Month: August 2026

Entergy is expanding its partnership with the National Association of Hispanic Journalists, or NAHJ, reinforcing our commitment to supporting the next generation of storytellers. During NAHJ’s annual conference held in New Orleans, Patty Riddlebarger, Entergy’s vice president of corporate social responsibility, met with students participating in the organization’s acclaimed Student Project program.

The NAHJ Student Project is a hands‑on newsroom experience designed for college journalism students who identify as Hispanic or Latino. Each year, selected students work one‑on‑one with seasoned professional journalists who mentor them as they report, write, shoot, edit, and produce news stories during the conference. The program gives students a real‑time taste of professional journalism, helping them strengthen their craft and build connections with mentors who support their growth long after the conference ends.

Riddlebarger — herself Latina and with a former journalism background — shared her personal journey and professional insights during a discussion with the students, emphasizing both the responsibility and the opportunity journalists have in shaping community narratives.

“As someone who started my career in journalism, I know how transformative it is to have people who believe in your voice,” said Riddlebarger. “Programs like the Student Project not only strengthen the skills of young reporters — they create a pathway for Hispanic journalists to tell the stories that matter to our communities. Entergy is honored to support that mission.”

Students engaged Riddlebarger with questions about corporate citizenship, community partnership, and the evolving relationship between companies and the media. She also highlighted Entergy’s broader commitment to education, equity and elevating underrepresented voices across the Gulf South.

Our partnership with NAHJ underscores our dedication to fostering opportunity and supporting the development of future leaders. By investing in initiatives like the Student Project, we continue to ensure that the next generation of Latino journalists enter the industry prepared, confident and connected.

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Forest product traceability has become a non-negotiable requirement for businesses operating in the global timber and paper supply chain. As regulations tighten and consumer expectations grow, your organization’s ability to track certified materials from forest to final product determines your market access, brand reputation, and regulatory standing.

Based on more than three decades of experience in the science of forestry, forest management, and forest product certification, our sustainable forestry teams see the value of forest product traceability taking shape in a number of essential ways. This guide shares that knowledge with you directly, walking you through some of the most frequently asked questions about forest product traceability in 2026 and why it’s so important. You’ll learn how chain of custody certification works, which certification programs fit your business needs, and what steps you can take to achieve and maintain compliance.

Key Takeaways: Forest Product Traceability in 2026

• Forest product traceability tracks certified materials through every stage of the supply chain, from harvest to final product sale.
• Chain of custody certification verifies that your handling processes maintain the integrity of certified forest product claims.
• FSC, PEFC, and SFI represent the three major forestry certification programs, each with distinct requirements and market recognition.
• The EU Deforestation Regulation requires documented due diligence and geolocation data for all relevant forest-based products entering Europe.

What Is Forest Product Traceability?

Forest product traceability refers to the ability to track timber, pulp, paper, and other forest-based materials through each step of the supply chain. This tracking begins at the forest or plantation where raw materials originate and continues through processing, manufacturing, distribution, and retail.

The goal is simple: Organizations need documented proof that forest products come from responsibly-managed sources. Traceability systems record who handled materials, when transfers occurred, and what quantities moved between supply chain partners. This documentation creates an unbroken chain of information that independent, third-party auditors can verify.

Effective traceability systems include physical identification methods like labels, stamps, or tags. They also incorporate digital records that track batch numbers, invoices, and transfer documents. Together, these elements allow you to answer the fundamental question: Where did this wood come from?

Why Does Forest Product Traceability Matter for Your Business?

Meeting Regulatory Requirements

Regulations now mandate traceability for forest products entering major markets. The European Union Deforestation Regulation (EUDR) requires you to demonstrate that products are deforestation-free and legally sourced. The US Lacey Act prohibits trade in illegally harvested timber and requires reasonable care documentation.

Failing to meet these requirements carries serious consequences. Penalties range from product seizures and fines to criminal prosecution. Your shipments can be detained at customs, causing costly delays and damaged customer relationships.

Accessing Premium Markets

Many retailers, construction firms, and manufacturers now require certified products from verified supply chains. Green building standards like LEED and BREEAM award points for using FSC-certified or PEFC-certified materials. Government procurement policies increasingly mandate sustainably sourced timber.

Your traceability documentation opens doors to these markets. Without it, you lose access to customers willing to pay premium prices for verified sustainable products.

Building Stakeholder Trust

Investors, customers, and business partners scrutinize environmental claims more closely than ever. Traceability documentation backs up your sustainability commitments with verifiable evidence. This transparency builds credibility and protects your brand from accusations of misleading environmental marketing.

How Does Chain of Custody Certification Work?

Chain of custody (CoC) certification verifies that your organization handles certified materials correctly throughout your operations. An accredited certifier audits your processes to confirm that you can track certified products, keep them separate from uncertified materials when required, and accurately label outgoing products with appropriate claims.

The certification process follows several key steps. First, you document your material flows and handling procedures. Next, you implement a management system that addresses the certification standard’s requirements. Then, an independent auditor evaluates your system against the standard. Finally, upon successful completion, you receive certification that allows you to sell products with certified claims.

The Three Main Control Systems

Chain of custody standards recognize different control systems depending on how you handle materials. Understanding these options helps you choose the approach that fits your operations.

Physical Separation (Identity Preserved/Segregation): Keep certified materials physically separate from uncertified materials throughout your facility. This approach allows the highest percentage claims on your products but requires dedicated storage and processing lines.

Percentage-Based Systems: Track the proportion of certified input materials and apply corresponding percentage claims to outputs. This approach offers flexibility when physical separation is impractical, though it typically results in lower percentage claims.

Credit Systems: Purchase credits corresponding to certified material volumes and apply them to your products. This approach suits organizations that cannot physically trace materials but want to support certified forests. Credit claims differ from physical traceability claims.

Major Forestry Certification Programs Explained

Forest Stewardship Council (FSC)

FSC operates the most widely recognized forest certification program globally. The FSC system includes Forest Management (FM) certification for forest owners and Chain of Custody (CoC) certification for supply chain organizations.

FSC-certified products carry labels showing one of three claim types: FSC 100% indicates products made entirely from FSC-certified forests. FSC Mix means products contain a mixture of certified, controlled, and recycled materials. FSC Recycled indicates products made from reclaimed materials.

The FSC standard emphasizes environmental, social, and economic aspects of forest management. Requirements address topics including indigenous peoples’ rights, workers’ conditions, high conservation values, and environmental impact assessment. FSC maintains detailed chain of custody requirements that all certified organizations must follow.

Programme for the Endorsement of Forest Certification (PEFC)

PEFC functions as an umbrella organization that endorses national forest certification systems. This federated approach means PEFC-endorsed certifications may vary by country while meeting core PEFC requirements.

PEFC chain of custody certification covers the full supply chain from certified forests to finished products. The standard allows physical separation, percentage-based, and credit approaches. PEFC claims include PEFC Certified (minimum 70% certified content) and PEFC Certified/Recycled (post-consumer recycled content).

Organizations with multi-site operations can pursue PEFC group certification, which reduces audit costs by consolidating multiple facilities under a single certificate.

Sustainable Forestry Initiative (SFI)

SFI certification originated in North America and has grown to international recognition. The program includes Forest Management, Fiber Sourcing, and Chain of Custody standards.

SFI Chain of Custody certification allows you to track SFI-certified, PEFC-certified, and FSC-certified fiber through your supply chain. This flexibility helps organizations working with multiple certification systems. SCS Global Services offers SFI Chain of Custody certification services that help you meet these requirements efficiently.

The SFI standard places particular emphasis on fiber sourcing, requiring that even uncertified fiber meets responsible sourcing criteria covering legal harvest, forest health, and conservation.

How to Evaluate Your Supply Chain Verification Options

Our teams recommend evaluating your supply chain verification options through the following, step-wise approach.

First: Assess Your Current Supply Chain

Before selecting a certification program, you need a clear picture of your current material flows. Map your supply chain from raw material origins through all processing stages to your final customers. Identify which suppliers currently hold chain of custody certification and under which programs.

Document the types of forest products you handle, including species, geographic origins, and volumes. Note any mixed products that combine forest materials with non-forest components. This assessment reveals gaps in your traceability and helps you understand the scope of changes needed.

Next: Match Certification to Market Requirements

Your choice of certification program should align with customer and market demands. Survey your key customers about their certification preferences. Review procurement policies for government contracts or major retailers you serve. Consider geographic factors—FSC often carries stronger recognition in European markets, while SFI maintains strong presence in North American markets.

Many organizations pursue multiple certifications to maximize market access. The good news: if you build a robust traceability system, adding certifications becomes easier since the underlying documentation and processes serve multiple standards.

Finally: Evaluate Costs and Resource Requirements

Certification involves both direct and indirect costs. Direct costs include certification body fees, audit expenses, and annual maintenance fees. Indirect costs cover staff training, system documentation, process modifications, and ongoing record-keeping.

Group certification options can reduce costs for smaller organizations by sharing audit expenses across multiple participants. Some industry associations offer group certificates for their members. Weigh individual certification against group options based on your size, geographic spread, and desire for certification autonomy.

Step-by-Step Guide to Achieving Chain of Custody Certification

Step 1: Conduct a Gap Analysis

Compare your current practices against the certification standard you’ve selected. Review the standard’s requirements clause by clause. Document where your existing systems meet requirements and where modifications are needed. This analysis forms the foundation of your implementation plan. Pay particular attention to documentation requirements. Chain of custody standards demand specific records for incoming materials, inventory management, production processes, and outgoing products. Identify what records you currently maintain and what additional documentation you’ll need to create.

Step 2: Develop Your Management System

Create documented procedures covering all chain of custody requirements. Your management system should include: a written policy commitment to maintaining chain of custody; designated responsibilities for staff involved in material handling; procedures for receiving, storing, processing, and shipping certified materials; record-keeping systems that capture required data; and training programs to ensure staff competence.

Most standards require documented control of your CoC system, including version control of procedures, internal audit processes, and management review. Build these elements into your system from the start.

Step 3: Implement Material Controls

Put your documented procedures into practice. Establish clear identification for certified materials at receiving, storage, and processing stages. Train staff on recognizing certified products and handling them according to procedures. Set up record-keeping systems to capture material flows in real time.

Physical controls might include designated storage areas, color-coded labels, or dedicated processing lines. Digital controls involve tracking systems that follow materials through your operations and calculate certified content percentages when applicable.

Step 4: Conduct Internal Audits

Before your certification audit, verify your system through internal audits. Check that procedures are being followed consistently. Review records for completeness and accuracy. Test your ability to trace materials from any outgoing shipment back to incoming certified sources.

Correct any problems you identify and document the corrective actions taken. Internal audits demonstrate your commitment to the system and help ensure a smooth certification audit.

Step 5: Select an Accredited Certifier

Choose an accredited certification body to conduct your certification audit. Accreditation ensures the certifier meets requirements for competence and impartiality. Check the accreditation status of potential certifiers with the relevant certification program.

SCS Global Services maintains accreditation for FSC, PEFC, and SFI chain of custody certification, offering you a single point of contact for multiple program requirements. Request quotes from several certifiers and compare not only price but also auditor expertise, scheduling flexibility, and customer support.

Step 6: Complete the Certification Audit

During the certification audit, the auditor reviews your documentation and observes your operations. They examine incoming material records, trace materials through production, and verify outgoing product claims. The auditor interviews staff to confirm understanding of procedures.

Address any nonconformities identified during the audit. Major nonconformities must be corrected before certification can be granted. Minor nonconformities typically require a corrective action plan with defined timelines.

Step 7: Maintain Certification

Certification is not a one-time achievement. Annual surveillance audits verify ongoing compliance. You must keep records current, continue training new staff, and adapt procedures when your operations change. Most certifications require recertification every five years, involving a more thorough review of your entire system.

Understanding the EU Deforestation Regulation (EUDR)

What is the EUDR?

The EU Deforestation Regulation is a comprehensive piece of environmental legislation out of the European Union that aims to reduce and eventually end deforestation associated with certain commodities. EUDR applies to timber, cocoa, coffee, palm oil, soy, cattle, and rubber — plus products derived from these commodities. If you place relevant products on the EU market or export from the EU, you must demonstrate compliance with EUDR through due diligence.

EUDR established a deforestation-free cutoff date of 31 December 2020, meaning that products must be traceable to plots of land that have not been subject to deforestation or forest degradation after this date in order to be eligible for EU market access. For more specific information and context regarding EUDR, EUDR commodities, and adjacent regulations (like EU Timber Regulation), be sure to read our in-depth articles:

The EUDR Clock Is Running: What the Commission’s May 2026 Review Means for You | June 2026

EUDR as a Transition Plan: From Compliance to Business Transformation | October 2025

Understanding “FSC Aligned for EUDR”: Leveraging FSC’s New Framework to Reduce Deforestation and Achieve Compliance with EUDR | May 2025

Due Diligence Requirements

EUDR due diligence involves three elements. Information collection requires you to gather product descriptions, country of origin, geolocation coordinates of plots where commodities were produced, and supplier details. Risk assessment analyzes whether products comply with deforestation-free and legality requirements. Risk mitigation addresses any identified risks through additional verification measures.

Documentation must be retained for five years and made available to authorities upon request. The regulation introduces an information system where you submit due diligence statements before placing products on the market.

How Certification Supports EUDR Compliance

Chain of custody certification does not automatically equal EUDR compliance. The regulation requires specific information that certification may not fully capture — particularly geolocation data at the plot level. However, certification creates a foundation of documented traceability that supports your due diligence.

If you already hold chain of custody certification, you have systems for tracking material origins, managing supplier information, and maintaining records. Building EUDR-specific data collection onto this foundation is more manageable than starting from scratch. Work with your certification body to understand how your existing systems align with EUDR requirements.

Due Diligence Systems for Supply Chain Transparency

Building an Effective Due Diligence System

Your due diligence system should capture information about every material source in your supply chain. This starts with supplier qualification — collecting documentation about their legality, land tenure rights, and environmental practices before establishing sourcing relationships.

Ongoing due diligence monitors risk indicators across your supply base. Track news and regulatory updates affecting your sourcing regions. Maintain communication channels with suppliers to detect changes in their operations or compliance status. Document all due diligence activities and decisions.

Risk-Based Approaches

Not all supply chains carry equal risk. A risk-based approach concentrates verification resources where they matter most. High-risk indicators include sourcing from countries with weak forest governance, lack of documentation from suppliers, complex supply chains with many intermediaries, and history of non-compliance.

For high-risk sources, your due diligence might include site visits, third-party verification, satellite monitoring, or additional documentation requirements. Low-risk sources with strong certification and track records may require less intensive verification while still maintaining baseline due diligence.

Technology Solutions for Traceability

Digital platforms increasingly support forest product traceability. Blockchain-based systems create immutable records of material transfers. Satellite monitoring verifies land use at sourcing locations. Mobile applications enable field-level data collection with geolocation tagging.

When evaluating technology solutions, consider integration with your existing systems, data security provisions, and whether the platform meets regulatory requirements for information retention and accessibility. Technology should enhance your traceability processes, not create additional complexity.

Common Challenges in Forest Product Traceability

Complex Multi-Tier Supply Chains

Many forest product supply chains involve numerous intermediaries between forest and final product. Each tier adds complexity to traceability. You may not have direct relationships with primary processors or forest managers, making information collection difficult.

Address this challenge by mapping your supply chain as far upstream as possible. Require direct suppliers to pass along source information from their suppliers. Consider shortening your supply chain where feasible, sourcing more directly from certified operations. Collaborate with industry initiatives working to improve supply chain transparency.

Mixed and Recycled Materials

Products containing multiple materials or recycled content present traceability challenges. When certified fiber mixes with uncertified or recycled materials, tracking becomes more complex. Different certification programs have varying rules for handling mixed products.

Understand the claim rules for your certification program. Implement systems that accurately calculate certified content percentages when using percentage or credit approaches. For recycled content, document material categories (pre-consumer versus post-consumer) according to standard definitions.

Data Quality and Consistency

Traceability depends on accurate, consistent data throughout the supply chain. Errors in documentation, inconsistent units of measure, or missing records undermine your ability to make verified claims. Poor data quality also increases audit findings and compliance risks.

Establish clear data requirements for suppliers. Use standardized formats for key information. Implement validation checks to catch errors early. Train staff on the importance of accurate record-keeping and create accountability for data quality.

Building a Culture of Traceability in Your Organization

Leadership Commitment

Successful traceability programs start with visible leadership commitment. When executives champion supply chain transparency, resources follow. Make traceability a documented business objective with clear accountability at senior levels. Include traceability metrics in business reviews and performance evaluations.

Staff Training and Engagement

Everyone who handles certified materials needs to understand their role in maintaining traceability. Develop training programs tailored to different job functions. Receiving staff need to verify incoming certifications. Production workers need to maintain material separation. Sales teams need to understand what claims they can make to customers. Go beyond compliance-focused training by explaining why traceability matters. Staff who understand the environmental and business value of their actions engage more fully with traceability processes.

Supplier Engagement

Your traceability is only as strong as your suppliers’ practices. Communicate certification requirements clearly during supplier onboarding. Include chain of custody certification in supplier selection criteria. Monitor supplier certification status and address lapses promptly.

Build collaborative relationships rather than purely transactional ones. Help key suppliers understand certification benefits and support their certification efforts when possible. Strong supplier relationships improve information flow and reduce traceability risks.

The Future of Forest Product Traceability

Regulatory Expansion

Expect more jurisdictions to implement deforestation-related regulations. The UK has enacted due diligence requirements for forest-risk commodities. Other major markets are considering similar legislation. Building robust traceability now positions you to meet future requirements without scrambling to catch up.

Technology Integration

Traceability technology continues advancing. DNA testing can verify timber species and origins. Isotope analysis offers additional origin verification. Remote sensing resolution improves, enabling more precise deforestation monitoring. These technologies will increasingly integrate with certification and due diligence systems.

Consumer Expectations

Consumer awareness of deforestation impacts grows steadily. Younger consumers particularly favor brands with verified sustainability credentials. Forest product traceability will shift from a compliance requirement to a competitive advantage for brands that communicate their commitments effectively.

FAQs About Forest Product Traceability and Certification

What is the difference between forest management certification and chain of custody certification?

Forest management certification verifies that a forest is managed responsibly according to environmental, social, and economic criteria. Chain of custody certification verifies that an organization handling forest products maintains proper tracking and documentation of certified materials through their operations. You need chain of custody certification to sell products with certified claims.

How long does it take to achieve chain of custody certification?

Timeline varies based on your organization’s preparedness and complexity. Organizations with existing quality management systems often achieve certification in three to six months. Those building systems from scratch may need six to twelve months. SCS Global Services works with your schedule to complete audits efficiently without compromising thoroughness.

Can I get certified under multiple programs at the same time?

Yes, many organizations hold FSC, PEFC, and SFI chain of custody certifications simultaneously. SCS Global Services offers multi-scheme audits that assess compliance with several standards during a single audit visit, reducing your audit burden and costs while maximizing your market access.

What happens if my supplier loses their certification?

When a supplier loses certification, you can no longer make certified claims on materials received from them after their certificate expires or is suspended. Monitor supplier certification status actively. Establish backup suppliers with current certification to maintain your supply of certified materials. Update your records immediately when supplier status changes.

Does chain of custody certification satisfy EUDR requirements?

Chain of custody certification supports but does not automatically satisfy EUDR requirements. The regulation requires specific information like geolocation coordinates that certification programs may not capture fully. Your existing certification systems create a foundation for EUDR compliance by establishing material tracking processes.

How often are chain of custody audits conducted?

Most certification programs require annual surveillance audits after initial certification. These audits verify ongoing compliance and address any changes in your operations. Full recertification typically occurs every five years, involving a more detailed review of your entire management system. SCS Global Services helps you stay prepared for audits with clear communication about scheduling and requirements.

What records should I keep for chain of custody certification?

Required records typically include incoming material documentation showing certified status, inventory records tracking certified materials through your facility, production records linking inputs to outputs, and outgoing documentation showing product claims. Most standards require five-year record retention. SCS Global Services auditors review record completeness and accuracy during every audit visit.

Still have questions? Need more tailored support with forest product traceability or chain of custody certification for forest products? 

Please get in touch with our teams today, and be sure to learn more on our website.

 

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Author

Lindsey Mauldin, Director of Business Development and Strategy, Natural Resources

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About SCS Global Services

SCS Global Services is an international leader in third-party environmental and sustainability verification, certification, auditing, testing, and standards development. Its programs span a cross-section of industries, recognizing achievements in climate mitigation, green building, product manufacturing, food and agriculture, forestry, consumer products, and more. Headquartered in San Francisco, California and celebrating over 40 years in business, SCS Global Services has representatives and affiliate offices throughout the Americas, Asia/Pacific, Europe, and Africa. Its broad network of auditors are experts in their fields, and the company is a trusted partner to companies, agencies, and advocacy organizations due to its dedication to quality and professionalism. SCS Global Services is a chartered Benefit Corporation, reflecting its commitment to socially and environmentally responsible business practices. SCS Global Services is also a Participant of the United Nations Global Compact and adheres to its principles-based approach to responsible business. For more information, visit www.SCSGlobalServices.com.

As demand for transparent, lower-impact textile supply chains continues to grow, manufacturers are expected to provide increasingly detailed environmental data alongside high-performance materials.

Lenzing (VIE: LNZ) is a publicly traded global producer of wood-based specialty fibers – including TENCEL™, LENZING™ ECOVERO™ and VEOCEL™ – that has long prioritized sustainability as a core business strategy rather than a standalone initiative. As Thomas Matiz, product sustainability manager at Lenzing Group, explained on a Cascale “Source of Good” podcast episode, standardized sustainability data helps the company collaborate more effectively with customers while demonstrating environmental performance across its operations.

Lenzing’s Annual and Sustainability Report 2025 was prepared in accordance with the European Sustainability Reporting Standards (ESRS), in preparation for reporting obligations under the Corporate Sustainability Reporting Directive (CSRD) and in line with Austria’s Sustainability and Diversity Improvement Act (NaDiVeG). Within that report, Lenzing formally discloses its Higg Facility Environmental Module (Higg FEM) target and environmental performance across all production sites, demonstrating how standardized environmental data supports both regulatory reporting and customer transparency.

Key Takeaways

• Uses the Higg Facility Environmental Module (Higg FEM) across all nine production sites to monitor, track, and manage environmental performance.
• Integrates standardized environmental data into ESRS-aligned sustainability reporting.
• Responds to growing customer demand for verified Higg FEM data to support sourcing and supply chain transparency.
• Advances circular manufacturing through renewable cellulose fibers, responsible sourcing, and fiber recycling partnerships.
• Supports customers with verified environmental data and traceable fiber solutions.

Sustainable Approach

Lenzing combines responsible raw material sourcing, low-carbon manufacturing, digital traceability, and standardized environmental measurement to help customers meet evolving regulatory and market expectations. The company’s 2025 sustainability report aligns with ESRS requirements, strengthening transparency while providing investors, customers, and other stakeholders with consistent environmental information.

Challenges to Opportunities

Global apparel brands increasingly require suppliers to provide credible, verified environmental data alongside high-performance materials. At the same time, new sustainability reporting requirements, including ESRS under the CSRD, raise expectations for companies to disclose standardized environmental information supported by robust governance and consistent methodologies.

For manufacturers operating multiple production facilities, collecting comparable environmental data while driving continuous improvement requires a common framework that supports operational management, customer reporting, and regulatory compliance.

Leveraging the Higg FEM

Lenzing has long depended on the Higg Facility Environmental Module (Higg FEM), which is stewarded and governed by Cascale and implemented globally through the Worldly sustainability and supply chain intelligence platform, to monitor, track, and manage environmental performance across its manufacturing operations.

Through the tool, Lenzing is able to monitor environmental performance, reduce environmental risks, and identify opportunities to improve operational performance across production sites.

Lenzing formally discloses a continuous target to periodically update the Higg FEM across all nine pulp and fiber production sites. During 2025, the company completed both annual Higg FEM self-assessments and third-party verification at production sites, keeping the target on track.

The company also identifies customer expectations as an important driver of adoption. As Lenzing notes in its 2025 Sustainability Report, growing use of standardized environmental methodologies across the textile value chain has led many customers to request implementation of the Higg FEM and verified supplier environmental data.

“Reformation is known to provide sustainable clothing [and] they want to know where the products and the materials they use for the products come from…and how they are processed,” Thomas Matiz, product sustainability manager at Lenzing Group, explained on a Cascale “Source of Good” podcast episode. “By having this holistic perspective on the value chain and product creation, the basis was therefore for a good collaboration.”

Driving Results

Lenzing’s integrated approach to environmental measurement and transparent reporting helps customers better understand manufacturing performance while supporting continuous improvement across its global operations.

Key outcomes include:

• Completes periodic Higg FEM self-assessments and third-party verification across all fiber production sites.
• Formally discloses Higg FEM implementation and targets within its ESRS-compliant sustainability report for the second consecutive year.
• Uses standardized environmental data to support monitoring, tracking, and management of environmental performance.
• Responds to customer demand for verified environmental data that supports sourcing decisions and supply chain transparency.
• Continues progress toward science-based climate targets while advancing circular fiber innovation, responsible sourcing, and traceable material solutions.
• Achieving 21 percent absolute GHG emissions reduction (scope 1, 2 & 3) while growing 40 percent output volume since 2021 and investing <€200 million in facilities to improve environmental sustainability performance.

Together, these efforts demonstrate how standardized environmental measurement can strengthen operational performance, meet evolving regulatory requirements, and provide customers with trusted sustainability data that supports more informed sourcing decisions.

Curious about Cascale membership and the benefits our members receive? Learn more → https://cascale.org/explore-membership/

NEW YORK, August 6, 2026 /3BL/ – Employee participation in corporate volunteering and giving programs is holding steady at roughly a quarter of the workforce, even as companies expand the number of ways employees can get involved, according to Chief Executives for Corporate Purpose® (CECP)’s Giving in Numbers® survey.

The findings show that 25% of employees on average take part in company volunteer programs and 21% take part in matching-gift programs, with participation rates having changed little in recent years despite growing program availability such as virtual volunteering. A new combined metric introduced this year reveals why: among companies that track it, employees who volunteer and employees who give are largely the same people, with over 11 percentage points of overlap between the two groups on average.

Now in its 25th year, CECP in partnership with companies, has built the largest and most comprehensive historical dataset on corporate social investment trends, drawing on participation from more than 650 multi-billion-dollar companies and representing over $519 billion in giving over the life of the survey.

“Companies keep adding new ways for employees to get involved, but the data shows they’re mostly engaging the same committed group, not reaching new people,” said Kate Stobbe, Director, Corporate Insights & Research, CECP. “Over the last several years, companies have been rebalancing their program offerings to align better with employee interests. The next frontier for corporate engagement isn’t more programs; it’s lowering the barriers that keep everyone else on the sidelines.”

Key findings from the 2025 data include:

• Return-to-office mandates may be squeezing volunteer access. As five-day in-office requirements spread among large employers, Virtual Volunteering, Volunteer Time Off, and Flexible Scheduling all declined in a three-year matched set — with Company-Wide Days of Service dropping the most (-20.3% domestically).
• Matching gifts remain a corporate mainstay. Ninety-four percent of companies offer at least one matching-gift program, and Year-Round policies — nearly all offered at a 1:1 match ratio — account for 63% of all matching-gift dollars.
• Employee giving capacity may be tightening. Matching gifts fell from 11.2% to 9.8% of total cash contributions over a three-year matched set, driven by a 14% drop in median employee contributions — a trend that tracks with broader pressure on household finances.
• Engagement is broadening beyond volunteering and giving. Sixty percent of companies offer an Employee Assistance or Hardship Fund, with a median of $98,000 distributed and awards capped at a median of $3,000 per employee. Employee Resource Groups (94%) and sustainability programs (75%) remain widespread.
• Smaller companies see stronger participation. Across company sizes, smaller employers consistently reported higher volunteer participation rates than larger ones, pointing to the role of culture and program accessibility in driving engagement.

The research suggests that as workplace flexibility continues to shift, companies that want to grow, not just maintain engagement, will need to focus on removing barriers to participation, rather than adding new programs on top of existing ones.

Complete the survey to gain access to confidential benchmarking tables that show how your company’s giving and social impact investments compare with peers of similar size and industry, helping you make more informed strategic decisions and answer executive questions with confidence. Companies over $500M in revenue can still participate and it’s completely free; see the survey here and email insights@cecp.co for more information. The full report will be available in October 2026.

CECP Media Contact

Katie Leasor
kleasor@cecp.org

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About Chief Executives for Corporate Purpose (CECP)

Chief Executives for Corporate Purpose® (CECP) is the only nonpartisan business counsel and network dedicated to driving measurable returns on purpose. We promote responsible purpose-driven business as it increases customer loyalty, builds employee engagement, improves brand trust, attracts top talent, connects with strategic investors, and contributes to the bottom line.

More than 200 of the world’s leading companies seek to improve their return on purpose through access to CECP’s solutions in insights and benchmarking. With our companies, we harness the power of purpose for business, stakeholders, and society.

For more information, visit http://cecp.co.

New target follows company achieving original 2030 goal five years early thanks to its comprehensive decarbonization strategy

MIAMI, August 6, 2026 /3BL/ – Carnival Corporation (NYSE: CCL), the world’s largest cruise company, announced a new sustainability target to achieve a 25% reduction in greenhouse gas (GHG) emissions intensity by 2029, measured on an available lower berth days basis compared to its 2019 baseline. After successfully reaching its 2030 goal five years ahead of schedule – cutting GHG emissions intensity by 20% in 2025 – the company raised its original target an ambitious five percentage points and accelerated its timeline to achieve the goal a full year early in 2029. The efficiency work behind that milestone is also showing up on the bottom line with fuel-efficiency gains on track to save the company roughly $650 million in 2026 alone versus 2019 levels.

Carnival Corporation’s progress, detailed in its newly published 2025 Sustainability Report, is driven by a comprehensive decarbonization strategy focused on operational improvements, energy efficiency investments and low-GHG power generation. Together, these efforts have delivered sustained emissions reductions over nearly two decades. Since 2008, the company has reduced its GHG emissions intensity by 44%, meaning emissions associated with each guest sailing have been cut roughly in half during that period.

“Achieving our 2030 GHG reduction goal five years early is a significant milestone that reflects years of disciplined investment, innovation and operational focus across our global fleet,” said Josh Weinstein, CEO of Carnival Corporation. “But we’re not treating it as a finish line. Our new 2029 target ensures we’re continuing to improve every part of the equation, from using less fuel to advancing the tools, technologies and infrastructure that will help us lower emissions even further over time. That’s good for the planet, good for our business and gives us real confidence in the road ahead.”

To achieve its 2029 target, Carnival Corporation’s decarbonization strategy prioritizes lowering energy use today while developing the flexibility to pursue multiple fuel pathways in the future:

Operational Improvements & Energy Efficiency Investments

One way Carnival Corporation reduces its GHG emissions intensity is by continuously improving ship operations and adopting technologies that lower energy use across its fleet. Together, these efforts help reduce fuel consumption, drive performance and support the company’s ongoing emissions reduction goals, while maintaining the award-winning guest experiences its cruise lines are known for.

Operational enhancements, including smart itinerary planning and voyage optimization tools, help identify the most fuel-efficient routes and sailing patterns. Carnival Corporation is also integrating technologies that reduce energy demand, improve hydrodynamic performance and capture energy that would otherwise be wasted. These efforts range from Power Saver Packs that reduce HVAC and lighting loads to waste heat recovery systems and Air Lubrication Systems that help ships move more efficiently through the water. Complementing these initiatives, seven new ships scheduled to join the fleet through 2033 are expected to deliver more than 20% greater efficiency per passenger than current ships.

Low-GHG Power Generation

At the same time, Carnival Corporation is investing in a range of low-GHG technologies and solutions, recognizing that no single approach alone will deliver net-zero ship operations. This includes a growing fleet of LNG-powered ships, expanded shore power capabilities that allow ships to connect to local electrical grids while in port, increased biofuel use as more supply comes online and peak energy use shaving with battery storage systems. Together, these investments are advancing lower-emission operations today while building flexibility to adopt future energy solutions as they mature.

Carnival Corporation’s decarbonization strategy is a cornerstone of its climate action efforts and is one of its many planet-focused initiatives, which also include programs to advance a circular economy model, support biodiversity and conservation, and promote sustainable tourism. To learn more about Carnival Corporation’s purpose and its commitment to sustainability, visit Our Impact.

This release may include claims related to our GHG emissions reductions, goals, initiatives, accomplishments and progress reports. Supporting data for such GHG emissions claims, including data verification information, is published annually in our Sustainability Reports on carnivalcorp.com/impact.

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Frequently Asked Questions

Q: How did Carnival Corporation reduce its carbon emissions intensity by 20% since 2019?

Snippet answer: Carnival Corporation achieved a 20% reduction in carbon emissions intensity in 2025 (vs. its 2019 baseline) through fleet transformation, operational efficiencies and investments in energy-efficient and low-GHG technologies. A significant contributor has been its fleet transformation strategy, introducing LNG-powered and more energy-efficient ships while retiring its less-efficient vessels.

A: Carnival Corporation achieved a 20% reduction in carbon emissions intensity in 2025 (vs. its 2019 baseline) through a combination of fleet transformation, operational efficiencies and investments in energy-efficient and low-GHG technologies. A significant contributor has been the company’s strategic fleet restructuring, which introduced a new generation of more energy-efficient ships, pioneered 11 LNG-powered cruise vessels, and retired 27 older, less efficient ships since 2019. Boldly investing in next-generation ship technology while advancing energy-saving systems and optimizing operational performance has greatly improved fuel efficiency and lowered per-guest GHG emissions. This achievement builds on nearly two decades of progress. Since 2008, the company has reduced its GHG emissions intensity by 44%, cutting per-guest emissions nearly in half in that time.

Q: What operational improvements is Carnival Corporation making to cut its carbon emission intensity?

Snippet answer: Carnival Corporation is cutting its carbon emission intensity through a range of operational refinements and technology investments – from smart itinerary routing, strategic destination development, robotic hull cleaning and more. Together they help squeeze greater efficiency out of every voyage while still delivering award-winning guest experiences.

A: One way Carnival Corporation is cutting its carbon emission intensity is by using less fuel – the result of hundreds of operational refinements and technology investments that squeeze more energy efficiency out of every voyage while still delivering its cruise lines’ award-winning guest experiences. A few examples include:

• Smart routing: Advanced voyage optimization, weather routing and itinerary planning tools find the most fuel-efficient path between ports with no trade-off in guest experience.
• Strategic destination development: Exclusive destinations like its new Celebration Key in The Bahamas enable more efficient itineraries and sailing patterns while leveling up the guest experience.
• Clean hulls: Robotic hull inspection and cleaning reduce drag and improve performance, lowering fuel use fleetwide.

Q: What energy efficiency investments is Carnival Corporation making to cut fuel use?

Snippet answer: Carnival Corporation is cutting fuel use through Power Saver Packs (HVAC, LED, energy management), Air Lubrication Systems and Azipod propulsion – plus seven new ships arriving through 2033 that are 20%+ more efficient.

A: Carnival Corporation is cutting fuel use through fleet-wide energy-efficiency investments. Power Saver Packs – including HVAC upgrades, LED lighting and advanced energy management systems – are now installed on about 80% of the company’s ships, shaving annual shipboard energy demand by about 535,000 megawatt-hours versus 2019. Air Lubrication Systems on 13 ships reduce propulsion energy needs by around 5%, while Azipod propulsion on more than 40 ships can trim fuel use by up to 10%. Seven new ships scheduled for delivery through 2033 will be over 20% more efficient than the ships they replace.

Q: What low-GHG technologies is Carnival Corporation using across its fleet?

Snippet answer: Carnival Corporation uses a range of low-carbon technologies across its fleet – including LNG propulsion, shore power, biofuels and battery energy storage – because no single solution alone can deliver net-zero ship operations.

A: Carnival Corporation is investing in a range of low-carbon technologies and solutions to reduce GHG emissions, including LNG propulsion, shore power, biofuels and battery energy storage – because no single solution alone will deliver net-zero ship operations. The company now operates 11 LNG-powered ships, about 21% of fleet capacity, with seven more scheduled for delivery through 2033. Shore power capability has expanded to 74% of the fleet, letting ships switch off engines and connect to local electrical grids in port when the infrastructure allows – something they did during roughly 1,460 port calls in 2025. As part of its 2030 sustainability goals, the company aims to achieve 80% fleetwide shore power connection capability by 2030, a target it is well on its way to reaching. Carnival Corporation is also growing fleetwide biofuel use and operates a 10 MWh battery energy storage system aboard AIDAprima (the largest in the cruise industry). Together, these investments advance lower-GHG operations while building flexibility for future energy solutions.

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About Carnival Corporation

Carnival Corporation is the largest global cruise company and among the largest leisure travel companies, with a portfolio of world-class cruise lines – AIDA Cruises, Carnival Cruise Line, Costa Cruises, Cunard, Holland America Line, P&O Cruises, Princess Cruises, and Seabourn. Carnival Corporation Ltd. trades under the ticker symbol CCL on the NYSE and is a member of the S&P 500.

For more information, please visit www.carnivalcorp.com, www.aida.de, www.carnival.com, www.costacruises.com, www.cunard.com, www.hollandamerica.com, www.pocruises.com, www.princess.com, and www.seabourn.com.

Carnival Corporation Media Contacts:

Jody Venturoni, Carnival Corporation, jventuroni@carnival.com

Janna Rowell, Carnival Corporation, jrowell@carnival.com