Samsung Electronics
One of the best known brands on the planet, Samsung is a South Korean multinational corporation that manufactures electronic devices such as smartphones and TVs, and electronic parts such as display panels and semiconductors. In 2021, Samsung had a revenue USD 244.4 bn, with foreign sales accounting for more than 80% of the company’s total revenue.
Samsung Electronics consumes a tremendous amount of electricity to produce its products, both domestically and abroad in manufacturing hubs such as Vietnam. Furthermore, as the largest corporation in South Korea, Samsung plays a prominent role in the national economy and influences private sector responses to climate change.
Campaign Launch, November 2021
Our campaign to get Samsung Electronics to publicly commit to 100% renewable energy worldwide focused on mobilizing Action Speaks Louder supporters through signing our petition and emailing Samsung executives. Over 14,000 emails were sent to Samsung executives asking the company to commit to a firm and ambitious date for going 100% renewable.
COP26 in Glasgow, Scotland
Alongside our allies at Solutions for Our Climate, we caught the attention of the world’s media with a parody of the hit show Squid Game, sending a clear message to company executives: give the green light to solar and wind power.
Problem
Samsung Electronics’ major production and manufacturing hubs are in South Korea and Vietnam, where the majority of electricity powering these sites comes from coal and gas. Despite the company having a target of using 100% renewable energy, these two markets were notably not covered. In contrast, Apple, TSMC, and Korean chipmaker SK Hynix have publicly pledged to 100% renewable energy worldwide.
Samsung asserts that it is “on a journey to a sustainable future,” yet its reliance on energy from coal and gas undermine its progress.
The company’s demand for electricity is immense — Greenpeace estimated that in 2019, Samsung Electronics’ electricity consumption was equivalent to the needs of more than 4 million South Korean households. This amount is far more than the annual electricity generated by solar and wind farms in South Korea combined.
As reported by the Financial Times, analysts and investors are warning that “Samsung’s reluctance to match its competitors’ pledges poses ‘systemic risks’ to its future with customers and governments increasingly demanding low-carbon supply chains.”
Solution
Samsung Electronics should publicly commit to using 100% renewable energy across its global supply chain, inclusive of South Korea and Vietnam operations.
In addition, as the largest consumer of electricity in South Korea, Samsung Electronics should advocate for policies to spur the expansion and uptake of wind and solar, both to help meet its energy demands and to bring renewable energy development in South Korea in line with its peers.
According to Ember’s 2022 Global Electricity Review, just 4.7% of South Korea’s energy in 2021 was generated from wind and solar farms. Not only is this less than half of the global average (10%) but it also demonstrates how South Korea is far behind other Asian G20 countries, with Japan, China, and India having proportions of 10.2%, 11.2% and 8.5% respectively.
Campaign Outcome
In response to pressure from consumers and investors, Samsung announced that it would join RE100 in September 2022.
RE100 is a global initiative of the world’s most influential businesses committed to 100% renewable electricity. In doing so, Samsung joined its global peers including Apple, TSMC, and Intel, as an RE100 member.
Actions
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Read about it in the media
‘Squid Game’ guards urge Samsung to go renewable
