Nestlé Malaysia today announced that it has reduced its greenhouse gas (GHG) emissions by 31% compared to its 2018 baseline, surpassing its 20% interim target for 2025 and accelerating progress towards Net Zero by 2050. The achievement reflects years of action across the Company's operations and value chain, including the transition to 100% renewable electricity, manufacturing efficiency improvements, regenerative agriculture, more sustainable sourcing practices and circular packaging initiatives.
The achievement also comes as Malaysia advances its national climate agenda, having submitted its third Nationally Determined Contribution (NDC 3.0) to the United Nations Framework Convention on Climate Change in October 2025. The updated commitment sets out the country’s next phase towards its longer-term aspiration of reaching net zero greenhouse gas emissions by 2050. Nestlé Malaysia’s progress reflects how businesses can contribute to this national transition.
Commenting on the milestone, Juan Aranols, Chief Executive Officer of Nestlé Malaysia, said, “Reaching a 31% reduction in GHG emissions is an important milestone, reflecting years of commitment by our teams and partners across Malaysia. While we are proud of this progress, we know there is still much more to do on our journey to Net Zero. Sustainability is integral to how we create shared value – from the energy that powers our factories and the ingredients we source, to our packaging, ecosystem restoration and community programmes. Having grown alongside Malaysia since 1912, we remain committed to investing, innovating and collaborating with our partners to reduce our environmental impact and help build a more sustainable future for the nation.”
Welcoming the contribution of businesses towards national climate goals, YB Tuan Syed Ibrahim bin Syed Noh, Deputy Minister of Natural Resources and Environmental Sustainability, said, “With the submission of Malaysia's NDC 3.0, we have set a clear pathway to advance our national climate commitments and strengthen our resilience to the impacts of climate change. Achieving these goals will require strong partnerships between the public and private sectors. Initiatives such as those undertaken by Nestlé Malaysia show that emissions reductions can be successfully integrated into business operations while supporting long-term economic growth. Such efforts contribute positively to Malaysia's broader sustainability and decarbonisation agenda.”
Sharing a regional perspective, Katarzyna Grzybowska, Assistant Vice President of Nestlé S.A. and Head of Sustainability for Zone Asia, Oceania & Africa, commented, “Malaysia's progress demonstrates what can be achieved when global sustainability ambitions are translated into focused local action. Delivering meaningful emissions reductions requires long-term commitment, sustained investment and collaboration across the value chain. What is particularly encouraging is the breadth of action behind this progress, from transforming operations and packaging to engaging communities. These experiences provide valuable learnings as we continue advancing our sustainability commitments across our markets.”
The milestone was announced at the “Nestlé: Sustainability, Connected” event, bringing together the various pillars of the Company's sustainability journey under one platform and highlighting the holistic programmes across its value chain. This includes working with local suppliers and farmers to advance more sustainable practices and regenerative agriculture, transitioning to 100% renewable electricity across its Malaysian operations, and driving continued improvements in manufacturing efficiency.
The Company is also addressing the environmental impact of packaging across its lifecycle, from reducing the use of virgin plastic and improving packaging design to increasing the use of recycled PET and strengthening post-consumer recovery. A key initiative is Nestlé KITAR, unveiled at the event as the refreshed platform for Project SAVE (Segregate, Avoid, Value, Educate), the country’s largest Extended Producer Responsibility programme, which has recovered and recycled 50,000 tonnes of dry mixed material to date (of which 32,000 tonnes are plastics).
Extending these efforts into communities, the MILO Energy for Good programme has engaged more than 200 schools through recycling education and transforming used beverage cartons into school furniture and sports equipment, demonstrating how recovered materials can be put back to meaningful use.
Alongside efforts to reduce emissions and improve circularity, Nestlé Malaysia continues to undertake reforestation efforts. Having completed the planting of three million trees across Malaysia through Project RELeaf, the Company has committed to planting a further three million by 2030, supporting biodiversity and longer-term climate resilience.
These efforts reflect Nestlé Malaysia’s approach to sustainability as a connected journey, reducing environmental impact within its business while extending positive impact across its wider value chain and the communities it serves.
Having surpassed its 2025 interim climate target, Nestlé Malaysia will continue building towards its next major milestone of a 50% reduction in GHG emissions by 2030, on the path towards Net Zero by 2050.
This content is provided by Nestlé Malaysia
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