Where the sector stands in 2025

This year’s analysis shows a clear split in the industry’s climate progress. Many biotech and pharma companies are doing real work to reduce the carbon footprint of their operations, and those efforts are aligning well with a 1.5°C pathway. But supply chain (Scope 3) emissions remain the biggest challenge keeping the sector’s overall climate impact closer to 2°C. The data helps show where progress is happening, and where more support and action are still needed.

Key Highlights:

• Operational emissions are improving, aligning with a 1.5°C pathway. But once supply chains are included, the implied temperature rises to 1.9°C, keeping the sector closer to a near 2°C path overall.
• More companies are setting stronger climate targets. Among those with the highest-quality disclosures, 52% now have medium-term Scope 1–2 targets aligned with a 1.5°C pathway, marking real progress on operational ambition.
• The largest companies continue to make steady reductions, cutting Scopes 1–2 emissions intensity by around 10% and Scope 3 by about 5%. Smaller and private companies, however, are generally moving in the opposite direction.
• Most emissions still come from supply chains—about 75% for public companies and 88% for private companies—highlighting why Scope 3 remains the defining challenge.
• More companies are joining the UN Race to Zero, increasing from 38 to 42 companies this year, showing continued commitment despite a complex landscape.