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01 Jun 2020 IKEA and Ellen MacArthur Foundation enter strategic partnership to accelerate the circular economy transition

IKEA is committed to becoming a circular business by 2030. The Ellen MacArthur Foundation is a global thought leader on the circular economy. The strategic partnership announced by Inter IKEA Group and Ellen MacArthur Foundation today will focus on putting the home furnishing business on the global circular map and accelerating the transition to a circular economy within IKEA and beyond. The shared ambition is to create lasting impact on a global scale and drive transformation towards a circular society.“To become circular is one of our big ambitions and challenges for the future. It is a transformational shift for our entire business. Our goal is to give products and materials a longer life through reuse, refurbishment, remanufacturing, and, as a last option, recycling. We believe this requires leadership and collaboration. We are very happy to work with the Ellen MacArthur Foundation to both advance our own transition and to make the circular economy a central part of the home furnishing industry. One of our first projects together will be to develop a global common dictionary on circular economy that can support an industry-wide transition”, says Lena Pripp-Kovac, Chief Sustainability Officer, Inter IKEA Group.Already today, IKEA has made progress towards becoming a circular business; the first refurbishment tests took place in FY19. Sofas were refurbished and resold, providing knowledge for future scaling potential. IKEA is also exploring services enabling customers to acquire, care for and pass on products in circular ways. IKEA has developed circular product design principles for the development of all products, with the ambition to only use renewable and recycled materials by 2030. Today, more than 60% of the IKEA product range is based on renewable materials, like wood and cotton, and more than 10% contains recycled materials. By the end of FY19, the overall share of polyester in textile products being recycled reached 59%. rPET is used in products including rugs, curtains, roller blinds, bedding, pillows, quilts, sofa cover, as well as storage boxes and bags. “We are delighted to partner with IKEA, who share our belief that through the circular economy, businesses can play a vital role in meeting many of the challenges we face today, such as climate change, waste and pollution. The circular economy empowers businesses to rethink how they create value, in ways that benefit the environment, society, and the economy. This is an exciting opportunity to help transform an industry that is not only a significant part of the global economy, but has such a strong, personal connection to individuals and communities around the world”, said Andrew Morlet, CEO at the Ellen MacArthur Foundation.Through this partnership IKEA and the Ellen MacArthur Foundation will be:Developing global definitions which are key to enable a circular economy that are fact-based, transparent and easy to understand and follow-upAdvocating for circular design and inspiring a new generation of designersImpacting legislation to accelerate the transition to a circular economyPromoting circular offers to our customers and inspiring new behaviours *IKEA has already a history of collaborating with Ellen MacArthur through the IKEA franchisee Ingka Group. Inter IKEA Group is now entering a strategic partnership with the Ellen MacArthur Foundation which will increase the ambition of the partnership and benefit businesses across the IKEA franchise system and value chain. About IKEAIKEA offers well-designed, functional and affordable, high-quality home furnishing, produced with care for people and the environment. There are several companies with different owners, working under the IKEA Brand, all sharing the same vision: to create a better everyday life for the many people. IKEA was founded in Sweden in 1943.Inter IKEA GroupThe core business within Inter IKEA Group are franchising, range, supply and industry. Inter IKEA Systems B.V. is the owner of the IKEA Concept and the worldwide IKEA franchisor, that also assigns different IKEA companies to develop range, supply and communication. These assignments are carried out by IKEA of Sweden AB, IKEA Supply AG, IKEA Food Services AB and IKEA Communications AB.  About the Ellen MacArthur FoundationThe Ellen MacArthur Foundation was launched in 2010 with the aim of accelerating the transition to the circular economy. Since its creation, the charity has emerged as a global thought leader, putting the circular economy on the agenda of decision-makers around the world. The charity’s work focuses on seven key areas: insight and analysis; business; institutions, governments, and cities; systemic initiatives; circular design; learning; and communications.Further information: www.ellenmacarthurfoundation.org | @circulareconomy

28 May 2020 Konrad Grüss becomes new Managing Director of Inter IKEA Systems B.V.

Today Inter IKEA Systems B.V. announces Konrad Grüss will become its new Managing Director. Konrad will start his new role as per 1 June 2020. He succeeds Jon Abrahamson Ring, who will become CEO of Inter IKEA Group as per 1 September.Inter IKEA Systems B.V. is the owner of the IKEA Concept and worldwide IKEA franchisor. Konrad Grüss is its Global IKEA Expansion Manager, and he has been acting manager for the franchise business since February 2020.“I am happy that Konrad has accepted the role as Managing Director for Inter IKEA Systems. He brings a wealth of experience, expertise and knowledge of the IKEA business and franchise system to this role. He has a great ability to connect people and business, and he has a genuine passion to continue to develop the role of IKEA franchisor”, says Jon Abrahamsson, Deputy CEO, Inter IKEA Group.Konrad has rich experience from throughout the IKEA franchise system. He started his career in the IKEA store in Leipzig in 1994 and later served as Business Leader for Kitchens in IKEA of Sweden and as Deputy Retail Manager in Russia. He joined Inter IKEA Systems in 2015, where he has held various management roles.Konrad most recently served as Global IKEA Expansion Manager. Under his leadership the IKEA franchise system expanded to include more than 50 markets.  Inter IKEA Systems also on-boarded Falabella – a new IKEA franchisee – which will bring IKEA products to South America for the first time.“I am very humbled and honoured to get the trust to lead the global IKEA franchisor and build on the strategies that we have developed over the past few years. I look forward to working together with IKEA franchisees, the different IKEA companies and core businesses to build an even stronger global franchise that is able to improve the lives of the many people, wherever they are,” says Konrad.In his new role, Konrad will be responsible to lead the development of the IKEA Concept and ensure its successful implementation in existing and new markets. Building on established strategies and recent achievements, he will focus on further clarifying the role of the global franchisor, simplifying Inter IKEA Systems operations and strengthening collaborations across the IKEA network based on its strong culture and values.Konrad’s successor as Expansion Manager will be announced within the nearest future.

19 May 2020 Climate action: IKEA signs “Uniting business and governments to recover better”

In light of COVID-19, IKEA joins forces with 155 businesses by signing the UN-backed statement* “Uniting business and governments to recover better”. In the climate advocacy effort, businesses urge governments for a net-zero recovery from COVID-19 and ambitious climate actions. The letter puts focus on the close connection between the transition to a resilient, zero carbon economy and a positive recovery.The statement is part of the Science Based Targets initiative and its Business Ambition for 1.5°C campaign.”Even if the pandemic calls for urgent measures it is more important than ever to not lose sight of long-term commitments”, says Torbjörn Lööf, CEO of Inter IKEA Group. “Now is also the time to lay the groundwork for a positive recovery which is good for people, society and the planet. A more modern, inclusive and circular economy built on renewable energy is the way forward and collaboration is more important than ever.”The letter states, “we must move beyond business-as-usual and work together in solidarity to deliver the greatest impact for people, prosperity and the planet”. Key points include the need to base work on the best available climate science, push for investments which support the transformation to a green and socially inclusive economy and the scaling up this movement to reach critical mass.IKEA remains committed to becoming climate positive and circular by 2030, reducing more greenhouse gas emissions than the total IKEA value chain emits, while growing the IKEA business. To reach the climate goals the IKEA business will:Strive for 100% renewable energy in all IKEA operations and enabling our suppliers and customers to do the sameInnovate and use more sustainable materials and food ingredients, e.g. plant-based food, 100% recycled or renewable materials, and moreTransform into a circular business by developing circular products and services and promote longer and more efficient product and material useStore carbon in land, plants & products by investing and improving management practices and responsible sourcing standards for forestry and agricultureIKEA will continue to support initiatives which demonstrates leadership and pushes for bold action. The long-term economic recovery packages will set the strategic direction of the global economy for years to come. IKEA urges policymakers to specifically consider some areas, including:Higher ambition for 2030 reduction target, all countries need to step up their efforts to limit global temperature increase to 1.5°C, making it easy for companies to make their contribution.Supporting poor and vulnerable communities who are the hardest hit by climate change, with a focus on climate adaptation and resilience to alleviate poverty and ensure food securityThe importance of electrification and sustainable biofuels, with focus on electrifying current use of fuels and using scarce biofuels only where needed *The ‘Recover Better’ statement has been convened by the Science Based Targets initiative (SBTi) and its Business Ambition for 1.5°C campaign partners, the UN Global Compact and the We Mean Business coalition. The SBTi, which is a collaboration between CDP, the UN Global Compact, World Resources Institute and WWF, independently assesses and validates corporate climate targets against the latest climate science.

14 Apr 2020 IKEA Signs Call to Action on European Green Recovery

Inter IKEA Group joined an alliance of over 180 political decision-makers, business leaders, trade unions, NGOs and think tanks in calling for a renewed commitment by all stakeholders on long-term climate change initiatives while at the same time addressing the urgent COVID-19 pandemic. The COVID-19 pandemic has brought unprecedented challenges to people and business around the globe. IKEA is striving to make fast and safe decisions to mitigate the impact on the business and the people depending on it. At the same time, IKEA remains absolutely committed to becoming climate positive and circular by 2030, reducing more greenhouse gas emissions than the total IKEA value chain emits while growing the IKEA business.“Even if the outbreak of the COVID-19 virus calls for urgent measures to mitigate the effects on people and business, we will not lose sight of our long-term goals. We will continue to be long-term in everything we do and remain committed to our ambitious sustainability goals for 2030. This is not an “either/or” situation, the challenging situation today makes us even more determined to accelerate our efforts to tackle climate change,” says Torbjörn Lööf, CEO of Inter IKEA Group.By signing this declaration, IKEA has demonstrated the commitment to continue to share knowledge and experience to help accelerate the transition toward a green economy in the wake of the coronavirus crisis. IKEA also aims to be a progressive industry leader in partnership with the EU throughout the Green Deal process.IKEA see the Green Deal as an opportunity for enabling action to help IKEA meet its own ambitious goals. While facing the impact of the coronavirus head-on, IKEA will continue to share knowledge, examples and experience with lawmakers and participate actively in the Green Deal discussion for new policy and regulatory initiatives.More information on the Launch of the European alliance for a Green Recovery