ESG ratings and benchmarks
Since our existence as a company, we have perfomed well in ESG ratings and benchmarks. These results set us apart as a sustainability leader within the chemical industry.
The landscape of ESG ratings and benchmarks is growing rapidly and is increasingly fragmented. ESG ratings and benchmarks differ in scope, weighting, and measurement, resulting in divergent ratings for the same ESG topic. The World Business Council for Sustainable Development (WBCSD) highlights that there are over 600 individual ESG ratings and benchmarks with over 2,000 ESG indicators.
Due to this development it is not possible for us to actively participate in every single ESG rating and/or benchmark. Aligned with the interest of our stakeholders, we participate only in those that are most valuable to us and our stakeholders. We reassess our prioritization at recurring intervals.
Ratings and benchmarks for 2022/2023:
In December 2022, for our climate strategy and protection measures, we have been assessed with an excellent A- by CDP. CDP specifically recognized our achievements in the categories Business Strategy, Financial Planning & Scenario Analysis“, „Scope 1 & 2 emissions (incl. Verification)“, „Governance“ sowie „Opportunity Disclosure“. We achieved the highest score in each of these areas, placing us ahead of the industry average.
Please find more information in the following press release.
The independent rating agency EcoVadis evaluates suppliers from more than 16 countries in the categories environment, labor and human rights, ethics and sustainable procurement.
As a member of the Together for Sustainability Initiative (TfS), Covestro is also evaluated. Based on the assessment of 2021, EcoVadis ranked Covestro among top 5% of chemical companies worldwide with an outstanding score of 72/100 (Gold-Medal). In total, over than 85,000 companies assessments were conducted with an average of 46 points.
Covestro has been listed in the FTSE4Good Index Series since 2016. In 2021, Covestro is again listed in the Index Series. The FTSE4Good Index Series evaluates ecological, social and ethical aspects of corporate governance on an annual basis. Only companies that meet strict ESG criteria and transparently manage and regular assess their ESG practices are included in the indices.
In 2022, Covestro was upgraded from ‘AA’ (upper average) to 'AA' (leader) in the MSCI ESG rating on a scale of AAA (leader) to CCC (laggard).
THE USE BY COVESTRO OF ANY MSCI ESG RESEARCH LLC OR ITS AFFILIATES (“MSCI”) DATA, AND THE USE OF MSCI LOGOS, TRADEMARKS, SERVICE MARKS OR INDEX NAMES HEREIN, DO NOT CONSTITUTE A SPONSORSHIP, ENDORSEMENT, RECOMMENDATION, OR PROMOTION OF COVESTRO BY MSCI. MSCI SERVICES AND DATA ARE THE PROPERTY OF MSCI OR ITS INFORMATION PROVIDERS, AND ARE PROVIDED ‘AS-IS’ AND WITHOUT WARRANTY. MSCI NAMES AND LOGOS ARE TRADEMARKS OR SERVICE MARKS OF MSCI.
Sustainalytics is a leading global ESG rating agency and analyzes in its ESG Risk Rating the extent to which companies are exposed to industry-specific material ESG risks and how well the corresponding risks are managed.
Covestro is among the top 5% within the "Chemicals" category and among the top 7% within the "Specialty Chemicals" category.
Covestro believes that convergence towards a single set of ESG indicators is urgently needed.
Information on purely financial valuations can be found at Financial Documents & Presentations | Covestro | Covestro AG.