Nike has seen a rapid reduction in it’s carbon footprint during manufacturing and transportation, as China leads the way in utilizing alternative energy, said the group’s chief sustainability officer, China Daily reported.
During his recent visit to China, Noel Kinder said brands like Nike play a key role in driving positive change, as the company has replaced 75%of its energy consumption with renewable energy across its global operations this year alone.
The company is also vowing to help its partners become more efficient and sustainable, and in China, such efforts have paid off, with factories reducing waste by 12% from the 2016 to 2018 fiscal year. From the 2015 to 2018 fiscal year, its strategic footwear suppliers in China reduced energy consumption used per pair of shoes by 19%.
“At Nike, we build long-term relationships with our contract manufacturing suppliers because we know having trust and mutual respect supports our ability to create products more responsibly,” he said.
As China has been accelerating its pace in adopting electrical vehicles to help lower environmental manufacturing impacts recent years, Kinder said the country has been leading the way in the use of alternative energy, giving Nike certain advantages in reducing its carbon footprint during transportation, the report said.
“Logistically, we have worked with some tracking companies that were thinking of adopting e-vehicles, so our carbon footprint would go down very quickly,” he said.
According to Nike, the company has been utilizing LNG (liquefied natural gas) for long-haul transportation in China on about 30% of its cross-province routes. Continuous efforts have also been placed on electric vans for in-city deliveries such as in Zhengzhou, where e-van deliveries have successfully reached 100 percent.
“With increasing emphasis placed on alternative energy in China, Nike has been motivated to adjust its focus in this aspect of moving our products,” he said.
Meanwhile, Nike announced it is partnering with the China School Sports Federation to expand the China High School Basketball League, increasing the league’s intranational reach, investing in league marketing strategies and providing playing apparel beginning in the 2019-20 season, while building off the platform of the 2019 FIBA World Cup to advance the competitive, recreational and grassroots opportunities within the game nationwide.
The partnership includes expansion of the former CHBL from 84 teams in three provinces to 327 teams (264 Men’s and 108 Women’s) in 22 provinces, as well as a newly expanded playoff system.
“We are excited to partner with CSSF and to sponsor the China High School Basketball League,” says Angela Dong, General Manager and VP of Nike Greater China.
“We believe that by continuing to work side-by-side with CSSF, Nike will spare no effort to help further promote the development and culture of school basketball in China and to make sport a daily habit.”
Nike is slated to report top and bottom-line numbers for first-quarter fiscal 2020 on Sept 24, Yahoo Finance reported. Investors are optimistic about the contributions of North America and China regions to the company’s results.