New report sees corporate climate risk tripling by 2050
Axios2 days
Report: Climate Risks Threaten $1.14T in Corporate Value
Above: Commuters in cycle rickshaws wade through a flooded street after heavy rains in Guwahati, India, on April 28, 2025. Image copyright: David Talukdar/NurPhoto/Contributor via Getty Images
The Spin
Narrative A
Climate adaptation and resilience investments offer unique opportunities for corporations to capitalize on the growing demand for clean energy solutions. Many businesses could abate 10% to 60% of carbon emissions at little to no cost through efficiency measures, renewable power, and electrification. Climate leaders can unlock competitive advantages by tapping into the expanding $14 trillion market for green technologies, which is growing at 10-20% annually.
Narrative B
Markets tend to price risk at the corporate level, yet climate vulnerabilities manifest where assets are located, not just where companies are domiciled. Rising exposure to both direct and indirect climate risks threatens the long-term viability of investments. The interconnected nature of modern corporate operations, supply chains, and investment networks means disruption in the most exposed jurisdictions will have major impacts worldwide, with costs that can't be easily mitigated.