Progress on corporate climate goals and human rights protection stalls significantly beyond primary suppliers, according to data released in the tenth edition of the EcoVadis Sustainability Ratings Index. The report, which analysed approximately 200,000 scorecards from more than 100,000 globally rated companies between 2021 and 2025, indicates a substantial visibility gap further down the supply chain.
The index reveals that 80 per cent of rated companies—which typically function as tier one suppliers to major multinationals—have no documented processes for identifying or managing sustainability risks within their own supply networks. Furthermore, 73 per cent do not report upstream Scope 3 emissions, and 77 per cent lack downstream tracking mechanisms. Transparency remains a significant barrier, with fewer than one per cent of suppliers reporting granular, decision-grade sustainability data to purchasing organisations.
In contrast, companies have made quantifiable improvements within their independent operations. Environmental performance scores increased by an average of 9.6 points over the four-year period, with the proportion of businesses achieving an “Advanced+” status on the EcoVadis scale rising from 17 per cent in 2021 to 38 per cent in 2025. Additionally, 46 per cent of rated suppliers now purchase or generate renewable energy, whilst 80 per cent maintain formal diversity, equity, and inclusion (DEI) policies. However, 78 per cent of these companies still lack formal science-based carbon reduction targets.
The report highlights that supply chain verification remains heavily reliant on paperwork. Forty-two per cent of companies continue to use unverified supplier questionnaires, and only 20 per cent conduct on-site audits—a figure that has remained stagnant for four years. Only two per cent of companies provide an external grievance mechanism that workers deeper in the supply chain can access to report human rights violations.
This data deficit also impacts the efficacy of artificial intelligence integration. The companion EcoVadis Barometer 2026 report indicates that whilst 68 per cent of corporate procurement departments have deployed AI tools—primarily for carbon data validation—the underlying supply base cannot support them. Thirty per cent of suppliers provide no carbon data at all, and 26 per cent provide only aggregated estimates.
Sylvain Guyoton, Chief Rating Officer at EcoVadis, noted that organisations have developed sophisticated analytical tools, but suppliers frequently lack the data or the capability to report it in a compatible format. He stated that software alone cannot bridge this gap, as the measurement issue resides within the supply base itself and requires sustained engagement through structured assessment and documented follow-through.
The index suggests that continuous assessment yields improvement. Companies undergoing multiple EcoVadis ratings outperformed first-time participants by an average of 12 points, scoring 63.2 compared to 51.5. EcoVadis concluded that treating supplier engagement as a continuous process rather than a static compliance exercise allows businesses to effectively verify sustainability practices up the chain.
