Sometimes things happen under the radar. That is the case when it comes to companies prioritizing business sustainability, according to a new study, 2025 U.S. Business Sustainability Landscape Outlook: Executive Perspectives on Supply Chain Disruption, Resilience and Competitiveness, from EcoVadis.
The report found that 78% of U.S. companies say they’ve maintained or increased their investment in business sustainability efforts this year.
The findings reveal a shifting approach: companies are still prioritizing business sustainability behind the scenes, but fewer are promoting it publicly, according to the study. Executives see sustainability as a way to stay competitive and resilient, especially at a time when the scaling back of ESG regulatory oversight raises concerns about greater supply chain disruption.
The report identifies five major trends shaping corporate sustainability strategy in 2025:
- Sustainability Investments Continue Despite a Rise in “Greenhushing”: Nearly one-third (31%) of executives say they are increasing business sustainability investments but reducing public communications. Eight percent have stopped talking about their commitments publicly but continue to invest and stay on plan. Only 7% have actively cut back their sustainability efforts, and just 6% admit it is not a priority and do the minimum to comply.
- Executives See Sustainability as a Competitive Advantage: Sixty-five percent of all respondents say supply chain sustainability is a competitive advantage that helps them grow faster through risk reduction, resilience, brand enhancements, supply chain performance and cost savings. Sixty-two percent of directors and VPs and 59% of C-suite leaders, say it helps attract and retain customers. A majority of finance leaders (52%) agree with this sentiment, saying sustainability is a growth driver.
- Rolling Back ESG Rules Could Backfire: Nearly half (47%) of C-suite respondents say eliminating ESG regulations would increase supply chain disruptions. Thirty-five percent of all executives say ESG regulatory rollback could backfire, weakening ESG data quality, undermining accountability, and negatively impacting sustainability outcomes. Another 59% expect unfair labor practices and worker mistreatment to rise.
- Companies Are Struggling to Keep Pace with ESG Compliance: Only 13% of companies are on track to comply with deadlines across four major regulations: the EU’s CSRD and CBAM, California’s SB-253, and Canada’s Modern Slavery Act. For each regulation, up to 19% of covered companies haven’t begun collecting supply chain ESG data, and up to 15% are in “wait and see” mode, hoping regulatory timelines shift.
- Tech Investments Accelerate as Companies Work to Close Data Gaps: A third of executives (33%) admit to knowingly reporting ESG data that was based on estimates, even if they knew it was not accurate, for compliance, marketing, or investor expectations. Still, the majority are working to close these gaps with technology: 57% are using ESG risk mapping tools, 49% have supplier ESG engagement platforms in place, 34% are using supply base mapping tools, and 32% are using on-site audit tools. And 89% of companies are planning further tech investments over the next 12 months.
“Even as the debate over business sustainability heats up, executives are focused on the reality – sustainability is what keeps supply chains running and customers on board,” said Pierre-François Thaler, co-CEO of EcoVadis, in a statement. “To stay ahead of risks and disruption, leading companies are prioritizing transparency and accountability by investing in tools that help them assess supplier performance, manage risk more proactively, and navigate evolving compliance demands.”
