NXP Semiconductors has significantly strengthened its sustainability strategy in 2025 by accelerating progress toward its net zero, greenhouse gas (GHG) emissions reduction and renewable energy goals while embedding environmental, social and governance (ESG) priorities into corporate leadership.
The company reaffirmed its ambition to achieve carbon neutrality for Scope 1 and Scope 2 emissions by 2035, supported by Science Based Targets initiative (SBTi)-validated goals to reduce Scope 1 and Scope 2 emissions by 35 percent by 2027 and 55 percent by 2030 from a 2021 baseline, alongside a 35 percent reduction in Scope 3 emissions by 2033 from a 2022 baseline, NXP sustainability report 2025 indicated.
NXP reported substantial progress toward these targets during 2025. The company reduced absolute Scope 1 and Scope 2 emissions by 47 percent compared with its 2021 baseline and by 12 percent year over year. Scope 3 emissions declined 54 percent versus the 2022 baseline and 11 percent compared with 2024. Scope 3 remained the largest contributor to the company’s carbon footprint, representing 93.1 percent of total emissions, while Scope 2 accounted for 4.7 percent and Scope 1 represented 2.3 percent.
“We expanded smart home capabilities that optimize energy use through our collaboration with Honeywell, using our i.MX 8M Plus applications processor to power autonomous building systems,” Rafael Sotomayor, President and CEO of NXP Semiconductors, said.
Renewable energy continued to play a central role in NXP’s decarbonization strategy. Renewable electricity usage across manufacturing operations increased to 47 percent in 2025, up 3 percentage points from 2024 and 16 percentage points above the 2021 baseline. The company remains on track to achieve its target of sourcing 50 percent renewable electricity by 2027 through renewable electricity procurement, Renewable Energy Certificates (RECs) and projects across manufacturing facilities in the Netherlands, Thailand, China and Malaysia.
NXP also exceeded its resource efficiency goals ahead of schedule. The company recycled 61 percent of wastewater, surpassing its 60 percent recycling target for 2027, while 94 percent of waste was recycled, exceeding its 90 percent target. During the year, NXP installed PFC-abatement equipment at four manufacturing sites, obtained limited assurance for Scope 1 and Scope 2 emissions, and published its inaugural Climate Transition Plan, providing a comprehensive roadmap for emissions reduction, governance and long-term climate resilience.
“Our sustainability mission — built on transparency and accountability — helps drive continuous improvement and positive change to help build a better world for tomorrow. Every accomplishment we achieved in 2025 is more than progress — it’s an ongoing promise that, together, we can create a legacy of lasting impact,” Jennifer Wuamett, Chief Sustainability Officer at NXP Semiconductors, said.
NXP has strengthened executive accountability by linking sustainability to executive compensation. Since 2022, the company has incorporated sustainability objectives into its Annual Incentive Plan, with 20 percent of the nonfinancial performance scorecard tied to sustainability-related metrics. These include emissions reduction, renewable energy, water efficiency, employee engagement, workforce diversity, retention and sustainability training, reinforcing ESG as an integral component of corporate performance rather than a standalone initiative.
Through enhanced governance, transparent reporting and measurable environmental targets, Jennifer Wuamett continues to position NXP for the next phase of sustainable growth. By combining strong executive oversight with ambitious climate commitments, renewable energy expansion and emissions reduction initiatives, NXP is strengthening stakeholder confidence while advancing its long-term vision of achieving carbon neutrality and creating lasting sustainable value.
SHAFANA FAZAL
