In 2025, U.S. corporations demonstrated a strong commitment to sustainability, even as the environmental, social, and governance (ESG) landscape grew increasingly polarized and unpredictable. A new industry report revealed that a significant majority of American companies maintained or increased their sustainability investments this year, underscoring a quiet but deliberate shift toward long-term business resilience and operational security.
According to the 2025 U.S. Business Sustainability Landscape Outlook, produced by sustainability ratings firm EcoVadis, 87 percent of U.S. firms with over $1 billion in annual revenue reported either maintaining or increasing their sustainability spending. Only a small fraction — 7 percent — reduced their investments, while 6 percent ranked sustainability as a low priority. The findings are notable given the broader political scrutiny ESG initiatives have faced in recent years, with some state and federal policymakers seeking to roll back or reframe ESG regulations.
Despite these political headwinds, the report shows that companies are forging ahead with sustainability efforts, but are doing so with less public fanfare. A growing number of firms are engaging in what has been dubbed “greenhushing” — a practice where companies intentionally downplay or withhold public disclosure of their environmental initiatives. Approximately 31 percent of surveyed executives admitted their companies were increasing sustainability investments while simultaneously reducing external communications about them. Another 8 percent had ceased public messaging about sustainability altogether, even though they continue to fund such initiatives internally.
Executives point to a variety of motivations behind this shift. Beyond regulatory compliance, many see sustainability as a means to bolster supply chain resilience, improve risk management, and ensure long-term competitiveness. About 65 percent of corporate leaders noted that adopting sustainable supply chain practices helps mitigate disruption risks, manage costs, and build brand loyalty. Financial executives in particular emphasized that sustainability contributes to business continuity and growth, rather than acting as a financial burden. Over half of finance leaders surveyed — 52 percent — viewed sustainability as a key factor in their company’s competitive edge.
This trend comes at a time when companies are facing fluctuating regulatory demands. Several states have introduced or amended laws governing ESG disclosures, while the federal government continues to debate the appropriate level of regulation for ESG-related financial reporting and shareholder engagement. For example, recent executive actions have aimed to reduce the influence of proxy advisory firms in promoting ESG-focused shareholder resolutions. These policy developments have left companies navigating a fragmented and often ambiguous regulatory environment, pushing many to focus on integrating sustainability into their operations rather than treating it as a marketing tool.
Instead of emphasizing sustainability in public-facing reports or campaigns, companies are increasingly embedding it into the fabric of their operational strategies. This internalization is being driven by both risk and opportunity. On the risk side, climate-related disasters, geopolitical instability, and fluctuating resource availability have highlighted the vulnerability of traditional supply chains. On the opportunity side, a growing number of buyers, particularly in regulated industries, are demanding transparent, sustainable practices from their suppliers, making ESG alignment a prerequisite for doing business.
Many firms are also investing in digital tools to better track and manage their sustainability performance. These include ESG risk-mapping platforms, carbon accounting software, and supplier collaboration systems that help firms gather more accurate and actionable data. Yet, despite these technological investments, the report noted that data quality remains a major challenge. Some companies still rely on estimated figures and limited tracking capabilities, particularly when responding to newer regulations such as California’s climate disclosure laws or the European Union’s Corporate Sustainability Reporting Directive.
The broader implication of these findings is that corporate sustainability in the U.S. is undergoing a transformation. While public discourse on ESG may be increasingly politicized, the underlying business case for sustainability appears to be growing stronger. Companies are treating sustainability less as a compliance obligation and more as a core component of long-term strategic planning. This includes using sustainability metrics to inform procurement decisions, financial forecasting, and product development.
Executives interviewed for the report emphasized that sustainability investments are not just about environmental protection or social good, but are increasingly viewed as essential to future-proofing their businesses. Whether it’s preparing for climate-related disruptions, responding to shifting consumer expectations, or aligning with international trade requirements, sustainability is becoming a practical necessity.
In the absence of a stable regulatory framework, companies are choosing to lead from within — quietly building the systems, partnerships, and capabilities needed to operate sustainably in a rapidly changing global economy. This shift suggests that, despite the political noise, sustainability remains firmly on the corporate agenda — just less visible than before.
The overall takeaway from the 2025 sustainability outlook is clear: U.S. corporations are not retreating from their ESG commitments. Instead, they are becoming more strategic, more selective in their messaging, and more focused on embedding sustainability into the core of their operations. This approach may ultimately prove more effective in ensuring long-term business resilience and adaptability as companies prepare for the challenges and opportunities of 2026 and beyond.
