The Sub-Forum “ESG and Environmental Innovation Cases in Corporations” of 2025 Shanghai Forum convened on April 25 at SK Tower in Shanghai, bringing together influential voices from academia, business, and government to discuss the transformative potential of ESG (Environmental, Social, and Governance) principles in addressing global environmental challenges. Co-hosted by Fudan University and SK Group, the sub-forum highlighted the urgency of embedding sustainability into corporate strategies and the pivotal role of technological and financial innovation in driving this change.
The forum opened with a resounding consensus on the need for businesses to take a leading role in ESG adoption. LIU Yang from SK China emphasized that ESG is no longer just a framework for corporate responsibility but a strategic imperative for companies to remain competitive in an evolving global economy. ZHAO Weitao from Fudan University School of Management reinforced this point, calling for a collaborative approach to tackling climate challenges, where businesses, governments, and communities share the responsibility for environmental governance. Jung Yoon-tae, President of SK China, further stressed that sustainability must underpin corporate resilience, urging companies to embrace innovative, scalable solutions to reduce environmental impact.
Tech-Driven Solutions: Scaling Circular Economies and Transparency
A recurring theme throughout the discussions was the integration of advanced technologies to accelerate ESG implementation. Jung Jae-jun of SK Shantou Petrochemical presented chemical recycling as a groundbreaking solution to the limitations of traditional physical recycling, citing SK’s $100 million investment in a PET recycling facility in Guangdong as a prime example of corporate commitment to scalable green technologies. Eduardo Garza Garcia from Waste2Wear showcased how blockchain technology is being used to enhance transparency in recycling supply chains, building trust and accountability while supporting decarbonization efforts. LI Xiao from Nike China shared how the brand’s “Reuse-A-Shoe” program and Grind technology are transforming old materials into playgrounds and sports infrastructure, creating a circular economy that engages consumers directly. Meanwhile, ZHAI Jingli of APP China highlighted their integration of ESG across the value chain through innovations in carbon monetization and the development of zero-carbon consumer goods.
The forum also explored the challenges businesses face in implementing ESG initiatives. In a roundtable discussion, participants delved into the complexities of navigating global regulatory environments, balancing operational demands with long-term sustainability goals, and ensuring that smaller enterprises are not left behind. Jung Jae-jun noted that businesses must go beyond meeting compliance requirements to stay ahead of evolving regulations and maintain their competitiveness. ZHAI Jingli discussed the importance of aligning ESG practices with strategic planning, emphasizing that companies must strike a balance between short-term operational demands and long-term sustainability objectives. Professor JIANG Ping from Fudan Tyndall Centre highlighted the specific difficulties small and medium-sized enterprises (SMEs) face in adopting ESG frameworks, such as limited resources and expertise, calling for targeted policies and incentives to ensure their participation in the broader sustainability agenda.
Global Frameworks and China’s Role: Localizing Action for Systemic Impact
The afternoon sessions shifted focus to actionable strategies for integrating ESG into the core of business operations. ZHANG Xun from Accenture Greater China stressed the need for companies to tailor their ESG initiatives to local markets and cultural contexts, ensuring they resonate with diverse consumer expectations. Roman Novozhilov of the New Development Bank discussed the importance of green financing in building sustainable infrastructure, particularly in urban areas, to support long-term economic and environmental resilience. John Short from LIXIL shared the company’s efforts to address global sanitation challenges through innovative, affordable solutions like the SATO toilet, demonstrating how businesses can simultaneously generate social impact and financial returns. LIU Ye of Shanghai Environment Group presented the Ningbo Circular Economy Industrial Park as a model for integrating waste management with energy production, showcasing how circular economy principles can drive environmental and economic benefits.
As discussions progressed, panelists turned their attention to the evolution of global ESG standards and the role of China in shaping the future of sustainability. While inconsistencies in international frameworks present challenges, there was broad agreement on the importance of localized approaches that reflect regional economic and social contexts. ZHANG Xun advocated for aligning domestic practices with international benchmarks while recognizing China’s unique contributions to sustainability, such as its rapid advancements in renewable energy and green technology. LIU Ye argued that Chinese companies can lead by example, sharing successful case studies to inspire global efforts and demonstrating how sustainable practices can be integrated into diverse industries.
The forum concluded with a call to action, highlighting the need for continued innovation, collaboration, and dialogue. In her closing remarks, Professor ZHENG Qinqin of Fudan University summarized the day’s discussions, emphasizing three core themes: the integration of ESG into business strategies, the transformative role of technology in achieving environmental goals, and the importance of global cooperation in addressing climate change. She applauded the progress made by companies and stakeholders represented at the forum, urging them to maintain their momentum and work toward shared sustainability goals.
This ESG Sub-Forum served as a powerful reminder of the potential for ESG principles to drive meaningful change. By combining technological innovation, strategic foresight, and cross-sector collaboration, businesses and policymakers can build a more sustainable and inclusive future.
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Writer: CAO Zhuyu
Proofreader: WANG Jingyang
Editor: WANG Mengqi, LI Yijie
