H&M’s Sustainability Mission Meets Reality and Resistance

Once praised for integrating sustainability into its business strategy, H&M is now facing growing pressure to meet expectations while navigating scepticism from consumers and critics alike.

The scale of H&M’s operations means that despite ambitious goals, the overall environmental footprint remains substantial.

H&M is approaching its sustainability goals with a blend of investment in circularity, material innovation and emissions reduction, with detailed public metrics. 

Sustainability targets and outcomes

H&M’s environmental strategy includes several headline goals. 

It aims to achieve net zero GHG emissions by 2040 and to reduce GHG emissions by 56% by 2030, using 2019 as a baseline. 

Material sourcing targets are central to these efforts. 

By 2030, the company plans for 100% of materials used to be either recycled or sustainably sourced – in 2023, 85% of materials met this standard. 

The proportion of recycled materials reached 23% in 2022, with a target of 30% by 2035.

In operations, the business uses 92% renewable electricity, with full coverage expected by 2030. 

“Considering fashion’s environmental impact, we see great value in moving away from just using certificates to contributing to more clean energy,” comments Ulrika Leverenz, Head of Green Investment, H&M Group.

“By partnering with solar and wind farm developers, we can help build renewable electricity capacity in power grids around the world.”

Water efficiency is also a focus, with a 38% drop in consumption per product since 2017.

Emissions data reflect moderate gains, the company saw a 22% reduction in Scope 3 GHG emissions (excluding product-use emissions), compared to 2019. 

These reductions are backed by shifts in supply chain management and increased reliance on renewable energy.

However, despite these metrics, most products are still made from conventional materials.

The overall environmental footprint remains large due to the high volume of production and distribution. 

“It is not enough to just make the plan and communicate it,” explains Helena Helmersson, former CEO of H&M Group.

“This problem cannot be solved by ticking boxes. There must be coordination and investment with a long-term perspective.”

Circularity and consumer solutions

H&M invests in circular business models designed to reduce waste and extend product lifecycles. 

These include garment collection schemes and resale platforms. 

One example is Sellpy, a second-hand platform in which the company holds a stake. 

Sellpy offers a service that allows consumers to sell used clothing with minimal effort, supporting reuse and waste reduction.

This model reflects a shift from simply promoting sustainable ideals to offering practical solutions. 

The resale platform combines convenience, economic value and environmental benefit, allowing consumers to engage in more circular behaviour without added complexity.

Collections made from organic cotton and recycled polyester are part of the product mix.

Traceability tools, including blockchain-based systems, are used to improve transparency in textile sourcing. 

These efforts contribute to more informed supply chain decisions and clearer communication with consumers.

“At H&M Group, we want to lead the way within our industry and decarbonising our supply chain is one of the most important keys to further reduce our emissions,” explains Daniel Ervér, CEO of H&M Group

“The Future Supplier Initiative shows that solutions are readily available and come with proven impact, but it requires commitments from brands and investors that are willing to invest. 

“We encourage others to join our efforts to tackle our industry’s negative climate impact.”

Sustainability reporting remains a core part of H&M’s strategy. 

Annual disclosures track progress across key indicators and include breakdowns of material use, energy efficiency, emissions data and water savings. 

This transparency supports external accountability and allows stakeholders to assess the company’s direction.

Facing barriers and criticism

H&M continues to face criticism linked to its business model. 

The fast fashion model relies on low-cost, high-volume production, which presents an ongoing environmental challenge. 

Critics argue that despite positive steps, the pace of absolute emissions reduction is too slow and the reliance on consumer growth undermines sustainability targets.

Concerns have also been raised about the accuracy of marketing claims. 

The company has been accused of greenwashing and has faced lawsuits alleging misleading communications around sustainability. 

These issues have increased scrutiny and contributed to public scepticism.

While sustainability targets are detailed and progress is measurable, coordination across sourcing, production and consumer engagement remains complex. 

The business must balance commercial pressure with environmental responsibility.

In this context, internal systems, investment strategies and procurement structures all play a role in determining the pace and scale of change.

H&M’s stated position is that sustainability cannot be addressed through short-term actions or box-ticking exercises. 

Long-term coordination, structural change and investment are necessary to achieve meaningful results.

The company’s performance so far reflects both the possibilities and limitations of corporate sustainability within global fashion.

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