooling, cooling towers, and switching from public to groundwater to reduce the amount of processed drinking water used in production. With these measures coupled with the reuse of treated wastewater, and the collection of rainwater at various production sites, Sika has reduced its water consumption on a large scale over the past years. In the new Strategy 2028, Sika set the target to reduce by -15% water discharge per ton sold.

Sika is improving operational efficiency throughout the Group. Value chains at all sites are to be gradually optimized over the next few years. All measures go hand in hand with Sika’s efforts to continuously reduce energy consumption and CO₂ emissions.

• Efficiency in Production
• Optimized Logistics
• Efficiencies in Procurement: Smart-Packaging Initiatives
• Formulation Efficiency

Biological diversity is essential for our ecosystem and well-being. Businesses are as dependent on biodiversity as humans are – without it, raw materials and supply chains would be heavily disrupted. Biodiversity is highly interconnected with other environmental issues, including deforestation, pollution, climate change, urbanization, and water scarcity.

In 2022, Sika joined the Taskforce on Nature-related Financial Disclosures (TNFD) Forum, a global multi-disciplinary consultative group of institutions. With its participation at the TNFD Forum, Sika shares the ambition of the TNFD to develop a risk management framework for organizations to report and act on evolving nature-related risks. This supports a shift in global financial flows toward nature-positive outcomes. Sika supports the TNFD to develop a consistent risk framework to identify, report and manage these risks, as well as nature-related opportunities.