Nearly two-thirds of C-suite leaders say that the pressure to ensure that their supply chains are sustainable has decreased over the last year, while just 22% say that improving sustainability practices is a top strategic priority for the next five years.

According to a survey by management consultancy Argon & Co of more than 800 C-suite leaders across the supply chain and logistics sectors, improving sustainability dropped from the third highest priority last year, to just the seventh in 2026. Additionally, 77% of those in the luxury goods industry reported decreased pressure on supply chain sustainability, as well as 70% in the logistics industry.

"Sustainability is something everyone wants to get behind, but it is costly," said Argon & Co U.S. partner Dan Stolarski, in a report analyzing the findings. "Even just the basic reporting, like identifying, measuring and tracking, is resource-intensive – and that’s before you reach the stage of running true sustainability programs.”

The authors of the Argon report point out that the lack of sustainability planning for the next five years is especially significant, given that several global net-zero and ESG commitment milestones are scheduled for 2030. That includes the United Nations' "Race to Zero" initiative, which sets a goal to halve global carbon emissions by 2030, in line with the Paris Climate Agreement's own benchmarks. 

Even so, Argon's survey found that firms aren't stepping away from ESG goal entirely, with 77% of leaders saying that they're still investing enough in technologies to track and reduce Scope 3 emissions, down slightly from 81% last year. Three-quarters also expressed confidence in their ability to meet Scope 3 regulatory requirements, although that could be a combination of improved internal policies and softening regulations, Argon noted.

The concern moving forward is that with fewer firms prioritizing sustainability in their supply chains, ESG efforts could stall outright, as the world is set to reach a critical juncture in its bid to curb emissions.

"Growing climate-related risks for firms mean that sustainability must remain a core operational discipline, rather than a knee-jerk response to regulatory or reputational pressure," Argon associate partner Judith Richardson said.