LEGO’s Procurement Drive for Carbon Removal Solutions
LEGO Group is directing US$2.75m into a portfolio of carbon removal projects, reinforcing its sustainability agenda through procurement-led climate initiatives.
Working alongside Climate Impact Partners and ClimeFi, the company is funding biochar production, enhanced rock weathering and large-scale reforestation.
These projects are designed to generate carbon removal credits between 2024 and 2026, aligning with LEGO’s long-term emissions reduction strategy. By investing in both innovative and nature-based solutions, LEGO is not only reducing its own carbon footprint but also evaluating the viability of these approaches for long-term procurement.
Procurement-led carbon removal investments
LEGO’s funding supports three core methods of carbon removal: biochar, enhanced rock weathering and reforestation. Each initiative is chosen for its potential to deliver measurable and scalable climate benefits.
Biochar is a carbon-rich material produced by heating organic waste in a low-oxygen environment. This process stabilises carbon, preventing it from being released back into the atmosphere. The material can also enhance soil quality, creating additional environmental value.
Enhanced rock weathering accelerates a natural geological process. By spreading finely crushed rock over agricultural land, CO₂ in the atmosphere reacts with the minerals, effectively locking carbon away for thousands of years.
This approach has the potential to be integrated into large-scale agricultural supply chains, making it an attractive prospect for procurement at scale.
In addition to these engineered solutions, LEGO is investing in reforestation through GreenTrees, a project focused on restoring over 400,000 hectares of forest in the Lower Mississippi Alluvial Valley.
Deforestation has severely impacted this region, and reforestation efforts not only sequester carbon but also provide benefits such as biodiversity restoration, flood resilience and improved water quality.
“These partnerships allow us to build our understanding of new technologies and practices to support a healthy planet for future generations,” says Annette Stube, LEGO’s Chief Sustainability Officer.
“We are proud to support these initiatives which we believe will have a positive climate impact on the wider environmental ecosystem.”
Beyond sequestering carbon, the reforestation project offers additional environmental benefits, such as improving biodiversity, enhancing flood resilience and reducing agricultural runoff into the Mississippi River.
"This is a leading example of how the private sector can drive real impact," adds Sheri Hickok, CEO of Climate Impact Partners.
"Taking steps to reduce value chain emissions and simultaneously channelling finance to solutions like reforestation deliver beyond value chain impact."
Strategic procurement for net zero
LEGO’s carbon removal investments form part of a broader supply chain sustainability strategy. The company is taking a calculated approach to procurement by prioritising high-quality, scalable solutions that complement internal emissions reductions.
This is not LEGO’s first foray into climate-focused procurement. The company has previously worked with Climeworks, a leader in direct air capture technology, to explore scalable carbon removal solutions.
However, LEGO acknowledges that investing in removal projects does not replace the need to cut emissions within its own operations and supply chain.
Some critics argue that carbon credit schemes allow companies to delay necessary emission reductions. LEGO maintains that its carbon removal funding is part of a dual approach: supporting the development of long-term solutions while actively reducing its own environmental impact.
To ensure credibility, LEGO’s funding decisions undergo rigorous due diligence, supported by sustainability consultancies and verified against global standards.
“The projects were carefully chosen based on ClimeFi’s strict quality standards and underwent thorough technical review,” explains Paolo Piffaretti, CEO of ClimeFi.
“The LEGO Group’s early adoption of these high-quality carbon removal solutions will help catalyse the growth of the carbon dioxide removal industry.”
Beyond offsets: A model for procurement-led climate action
Corporate investment plays a crucial role in scaling up carbon removal technologies. While some solutions, like direct air capture, remain in their early stages, others, like reforestation, offer more immediate impact. LEGO’s procurement approach integrates both engineered and nature-based solutions to support a diversified climate strategy.
These commitments come as businesses face growing scrutiny over sustainability claims. Regulators, investors and consumers increasingly demand tangible action on climate change, pushing companies to adopt more transparent and accountable strategies. LEGO’s investment in carbon removal projects reflects an awareness of this shift and a strategic effort to stay ahead in corporate climate responsibility.
For procurement professionals, LEGO’s approach offers insight into how businesses can leverage supply chain partnerships to drive sustainability. By integrating carbon removal into its procurement processes, LEGO is demonstrating how corporate purchasing power can help scale emerging climate solutions.
Annette concludes: “Bold action is essential to ensure children inherit a healthy planet and we are exploring innovative solutions to address the challenges we all face."
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