Climate Policy Engagement Analysis
Climate Policy Engagement Overview: IKEA is strategically and positively engaged with climate change policy. It has supported climate policies globally, including the 7th Strategic Energy Plan in Japan, the EU 2040 Climate Target, and policy related to the decarbonization of transportation. IKEA is a member of four industry groups which have taken some negative positions on EU climate policy.
Top-line Messaging on Climate Policy: IKEA is supportive of ambitious climate policy in its top-line messaging. The company supported the EU Green Deal on its corporate website, accessed in September 2024. IKEA’s controlling holding company Ingka Group’s CEO, Jesper Brodin, has consistently supported GHG emissions reductions in line with 1.5°C target, for example in Ingka’s Net Zero Transition Plan, published in February 2025 and a news release published in January 2024. In the same news release from January 2024, he appeared supportive of the goals of the Paris Agreement. In its 2024 Climate Report, published in January 2025, IKEA called for ‘fact-based and robust regulations reinforced by clear expectations’ to accelerate the transition to a net-zero economy.
Engagement with Climate-related Policies: IKEA is strongly supportive of numerous climate regulations globally. The company appeared to support policy to make agricultural production less resource and land intensive whilst simultaneously supporting the need for transitioning consumer habits in an open letter to G20 Heads of State in September 2023. In a July 2024 joint open statement to Japanese government on the 7th Strategic Energy Plan, IKEA advocated to triple the renewable target by 2035.
In the EU, the company advocated for more ambitious EU-level renewable energy targets between 42.5% to 45% by 2030, as part of the EU Renewable Energy Directive, in a September 2023 news release. IKEA strongly supports GHG emissions legislation in the EU. The company supported an EU 2040 GHG emissions reductions target of 90 to 95% compared to 1990 levels, in line with scientific recommendations in a December 2023 joint letter to the Swedish government. It also supported the EU's proposed CO2 emissions reduction targets of 70% by 2035 and 92.5% by 2040 for heavy-duty vehicles, while also opposing measures that would weaken the regulation, such as the inclusion of biofuels and e-fuels as a compliance pathway, in an October 2023 joint statement. In addition, IKEA strongly supported the EU's 2035 100% CO2 emissions reduction standard for light-duty vehicles and advocated against a 2026 review of the target in a September 2024 joint letter.
In an industry joint letter from March 2024, IKEA supported government regulation on circular economy and energy efficiency in the EU. In its 2024 Sustainability Report, published in January 2025, the company supported circular economy policies to respond to climate change, including the EU Waste Framework Directive and the Packaging and Packaging Waste Regulation.
In the US, the company strongly supported ambitious emissions standards for light and medium duty vehicles in a joint letter to the Environmental Protection Agency (EPA) in June 2023. In October 2023 US federal regulatory comments with the CERES Coalition, IKEA supported the strongest possible Corporate Average Fuel Economy (CAFE) standards.
Positioning on Energy Transition: IKEA takes positive positions on the energy transition. Ingka Group’s CEO, Jesper Brodin, supported a transition away from fossil fuels towards renewable energy in a December 2023 news release. In a March 2024 joint industry letter, the company also strongly supported the urgent decarbonization of the power sector, and advocated for the removal of fossil fuel subsidies in the EU. IKEA supported the US EPA’s proposed rules to address coal and gas plant GHG emissions in an August 2023 joint statement. IKEA supported increased development of infrastructure for electric vehicles in Canada and Australia in government submissions from August 2023 and March 2024 respectively. The company also supported a 100% EV sales mandate in India for light-duty vehicles in 2035 and medium- and heavy-duty vehicles in 2040 in an August 2023 joint letter. In joint comments to policymakers in August 2023, the company supported the adoption of Advanced Clean Cars II and Advanced Clean Trucks rules in New Mexico.
Industry Association Governance: IKEA has disclosed a list of its industry associations, but it excludes its membership to SmartEN and the European Clean Trucking Alliance (ECTA) and does not disclose a detailed of its industry associations engagement on climate policy issues. The company is a member of SolarPower Europe, Corporate Leaders Group, Japan Climate Leaders Partnership, and SmartEn, all of which have engaged positively on climate policy. IKEA is a member of the the Spanish Confederation of Business Organizations (CEOE) and a senior executive is on the board of EuroCommerce, both associations that engage with some negative positions on climate change policy in Spain and the EU respectively.