Baxter Unveils 2025 Sustainability Report, Introducing Refreshed Strategy and New Long-Term ESG Targets
Baxter International, a global leader in medical technology, has released its newly renamed 2025 Sustainability Report, outlining the company’s progress in environmental, social and governance (ESG) initiatives while introducing a refreshed sustainability framework designed to support long-term value creation. The report underscores Baxter’s commitment to operating responsibly, strengthening healthcare systems, and delivering meaningful impact for patients, employees, communities and stakeholders worldwide.
The latest report reflects a pivotal period for the company as it continues to shape its next phase of growth. Alongside documenting accomplishments achieved throughout 2025, Baxter also unveiled a revised sustainability strategy that aligns with its broader business transformation efforts and focuses on addressing emerging healthcare and environmental challenges.
Commitment to Patients and Long-Term Value Creation
According to Andrew Hider, president and chief executive officer of Baxter, sustainability remains deeply connected to the company’s mission and future growth strategy.
“As we shape Baxter’s next chapter, our focus remains clear: making a meaningful difference for patients, customers and communities while working to create long-term value for all stakeholders,” Hider said.
He emphasized that the progress documented in the report is driven by the commitment of Baxter employees around the world, whose work supports the company’s longstanding mission to “Save and Sustain Lives.”
Their dedication, he noted, continues to strengthen Baxter’s ability to deliver healthcare innovations while creating enduring value for customers and communities.
Progress Across Key Sustainability Priorities
During 2025, Baxter made notable advancements across several strategic areas aimed at improving patient outcomes, increasing operational efficiency, promoting environmental stewardship and fostering employee well-being.
The report highlights initiatives focused on:
- Enhancing collaboration with healthcare providers and partners to improve patient care.
- Increasing operational excellence and resource efficiency.
- Reducing environmental impacts throughout operations.
- Strengthening workplace safety and employee wellness programs.
- Expanding community investment and philanthropic efforts.
These initiatives demonstrate Baxter’s commitment to integrating sustainability into core business operations rather than treating it as a separate corporate responsibility function.
Continued Investment in Communities Worldwide
Community support remained a major component of Baxter’s social impact strategy throughout 2025.
Together with the Baxter Foundation, the company contributed more than $32 million through a combination of:
- Strategic partnerships.
- Product donations.
- Employee matching gift programs.
- Charitable contributions.
- Humanitarian initiatives.
These investments supported healthcare access, education, disaster response and programs benefiting underserved populations around the world.
Baxter’s philanthropic efforts are intended to strengthen healthcare systems while addressing broader social challenges that affect health outcomes in vulnerable communities.
Building on Three Decades of Environmental Reporting
The release of the 2025 Sustainability Report also marks another milestone in Baxter’s long history of sustainability disclosure.
The company has maintained environmental reporting practices for more than 30 years, demonstrating a longstanding commitment to transparency and accountability.
As healthcare systems worldwide face increasing pressure from climate change, supply chain disruptions and growing patient needs, Baxter recognized the need to evolve its sustainability framework to address both present and future challenges.
This led to the development of a revised strategy designed to create greater resilience and measurable impact.
Strengthening Sustainability Governance
A significant development during 2025 was the enhancement of Baxter’s sustainability governance structure.
Aligned with the company’s Growth and Performance System (GPS), introduced in 2025, Baxter established its first-ever Chief Sustainability Officer (CSO) position and created a dedicated sustainability team.
These changes were designed to:
- Improve coordination across business units.
- Strengthen accountability.
- Accelerate implementation of sustainability initiatives.
- Integrate ESG priorities into decision-making processes.
- Enhance long-term value creation.
The new governance framework reflects Baxter’s belief that sustainability must be embedded across the entire enterprise rather than managed in isolated functions.
Appointment of the Company’s First Chief Sustainability Officer
The appointment of Renae Kezar as Baxter’s first Chief Sustainability Officer represents a key milestone in the company’s sustainability journey.
Since joining the organization, Kezar has focused on strengthening the company’s approach to responsible business practices and ensuring sustainability supports healthcare resilience.
According to Kezar, the company’s culture of collaboration and patient-centered innovation provides a strong foundation for future sustainability efforts.
“When I joined Baxter as its first chief sustainability officer, I saw firsthand a culture grounded in care, collaboration and an unwavering commitment to patients,” she said.
Kezar emphasized that sustainability plays a critical role in ensuring safe and dependable healthcare delivery while helping communities adapt to global challenges.
“Our sustainability strategy is designed to help ensure safe, reliable care while addressing the challenges facing healthcare and communities globally,” she added.
Double Materiality Assessment Guides Strategy Refresh
Baxter’s updated sustainability framework was informed by a comprehensive double materiality assessment.
This assessment examined both:
- How environmental and social issues impact Baxter’s business.
- How the company’s activities affect society and the environment.
Using these insights, Baxter redesigned its sustainability priorities and reporting approach to better address stakeholder expectations and future risks.
The result is a more forward-looking framework centered on long-term value creation.
Three Strategic Pillars Define the New Sustainability Framework
The revised sustainability strategy is organized around three major focus areas:
Deliver Sustainable Healthcare
Baxter aims to provide healthcare solutions that are safe, reliable and increasingly sustainable.
This includes:
- Improving product innovation.
- Enhancing supply chain resilience.
- Supporting efficient healthcare delivery.
- Reducing environmental impacts associated with products and operations.
The objective is to ensure patients and healthcare providers have access to dependable solutions while minimizing resource consumption.
Advance Climate and Resiliency
Climate change presents growing risks to healthcare systems and global supply chains.
Under this pillar, Baxter seeks to:
- Reduce greenhouse gas emissions.
- Expand renewable energy usage.
- Increase operational resilience.
- Support sustainable sourcing.
- Improve preparedness against climate-related disruptions.
These efforts are intended to strengthen the company’s ability to deliver products and services reliably while reducing its environmental footprint.
Champion People and Communities
Baxter also aims to foster a culture that supports employees and communities worldwide.
Key priorities include:
- Employee safety and well-being.
- Diversity and inclusion.
- Volunteerism and community engagement.
- Investments in underserved populations.
- Philanthropic partnerships.
The company views strong communities and healthy workplaces as essential components of sustainable business performance.
New Targets Replace Previous 2030 Commitments
As part of the refreshed strategy, Baxter introduced a new set of measurable goals designed to replace previously established 2030 commitments.
These targets provide a roadmap for future progress and demonstrate the company’s intention to align with internationally recognized sustainability standards.
Achieving Net-Zero Emissions by 2050
Baxter announced a goal of reaching net-zero greenhouse gas emissions across Scope 1 and Scope 2 operations by 2050.
The target is aligned with science-based pathways intended to limit global warming to 1.5 degrees Celsius.
This objective reflects the company’s commitment to contributing to international climate efforts while strengthening operational resilience.
Transition to 100% Renewable Electricity by 2040
Another major environmental goal involves powering operations with entirely renewable electricity by 2040.
The transition is expected to:
- Reduce carbon emissions.
- Improve energy efficiency.
- Enhance sustainability across manufacturing and operations.
- Support global decarbonization efforts.
Renewable energy adoption will play a critical role in helping the company meet its long-term climate ambitions.
Strengthening Supplier Engagement
Recognizing that sustainability extends beyond its own facilities, Baxter also introduced a supply chain target aimed at improving supplier participation in climate action.
By 2030, the company plans to ensure that 80% of spending within priority supplier categories involves suppliers that have established science-based targets.
This initiative is expected to:
- Encourage emissions reductions across the value chain.
- Improve supply chain resilience.
- Promote responsible sourcing practices.
- Drive broader sustainability adoption among business partners.
Expanding Volunteerism and Community Investment
Baxter also established a goal of reaching 100,000 employee volunteer hours by 2031, encouraging employees worldwide to contribute their skills and time to community causes.
This target complements the company’s previously announced commitment to invest $275 million by 2030 in underserved communities.
Together, these efforts reflect Baxter’s broader mission of improving health outcomes and strengthening communities beyond the healthcare setting.
Supporting the United Nations Sustainable Development Goals
Baxter’s sustainability strategy continues to align with the United Nations Sustainable Development Goals (SDGs).
Particular emphasis is placed on advancing:
- SDG 3: Good Health and Well-Being
- SDG 6: Clean Water and Sanitation
- SDG 12: Responsible Consumption and Production
- SDG 13: Climate Action
By aligning corporate priorities with these global objectives, Baxter aims to contribute to broader efforts addressing healthcare access, environmental stewardship and climate resilience.
Positioning Sustainability as a Driver of Future Growth
The 2025 Sustainability Report signals an important evolution in Baxter’s approach to responsible business practices.
With strengthened governance, a dedicated sustainability leadership team, ambitious climate targets and continued investments in communities, the company is positioning sustainability as a strategic driver of innovation and long-term growth.
As healthcare systems face increasingly complex challenges—from climate change and resource constraints to rising patient demands—Baxter’s renewed strategy seeks to ensure that the company remains resilient while continuing to fulfill its mission of saving and sustaining lives around the world.
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