Nature

Why It Matters

Natural ecosystems are declining at an unprecedented rate.^{11 Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services (IPBES), Global Assessment Report on Biodiversity and Ecosystem Services, 2019} Our industry both depends on and affects these ecosystems. Cotton, regenerated cellulosics,^{22 Regenerated cellulosic materials, or man-made cellulosic fibers (MMCFs), are regenerated fibers typically made from dissolved wood pulp (cellulose) derived from trees. Common types include lyocell, modal, and rayon/viscose.} and other nature-derived materials, as well as the water and chemicals used in processing and manufacturing, contribute to pressures on climate, water, land, biodiversity, and human health.

What We’re Doing

We completed a nature impact assessment informed by global frameworks to help identify potential impacts within our supply chain and shape our nature approach. The assessment confirmed three priority areas, and we are developing an integrated approach focused on those priorities: nature-derived materials, water, and chemicals management. These are interdependent and link to our climate, circular innovation, and wellbeing^{33 We define wellbeing as a lifetime practice of three interconnected elements—physical, social, and mental wellbeing.} strategies. As we continue to develop our nature strategy, we are working to build a clearer picture of where we have the greatest impacts on nature.

We are focusing our efforts on procuring preferred materials^{44 We consider materials to be preferred when their production processes have the potential to minimize impacts on areas like climate, nature, or communities, compared to the conventional equivalents, and/or when they align with independent third-party certifications, schemes, or standards. Where applicable, we use the Textile Exchange 2026 Preferred Production Systems guidance to inform the continued development of our framework for evaluating materials. Please see the 2025 Impact Report for details on what preferred materials may include.} to manage Tier 4^{55 Supplier facilities, farms, and forests that provide raw materials (e.g., farming of cotton).} risks related to land-use change, deforestation, and ecosystem degradation. Our water and chemistry initiatives are primarily focused on Tier 1 and Tier 2 suppliers that use large amounts of water.^{66 Tier 1: Supplier facilities that manufacture and provide final products. Tier 2: Supplier facilities that produce and finish materials for Tier 1 suppliers.} We aim to prioritize water efficiency and water recycling to manage overall freshwater^{77 Naturally occurring water that has a low concentration of dissolved salts, including rainwater collected from reservoirs or supplier facilities, river water, ground water, or municipal water that is clean to use.} use, and draw from ZDHC's programs, guidelines, and conformance processes to address water pollution, wastewater, and chemical management.

Nature-Derived Materials

Nature-derived materials in our product materials portfolio include cotton, forest-based materials (natural rubber and regenerated cellulosic materials such as lyocell, modal, and rayon/viscose), and animal-derived materials. Our packaging portfolio^{88 This includes primary packaging (e.g., hangtags, retail bags, gift boxes), secondary packaging (e.g., e-commerce satchels and cartons), and select tertiary packaging (e.g., transport boxes, stretch wrap).} includes paper-based materials (e.g., hangtags, retail bags, gift boxes, e-commerce satchels, transport boxes). We do not use animal-based leather in our products.

To address environmental impacts, we use certifications such as Forest Stewardship Council® FSC® for natural rubber used in our yoga mats, and source regenerated cellulosic materials from suppliers assessed through Canopy's Hot Button Report. Together, these help verify the adoption and impact of preferred materials in our products. We also continue to explore new certification programs as they emerge, and evolve our traceability strategy to gain better insights into raw material sourcing and related impacts and risks.

Water

As part of our nature approach, we engage with our suppliers on water quality and efficiency initiatives informed by our work and by internationally recognized tools and guidance. This approach prioritizes suppliers where we have the most influence, including those with higher production volumes, proximity to high-risk water basins, and alignment with our sourcing strategy.

We continue to focus on understanding the water footprint of lululemon products across the supply chain, engaging suppliers to improve the reliability of their water data and support ongoing improvements. We also work with our priority wet process suppliers to review water data and support freshwater reduction efforts.

Microfibers

We continue to engage with industry associations, including The Microfibre Consortium (TMC) and ZDHC Foundation,^{99ZDHC is a multi-stakeholder organization for the fashion industry, aimed at eliminating harmful chemicals from the global supply chain through Roadmap to Zero, its implementation program.} to advance our understanding of the root causes of microfiber release and potential measures to mitigate release to the environment, helping us stay aligned with evolving science and best practices.

Chemistry

Our chemicals management program focuses on improving chemical use throughout the supply chain, which includes identifying, managing, and phasing out chemicals of concern. Suppliers that use chemicals in production are responsible for complying with the lululemon Restricted Substances List (RSL), which is based on worldwide regulatory standards, and the Apparel and Footwear International RSL Management (AFIRM) Group RSL.

The lululemon RSL is regularly monitored and updated to incorporate changes in evolving manufacturing chemistry, government regulations, industry best practices, and scientific knowledge.

We also work with our suppliers to support implementation and improve conformance with the ZDHC Manufacturing Restricted Substance List (MRSL) and ZDHC Wastewater & Sludge Guidelines.

Restricted Substances List