Environment Research Finds Gaps in Sustainability Reporting of Tire Brands

Published on: 08 March 2022
by KnowESG
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A Brief Summary

According to research conducted by the conservation charity the Zoological Society London (ZSL), leading natural rubber consumers, including tire and gloves companies, have gaps in sustainability reporting. The research, conducted among 30 companies, found that more than 60 per cent had a "clear public commitment" to zero deforestation.

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The study found that only 10 per cent, i.e. three companies, reported having evidence of monitoring deforestation or ecosystem conservation in supplier operations.

For the study, the ZSL used openly available transparency data of companies that revealed rubber manufacturers scored more than producers and processors, with an average of 42 per cent against 37 per cent.

Michelin, a producer, processor and manufacturer of natural rubber, scored the highest with 83 per cent.

According to the study, only 14 per cent of companies committed to tracing " all rubber sourced from smallholders" back to the place of origin by a target year. Meanwhile, 5 per cent of traders and manufacturers reported the percentage of their supply from third party processing facilities traceable to smallholders.

“This freely available data highlights a significant challenge for the sector - a lack of traceability of natural rubber from smallholders who produce around 85% of the world’s natural rubber,” ZSL said.

"The rubber industry’s wide gap between policy and action," said Amy Smith of the World Wildlife Fund (WWF) in the US. She also said both the EU and the US would introduce new legislation that will require companies to know the origin of their natural rubber.