Greenwashing

Greenwashing is the practice of making misleading, exaggerated or unsubstantiated environmental or sustainability claims to create the impression that a company, product or service is more environmentally friendly than it actually is. Greenwashing can take many forms, including the use of vague wording, selective disclosure of positive information, misleading labels or certifications, or highlighting minor environmental benefits while ignoring a much greater environmental impact.

As consumers and regulators increasingly demand transparency, misleading sustainability claims face growing legal scrutiny. In the European Union, companies must ensure that environmental claims are clear, accurate and supported by evidence, while misleading or unsubstantiated claims may violate consumer protection and advertising laws.

Example
A cosmetics company launches a new skincare range marketed as "natural" and "eco-friendly." The advertising features images of forests, flowers and green landscapes, while the packaging uses earthy colours and sustainability-focused messaging.

However, only a small proportion of the ingredients are naturally sourced, the products still contain environmentally harmful substances, and the plastic packaging is not recyclable. The company also provides no evidence to substantiate its environmental claims.

This is an example of greenwashing because the marketing creates a stronger impression of sustainability than the available evidence supports.