ESG POLICY & STRATEGY

ESG Policy & Strategy

The US Pushes Aside ESG, Markets Demand Data — Sustainable Management After the ESG Backlash

In 2026, ESG is unfolding as a simultaneous progression of regulatory rollbacks at the US federal level and growing demands for sustainability data from global capital markets. While the US sees the repeal of SEC climate disclosure rules, ESG fund outflows, and companies avoiding the term 'ESG,' climate targets and sustainability investments have not completely disappeared. On the other hand, regional disclosure regulations such as ISSB standards, IAASB assurance standards, and rules in the EU and California are institutionalizing sustainability information into comparable and verifiable data. South Korea is also pushing to mandate sustainability disclosures starting with large KOSPI-listed companies from 2028 through KSSB standards and a Financial Services Commission roadmap. Ultimately, core competitiveness after the ESG backlash lies not in how well one talks about ESG, but in how reliably one can prove climate, supply chain, and governance data.