Canadian Regulators Open ‘Greenwashing’ Inquiry Into Lululemon

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Canada’s competition watchdog has opened an inquiry into Lululemon following a “greenwashing” complaint that accuses the Vancouver-based yogawear purveyor of misleading consumers about its impact on the planet.

“Stand[.earth]’s complaint to the Competition Bureau has been accepted and has set off an official inquiry into Lululemon’s anti-competitive greenwashing practices,” said Todd Paglia, executive director at Stand.earth, the environmental nonprofit that charged Lululemon with “pouring gas on a burning planet” in February. “We are pleased that, through this investigation, the Competition Bureau will have the opportunity to ask Lululemon how it can claim to ‘Be Planet’ while creating more planet-harming emissions every year than half a million cars.”

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In a letter to Stand.earth counsel Harper Grey dated April 26, Josephine Palumbo, deputy commissioner of competition for the Competition Bureau’s deceptive marketing practices directorate, said that the commissioner of competition has “commenced an inquiry” that seeks to “determine the facts” relating to allegations that Lululemon has breached the Competition Act by making “false, misleading and/or unsubstantiated representations.”

Lululemon said that it’s aware of the review and is “committed to cooperating” on any next steps.

“We are confident that its review will confirm that the representations we make to the public are accurate and well-supported,” a spokesperson said. “‘Be Planet’ is a pillar of our impact agenda that outlines our vision, goals and targets which guide our actions and resource investments in helping to create a garment industry that is more sustainable and addresses the serious impacts of climate change. This work is far from complete.”

The asana-friendly retailer previously told Sourcing Journal that it is “focused on helping to create a garment industry that is more sustainable and addresses the serious impacts of climate change,” such as contributing $10 million to the Apparel Impact Institute’s Fashion Climate Fund to identify and scale solutions that “accelerate collective climate action.”

It’s also committed to its decarbonization plan, which includes making “tangible investments” to meet its 2030 climate goals “on the path” to being a net-zero company by 2050. So far, the Chip Wilson-founded firm has achieved its goal of 100 percent renewable electricity and a 60 percent absolute reduction of greenhouse emissions in its owned and operated facilities.