Nike has renewed its partnership with Ocean Network Express to heavily reduce supply chain emissions through the adoption of biofuel-powered shipping, aligning with its ambitious climate targets and marking a significant shift towards sustainable logistics in retail.
Nike is intensifying its commitment to cutting supply chain emissions by extending its low-carbon ocean freight partnership with Ocean Network Express (ONE). This extension is part of a broader shift within...
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the shipping and retail sectors towards cleaner marine fuels and enhanced accountability in reducing Scope 3 emissions.
Since 2024, Nike has utilised ONE’s “LEAF+” programme, which enables customers to ship goods using UCOME (Used Cooking Oil Methyl Ester), a marine biofuel that slashes lifecycle carbon emissions by up to 84% compared to traditional shipping fuels. After shipments are completed, ONE issues a third-party verified certificate quantifying the precise emissions savings. Shippers can select carbon reduction levels ranging from 10% to 80%, balancing cost and fuel availability. This approach reflects a trend among major brands using biofuels to target their carbon footprints more aggressively while gaining verified data to support sustainability reporting.
Nike’s partnership with ONE dates back to 2018, focusing initially on conventional shipping services, but the move to LEAF+ aligns closely with the company’s ambitious 2030 climate goals. These include a 65% reduction in Scope 1 and 2 emissions and a 30% cut in Scope 3 emissions—those indirect emissions from its supply chain and product lifecycle. The company reported a significant 29% reduction in Scope 3 emissions by the end of fiscal year 2024, a milestone partially attributed to its use of lower-carbon logistics options such as biofuel-powered shipping.
This commitment runs alongside Nike’s broader low-carbon logistics strategy. In 2023, the company teamed up with Dutch logistics firm Future Proof Shipping to launch the world’s first hydrogen-powered inland container barge in Europe. It also collaborated with Maersk on the first green methanol-powered vessel operating in U.S. waters. By the end of 2024, approximately a quarter of Nike’s inbound ocean freight was powered by biofuels, positioning the brand among the leading retail adopters of alternative marine energy.
Gilberto Santos, senior vice president at ONE, highlighted the partnership as a demonstration of how major brands and carriers can jointly advance sustainable supply chains. This move is echoed across the container shipping industry, where carriers like Hapag-Lloyd and CMA CGM have introduced comparable biofuel programmes, signalling a shift from experimental pilots to broader portfolio-scale adoption of cleaner fuels.
Industry data from the Global Maritime Forum indicates that biofuel uptake in container shipping has tripled since 2023, driven largely by increasing demand from consumer brands seeking credible, verifiable alternatives to fossil-fuel-based maritime transport. Verified carbon reductions from these programmes are becoming tradable assets in corporate sustainability frameworks, adding a competitive edge for early adopters in negotiating supply chain contracts and reporting their emissions more transparently.
Nike’s holistic decarbonisation efforts extend beyond shipping fuel. The company has set science-based interim targets for 2025, including achieving a 70% absolute reduction in greenhouse gas emissions at owned or operated facilities through electrification and renewable energy, as well as stabilising emissions from suppliers despite expected business growth. These targets are part of Nike’s aim to reach net-zero emissions across its entire value chain by 2050, with a particular focus on scaling renewable energy, enhancing energy efficiency, and increasing the use of environmentally preferred materials.
The emphasis on Scope 3 emissions is critical because, according to corporate greenhouse gas inventories, these indirect emissions made up around 98.9% of Nike’s total greenhouse gases in 2021. Therefore, addressing emissions through supplier engagement, alternative fuels, and innovative logistics solutions is vital to the company’s overall climate strategy.
Nike continues to collaborate with other industry players and organisations to amplify impact and drive systemic change across global supply chains. The extension of its partnership with ONE and expanded use of biofuels in shipping mark an important chapter in evolving sustainable logistics from an isolated effort into a measurable, scalable competitive advantage for forward-looking brands seeking to meet ambitious climate commitments.
Source: Noah Wire Services
