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Lego commits $2.6m to carbon removal projects

Lego is advancing its sustainability strategy with a $2.63 million investment in carbon removal, backing projects that actively remove CO2 from the atmosphere. This commitment reinforces the company’s long-term goal of reducing its environmental impact and reaching net zero by 2025.

Lego commits $2 6m to carbon removal projects_A close-up shot of a small Lego figurine dressed as a forester, standing among young tree seedlings in a forest_visual 1A close-up shot of a small Lego figurine dressed as a forester, standing among young tree seedlings in a forest. AI generated picture.

The partnership was forged with France-based ClimeFi and UK-based Climate Impact Partners (CIP). In a separate agreement, Lego's parent company, Kirkbi, has committed an additional $690,000 to carbon removal credits. These projects are set for delivery by the end of 2026 and align with Lego's broader sustainability efforts.

‘Innovative, high-quality carbon removal projects and emerging technologies have the potential to play an important role in supporting a more sustainable future, while reforestation has the potential to support improved biodiversity’, said Annette Stube, chief sustainability officer at the Lego Group.

This latest move reinforces the growing corporate interest in carbon removal, despite uncertainties in environmental policy. It follows another major deal in the sector—Microsoft’s recent investment of 7 million afforestation carbon units.

Lego’s latest purchase builds on previous carbon removal commitments. In March 2024, the company acquired credits from Climeworks, a Switzerland-based direct air capture (DAC) project developer. However, the specific volume of credits secured in the new deals has not been disclosed.

CIP confirmed that one of the reforestation projects involved is the Mississippi Valley Reforestation initiative, registered under the US-based ACR carbon standard. This large-scale project aims to restore native woodlands across 404,000 hectares along the Mississippi-Arkansas border, targeting an annual carbon removal capacity of 500,000 tonnes.

Meanwhile, ClimeFi has not publicly disclosed details of the remaining three projects. It has been confirmed that the biochar projects will generate credits by processing residual biomass through pyrolysis in oxygen-free facilities, while the enhanced rock weathering project will sequester CO2 permanently in ocean waters. ClimeFi will also provide Lego with ongoing insights into portfolio performance.

While expanding its global operations, Lego has committed to reducing carbon emissions by 37% by 2032 (compared to 2019 levels) and achieving net zero across Scope 1, 2, and 3 emissions by 2050.

Read more: Why we need to restore high-priority areas like Africa

According to its latest sustainability report, the company emitted 119,089 tonnes of CO2 equivalent in 2023—an 8.8% decrease from the previous year, yet still 7.6% higher than its 2019 baseline. Most of its emissions stem from supply chain activities, particularly plastics production and logistics.

Lego has remained cautious about revealing specific strategies for achieving its environmental targets but employs a ‘shadow carbon pricing’ model to guide investment decisions. The company has significantly increased its spending on environmental initiatives, with plans to double its annual climate-related expenditures by 2025.

With its latest investment in carbon removal, Lego continues to reinforce its commitment to sustainability, combining corporate expansion with a strategic focus on emissions reduction.

Read more: Sustainable bond market heading to $1 trillion in 2025

As corporate leaders like Lego continue investing in high-quality carbon removal solutions, the demand for verified carbon units remains stronger than ever. At DGB Group, we specialise in delivering certified carbon units that not only help businesses compensate for emissions but also drive real environmental impact through nature restoration. Whether you're looking to future-proof your company against shifting regulations or invest in meaningful sustainability solutions, we provide the expertise and opportunities to turn environmental commitments into action. Explore how you can be part of the solution today.

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