Lenzing Targets & Strategy

Targets & strategy

Lenzing’s sustainability strategy & targets

Targets & strategy

We follow three strategic principles within the context of our “Naturally Positive” sustainability strategy. The focus is on those areas where Lenzing has the greatest impact to accomplish a more sustainable world.

It is the basis for Lenzing’s approach to contributing to the United Nations Sustainable Development Goals (SDGs).

Sustainability strategy

Our strategy for more sustainability

FOCUS AREAS

Our strategic focus areas

Raw material security

Wood and dissolving wood pulp from sustainable sources as well as chemicals are the most important basic materials for the Lenzing Group. Active supplier management and sustainable procurement principles are important elements in the company’s sustainable raw material sourcing. The efficient use of all raw materials is a priority for Lenzing. We have committed ourselves not to procure wood from critical regions such as ancient and endangered forests.

Water stewardship

Water is a scarce and precious resource. This is why it is even more important to responsibly handle water throughout the entire production chain. Fibers manufactured by Lenzing have minor impacts on the water balance. In addition, we develop innovative products contributing to the reduction of water consumption in downstream processing steps. Our fibers are biodegradable and compostable and do not contribute to the increasing problem of microplastics in water bodies.

Sustainable innovations

Sustainable innovations comprise the only way in which we can increase prosperity within the specified limits of our planet. All innovative efforts on the part of the Lenzing Group are subordinated to this fundamental idea. We intensively work in this spirit to develop new solutions and business models, as well as on improvements to existing technologies and production processes. The principle of sustainable innovation encompasses all core areas of the Lenzing Group.

Empowering people

The transformation towards a more sustainable society and economy is being driven by people who take responsibility, who think and act positively. For this reason, the Lenzing Group gives its employees decision-making flexibility and motivates its partners to promote change and sustainability. For Lenzing it goes without saying that the rights and dignity of all people must always be respected.

Partnering for systemic change

Only by acting in partnership can we address the complex challenges of greater sustainability. A high level of transparency enables us to build trust with our partners in the long term. This is the prerequisite for a regular exchange of ideas as the basis for uniting different points of view, understanding global trends and reducing risks. For example, Lenzing works on cross-industry business models designed to promote the circular economy.

Enhancing community wellbeing

As a responsible company, Lenzing promotes the development of a diverse range of societies and regions in which it operates. Lenzing attaches great importance to safe and environmentally responsible companies as well as fair employment practices. We are proud of our contributions to local economic development and social life in all the regions in which we operate.

Our contribution to climate protection

Global warming is one of the most urgent challenges facing us around the world and demands global solutions. Lenzing will substantially reduce its greenhouse gas emissions in the coming years by implementing a large number of relevant measures. The aim of the Lenzing Group’s climate strategy is to reach the point of net-zero GHG emissions by the year 2050.

Strategic principles for sustainability at Lenzing

At the heart of our business activities is our sustainability strategy “Naturally Positive”. Lenzing follows three strategic principles. Learn more about them in this video.

TARGETS

Lenzing raising the bar – our sustainability targets

Within the context of our strategic principles, Lenzing's “Naturally Positive” sustainability strategy defines seven core challenges in which the Lenzing Group makes significant contributions. Lenzing sets ambitious targets in these areas to further strengthen its path to a sustainable future. These focus areas directly contribute to several Sustainable Development Goals (SDGs) of the United Nations.

  • “Air emission” target: To improve the Lenzing Group’s specific sulfur emissions by 50 percent by 2023 (baseline 2014)

  • “Textile recycling” target: To offer viscose, modal and lyocell staple fibers with up to 50 percent post-consumer recycled content on a commercial scale by 2025

  • “Circular business model” target: To innovate a new circular business model by closing the loops for post-consumer materials and partner with 25 key supply chain companies by 2025

  • “ZDHC viscose” target: To achieve “aspirational” MMCF level for ZDHC wastewater and air emission guidelines at Lenzing viscose facilities by 2024

  • “ZDHC lyocell” target: To achieve “aspirational” MMCF level for ZDHC wastewater and responsible production guidelines at Lenzing lyocell facilities by 2028

  • “Waste water” target: To improve the Lenzing Group’s specific wastewater emissions (chemical oxygen demand (COD)) by 20 percent by 2024 (baseline 2014)

  • “Conservation project Albania” target: To implement a conservation solution of 20 ha in Albania in combination with a social impact project by 2024

  • “Conservation area Brazil” target: To implement conservation solutions on 15,000 ha at the new pulp mill in Indianópolis (Brazil) by 2030

  • “Conservation projects” target: To engage in further conservation, biodiversity protection and restoration activities in regions where forests are at risk or should be improved by 2025

  • “Supplier engagement” target: To engage suppliers, covering more than 80 percent of spend, to improve sustainability performance

  • “FEM” target: To implement and annually update Facility Environmental Module (FEM) in all pulp and fiber production facilities and share verified modules with customers from 2024

  • “Near-term science-based target”: To reduce Scope 1 and 2 absolute greenhouse gas (GHG) emissions by 42 percent and Scope 3 absolute GHG emissions by 25 percent until 2030 (baseline 2021)

  • “Long-term science-based net-zero target”: To achieve at least a 90 percent reduction in absolute GHG emissions (Scope 1, 2 and 3) (baseline 2021)

  • “Social standard” target: To have a continuously valid third-party audited accredited social certificate for every Lenzing Group production (fiber or dissolving wood pulp) site by 2024

  • “Equity, Diversity and Inclusion” target: To create an empowering work environment by respecting human rights, employee wellbeing and diversity

  • “Community engagement”: To continuously support the development of local communities near Lenzing production sites and support social welfare programs to 2025 and beyond

COMMITMENT

Lenzing’s contribution to the UN Sustainable Development Goals

SDG Goal 1: No Poverty
No poverty

An example of Lenzing’s contribution to SDG 1 is the social impact project in Albania in cooperation with the Austrian Development Agency (ADA). This project aims to support the development of certain rural areas based on the sustainable use of natural resources, and to open up alternative sources of income for the communities involved.

SDG Goal 3: Good Health and Well-being
Good health and well-being

Lenzing makes an internal health care system available to its employees at all production sites. This is designed to complement the local health systems. Together with regional medical partners, we also offer a diagnosis and therapy service tailored to the local needs and the size of the production sites.

SDG Goal 5: Gender Equality
Gender Eqaulity

Lenzing has a dedicated sustainability team whose tasks include promoting equality, diversity, and inclusion within and outside of Lenzing. Various measures are being taken, such as diversity staff trainings and the introduction of Employee Resource Groups (ERGs). Additionally, there are separate sustainability goals aimed at “Empowering People”.

SDG Goal 6: Clean Water and Sanitation
Clean water and sanitation

Wherever Lenzing can make an impact, attempts are made to contribute to the sustainable use of water. We have defined the goal of reducing our specific wastewater emissions by 20 percent (starting point: 2014). Investments are being made in infrastructure improvement measures in the field of wastewater treatment as a means of achieving this target.

SDG Goal 7: Affordable and Clean Energy
Affordable and clean energy

The improvement of energy efficiency, the use of energy conversion technologies for heat and electricity, renewable fuels, the changeover from coal to natural gas and its biorefinery concept enables Lenzing to contribute to SDG 7.

SDG Goal 8: Decent Work and Economic Growth
Decent work and economic growth

The Lenzing Group is making an important contribution towards strengthening the economy in the regions in which it operates. Our business activities have measurable socioeconomic effects. Every job in the Lenzing Group creates more than two additional jobs in other sectors of the economy. On balance, the Lenzing Group creates more than 25,000 jobs around the world.

SDG Goal 9: Industry, Innovation and Infrastructure
Industry, innovation and infrastructure

Innovation and sustainability are fundamental values of the Lenzing Group. From the very beginning, every innovation is assessed with respect to sustainability. Our innovations include numerous ongoing improvements in existing technologies and processes as well as the promotion of systematic change with the help of future-oriented solutions and business models.

SDG Goal 10: Reduced Inequalities
Reduced Inequalities

In the Policy on Human Rights and Labor Standards, Lenzing commits to upholding and supporting fundamental labor principles, including protection against discrimination, harassment and inhumane treatment. Lenzing continuously challenges its own practises as well as those of its value chain partners.

SDG Goal 11: Sustainable Cities and Communities
Sustainablie Cities and Communities

Lenzing has been operating on the Indonesian island of Java for more than three decades via its subsidiary PT. South Pacific Viscose in Purwakarta. In all these years, Lenzing has not only established itself as an important employer,but has also gained societal acceptance by supporting a wide range of local social activities. For more information please see the “Community engagement” focus paper.

SDG Goal 12: Responsible Consumption and Production
Responsible consumption and production

We ensure sustainable production thanks to responsible procurement and the efficient use of the raw material wood e.g. based on the implementation of the biorefinery concepts in Lenzing, Paskov and Indianópolis. Moreover, recycling technologies are integrated into the production process. Thinking in terms of life cycles and partnerships contributes to more sustainable consumption patterns.

SDG Goal 13: Climate Action
Climate action

In line with the Paris Agreement (1.5°C target), the Lenzing Group set ambitious science-based targets (SBTs) for reducing absolute greenhouse gas (GHG) emissions in scope 1 and 2 by 42 percent and in scope 3 by 25 percent until 2030 (baseline 2021) and aims to achieve net-zero GHG emissions by 2050. Based on technical feasibility, Lenzing deploys different levers to reduce scope 1 and 2 emissions.

SDG Goal 14: Life below Water
Life below water

Microplastics comprise an environmental burden on inland waters and oceans. Thanks to its fibers produced from wood along with a sustainable production process, Lenzing ensures that its fibers are compostable and biodegradable and thus do not aggravate the problem of plastic pollution.

SDG Goal 15: Life on Land
Life on land

The company contributes to SDG 15 thanks to its longstanding practice of sustainable procurement, especially with respect to the main raw material wood. Lenzing strictly adheres to its Wood & Pulp Policy and only procures wood from sustainably managed forests and plantations. Furthermore, Lenzing initiated a reforestation and forest preservation project in Albania.

SDG Goal 16: Peace, Justice and Strong Institutions
Peace, justice and strong institutions

Lenzing is committed to ethical business practices, community engagement and human rights advocacy. Compliance at Lenzing not only stands for compliance with legal regulations and regulatory standards. An online-based whistleblower system is designed to empower not only our employees but also customers, suppliers, and other third parties around the world to voice their concerns. This platform allows individuals to report issues such as corruption, bribery, conflicts of interests, antitrust violations, and breaches of capital market law.

SDG Goal 17: Partnerships for the Goals
Partnerships for the goals

We are convinced that complex global challenges require a cooperation approach. For this reason, the Lenzing Group regularly exchanges views with a large number of stakeholders and business partners along the value chain, in order to further raise standards with respect to sustainability in the textile and nonwovens industry.

Scientifically confirmed net-zero target

The Science Based Targets initiative, the most widely recognized organization in the field of climate-relevant objectives, has scientifically verified the climate targets of the Lenzing Group. Accordingly, Lenzing was the first cellulosic fiber producer to set science-based targets aiming for reduction of greenhouse gas emissions.

Focus Paper UN Sustainable Development Goals Mockup

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