Tianjin, China (Enmaeya News) – Small and medium-sized enterprises, which account for 40% to 60% of global business-sector greenhouse gas emissions, could be critical in accelerating climate action, according to a new study.
The report said advancing sustainability efforts among SMEs could bring the world closer to meeting Paris Agreement targets while generating economic value.
Sustainability is increasingly seen as a strategic opportunity among industrial SMEs and mid-sized companies. About 68% of these businesses view sustainability positively, with 38% already incorporating it into their strategy. Customer demand was cited by 60% of companies as the main driver for adopting sustainable practices, surpassing regulatory pressure.
Still, many SMEs face barriers including cost pressures, competing priorities, policy uncertainty and limited access to financing. Experts said overcoming these challenges requires public and private sector collaboration through knowledge-sharing, networks, policy guidance and hands-on implementation support.
Empowering SMEs to lead sustainability efforts can create a multiplier effect across global supply chains, the study found. Doing so not only supports climate goals but also strengthens competitiveness, resilience and long-term growth. Experts added that scaling up SME sustainability could be a key lever in limiting global warming to 1.5 degrees Celsius while unlocking economic opportunities.
