Companies in the U.S. still prioritize sustainability in their investments, yet they remain largely silent on the matter, according to a recent survey.
In a significant shift, a growing number of large U.S. companies are adopting a more cautious approach when it comes to communicating their sustainability efforts, a trend known as "greenhushing." This practice, where companies either understate or entirely refrain from discussing their genuine sustainability achievements, is becoming increasingly prevalent, despite viewing sustainability as a driver of competitive advantage.
The trend is highlighted in the "2025 U.S. Business Sustainability Landscape Outlook" survey, conducted among 400 executives from companies with over $1 billion in revenues across various industries. The survey, which can be accessed here, reveals that 87% of executives are either maintaining or increasing investments in business sustainability in 2025, while only 7% are cutting back.
One of the primary reasons for greenhushing is the fear of being accused of greenwashing, a practice where companies make misleading or exaggerated claims about their environmental practices. This fear is particularly prevalent in environments where regulatory scrutiny and public skepticism are high.
Another factor contributing to greenhushing is the increasing complexity of ESG (Environmental, Social, and Governance) reporting. Companies may choose to remain silent about their efforts to avoid scrutiny and the risk of litigation, as thousands of organizations face claims for misleading environmental statements.
Technology is a key focus area for investment, with 89% of respondents planning further ESG tech investments over the next 12 months. These investments include ESG risk mapping tools or supplier disclosure solutions, cited by 53% of respondents, and carbon engagement platforms.
Pierre-Francois Thaler, co-founder and co-CEO of EcoVadis, emphasizes that leading companies prioritize transparency and accountability by investing in tools that help them assess supplier performance, manage risk proactively, and navigate evolving compliance demands.
Despite the trend of greenhushing, there are clear benefits to investing in sustainability. More than half (52%) of finance leaders said that supply chain sustainability directly supports growth and competitiveness, while only 19% view it primarily as a cost center. Attracting and retaining customers is a specific supply chain sustainability benefit highlighted by 62% of director and VP respondents and 59% of C-Suite.
However, many executives are concerned about a rollback of ESG regulations, and nearly four in ten (41%) expect consumer prices to rise due to the cost of managing climate disruptions. These concerns underscore the need for transparent and accountable practices in ESG initiatives.
In conclusion, while greenhushing is becoming a common practice among large U.S. companies, it is crucial for companies to prioritize transparency and accountability in their sustainability efforts. By investing in tools that help assess supplier performance, manage risks proactively, and navigate evolving compliance demands, companies can reap the benefits of sustainability while maintaining their competitive edge.
- In the face of regulatory scrutiny and public skepticism, companies are choosing to 'greenhush', a practice where they either understate or entirely refrain from discussing their genuine sustainability achievements, due to the fear of being accused of greenwashing.
- Despite the trend of greenhushing, a vast majority of finance leaders acknowledge the benefits of investing in sustainability, with more than half stating that supply chain sustainability directly supports growth and competitiveness.
- Companies are prioritizing investments in technology, particularly in ESG risk mapping tools, supplier disclosure solutions, and carbon engagement platforms, to enhance transparency and accountability in their sustainability efforts.
