Today’s ESG Updates
- EU Tackles E-commerce Imports: The European Commission addresses the growing risk of non-Eu-law-compliant imports entering the market.
- Grass-fed Beef To Reduce GHGs: A new UK study suggests that grass-fed beef can reduce GHG emissions by up to 26%.
- Division Between US and EU ESG Rules: A recent Morningstar report suggests a growing divide between ESG directions between the US and EU.
- S&P Merge Divisions for Sustainable Investing: S&P Global merges its sustainability and commodity insight division to capitalise on investments.
EU tackling challenges with e-commerce imports
The European Commission is addressing risks from low-value imports sold through non-EU online retailers. In 2024, around 4.6 billion low-value consignments entered the EU market, with many being non-compliant with EU laws. To mitigate the problem, the commission is proposing better custom reforms, targeted control measures for imported goods, and the Digital Protection Acts. Businesses aiming to stay compliant with these EU laws within the market can enlist the help of ESG solutions.
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Further reading: Commission announces actions for safe and sustainable e-commerce imports
New study suggests grass-fed beef can reduce GHG emissions
A new study suggests that UK grass-fed beef farming could reduce greenhouse gas emissions through specific measures rather than reducing livestock numbers. A variety of methods are being experimented with, such as anaerobic digestion, potentially cutting cattle emissions by up to 26%. Nitrification inhibitors and white clover could also cut emissions by 7.5% and 12% respectively. Future studies should examine the economic viability of the methods coupled with agricultural techniques to optimize grazing management.
Photo Credit: Alexandr Podvalny
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Further reading: UK beef cattle farming could cut emissions by up to 26%
The clear division developing between ESG in the US and the EU
A recent Morningstar report shows a widening gap between US and European asset managers’ support for environmental and social shareholder proposals. The largest 20 US asset managers have reduced ESG support, whilst EU managers keep ESG a high priority. In the latest proxy season, only 31% of the US largest firms supported ESG compared to 96% in the EU 15 largest firms. This divide between the two continents will be a space to watch for ESG regulations.
Photo Credit: Nik Shuliahin
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Further Reading: ESG encountering widening ‘gulf’ between US and European investors: Morningstar
S&P merges sustainable1 and commodity insight divisions to strengthen analytics
S&P Global has merged its Sustainable1 and Commodity Insights divisions in an effort to help navigate the growing complexion of the energy market. By 2050, the energy transition could unlock $53 trillion in investment opportunities, but climate hazards could cost major companies $25 trillion in financial impacts. Merging the divisions will provide insights on how to best capitalise on the emerging opportunities and risks in the energy transition era. Similar to ESG tools, the merger will help organizations with data and analytics to manage opportunities and risks.
Photo Credit: Nick Chong
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Further reading: Enhancing and expanding transition insights from S&P Global
Editor’s Note: The opinions expressed here by the authors are their own, not those of impakter.com — Cover Photo Credit: CardMapr.nl