Climate Lobbying Overview: Royal DSM is lobbying positively on climate change policy and is strategically engaged in the EU and US. The company’s lobbying has become more positive since 2018, voicing strong support for top-line ambition such as limiting warming to 1.5°C, and for carbon pricing. However, it opposed the US reconciliation bill in September 2021.

Top-line Messaging on Climate Policy: Royal DSM is strongly supportive of urgent action on climate change in its top-line messaging. The company has consistently stated support for efforts to reduce global emissions to limit warming to 1.5°C: it strongly supported the target on its corporate website, accessed in February 2022. In response to an EU public consultation in 2020, supported achieving the EU’s 2050 climate neutrality goal, and Ceres reported in May 2021 that DSM supported a goal of net-zero emissions by 2050 in the US. On its corporate website, accessed in February 2022, the company was supportive of long-term government policies and strongly advocated for carbon pricing policies globally. DSM supports the UN Paris Agreement, in a joint letter, the co-CEO Dimitri De Vreeze advocated for policymakers to commit to 1.5°C aligned Nationally Determined Contributions before COP26.

In addition, DSM North America has mostly supported the climate provisions in the Build Back Better Act. In September 2021, when asked to comment on Build Back Better and the U.S. Chamber of Commerce’s advocacy against it, CEO of DSM North America Hugh Welsh stated that while DSM North America supports climate action, it ultimately agreed with the Chamber in its opposition to the bill, due to its tax increases. However, in October 2021, DSM North America signed a joint letter to Congress broadly supporting the climate provisions in the bill, noting a desire for continued discussions over revenue provisions. Later, in February 2022, the company participated in meetings with members of Congress coordinated by Ceres to urge passage of the climate investments in the bill.

Engagement with Climate-Related Policy: Royal DSM has become more supportive of climate policy in recent years. In a February 2022 C2ES joint letter, DSM North America strongly supported the specific clean energy tax credits contained in the Build Back Better Act. In January 2020, DSM America signed a joint letter to US policymakers to advocate for a regional cap and trade scheme on the Pacific Coast of the US. The company also stated support for a carbon border adjustment mechanism in the U.S. on social media in September 2021. In its 2021 CDP Climate Change Disclosure, DSM supported ambitious reform of the EU Emissions Trading System, and strongly advocated for carbon taxes, stating that competitiveness risks should not be overstated and used as a reason to not act on climate change.

On its corporate website, accessed in February 2022, DSM supported energy efficiency and renewable energy policies. In joint letters to US policymakers coordinated by Ceres in 2020, the company strongly supported fuel economy standards and policies to improve energy efficiency in buildings. In June 2021, the Co-CEO Dimitri-de Vreeze signed a joint letter advocating to policymakers to support interim emission targets in line with the 1.5°C goal, and in a Ceres joint letter in March 2020 the company supported GHG emissions standards for vehicles in the US.

Positioning on Energy Transition: Royal DSM is strongly supportive of the energy transition. On its website, accessed in February 2022, the company strongly supported the transition of the energy mix away from fossil fuels, and advocated for the removal of fossil fuel subsidies. In a December 2021 position paper, DSM was supportive of an increased role for biomass, recognizing the dangers of increased biofuel use. In a joint letter in June 2021, the Co-CEO Dimitri-de Vreeze advocated for the phase out of coal and the decarbonization of transportation.

Industry Association Governance: Royal DSM disclosed a list of memberships of industry associations on its corporate website, and has disclosed some board memberships in its 2020 Annual Report. However, the company does not clearly outline the climate change policy positions of its associations, and it has not published a review of its alignment with these groups. Through its US branch DSM North America, the company is a member of the US Chamber of Commerce. In Europe, DSM is a member of the Corporate Leaders Group and a Co-CEO, Dimitri-de Vreeze is on the board of Cefic and is Chair of the Sustainability Advisory Forum.