HSBC Delays Net Zero Target for Operations and Supply Chain to 2050

The bank cites challenges in decarbonization and announces a review of financed emissions policies while adjusting executive incentive plans.

HSBC has pushed back its goal to achieve net zero emissions across its operations, travel, and supply chain from 2030 to 2050, citing slower-than-expected progress in decarbonization efforts.
The bank plans to reduce emissions by 40% by 2030 but acknowledges reliance on carbon offsets to meet interim targets.
A review of HSBC's 2030 financed emissions targets is underway, with results expected later this year, as the bank highlights external factors like policy lags and technological limitations affecting progress.
CEO Georges Elhedery's new bonus plan reduces the weight of environmental targets and focuses solely on the bank's own emissions, excluding client-related emissions due to tracking difficulties.
HSBC remains a member of the Net Zero Banking Alliance, even as several major U.S. banks have exited the group amidst shifting climate policies.