KOTI - Korea Transport institute

1. Research Overview

As Environmental, Social, and Governance (ESG) adoption continues to expand in all industries, the logistics industry, which is characterized by high energy consumption and labor intensity, must actively engage in ESG implementation and response strategies. ESG has become an essential component of global investment decision-making. Consequently, companies are now required to go beyond mere economic profits and consider sustainable development and social responsibility.

The concept of ESG originated in the 1987 report Our Common Future by the United Nations Environment Programme (UNEP) and the World Commission on Environment and Development (WCED). It was officially articulated in a 2004 report by the UN Global Compact. Since then, the United Nations has emphasized the significance of ESG in the Principles for Responsible Investment (PRI) and the Sustainable Development Goals (SDGs). Additionally, the Task Force on Climate-related Financial Disclosures (TCFD) has provided frameworks for managing corporate risks related to climate change.

Today, ESG has become a vital element in modern business management and investment practices. A company’s ESG performance is a key indicator of its sustainability and long-term growth potential. ESG management is now a necessary response to environmental changes and evolving social demands. With increasing expectations from investors and consumers alike, the importance of ESG is growing steadily.

Global credit rating agencies now incorporate ESG factors into their credit assessments, and institutional investors consider ESG performance in their investment decisions. Consumers are also placing greater importance on ESG practices when making purchasing decisions, and a significant number deliberately avoid products from companies that lack ESG commitments. Major global asset management firms and credit rating agencies have integrated sustainability assessments into their investment decision processes. Neglecting ESG can negatively affect a company's valuation and result in increased financial costs.

Furthermore, as government carbon neutrality policies and international ESG regulations continue to tighten, ESG considerations have become indispensable in all corporate activities. The logistics industry in particular faces substantial risks, both direct and indirect, if it fails to adequately prepare for ESG implementation. ESG management is no longer optional; it is a mandatory strategic requirement. Given the increasingly stringent global regulatory environment, this study aims to analyze the current status of ESG implementation in Korea’s logistics industry and propose necessary government policy support measures in response to the evolving ESG management environment.

[ Contents ]

1. Research Overview

2.Current Status of Domestic and International ESG Regulations

2-A. Overview of Domestic and International ESG Regulations

2-B. Domestic and International ESG Disclosure Standards

3. Necessity of ESG Implementation in the Logistics Industry

4. ESG Management Practices of Major Logistics Companies

4-A. ESG Management Practices of Major Domestic Logistics Companies

4-B. ESG Management Practices of Major Global Logistics Companies

5. Analysis of ESG Impact and Priority

5-A. Analysis of the Impact of ESG Activities on the Logistics Industry

5-B. Analysis of ESG Activity Priorities

6. Legal and Institutional Improvement Measures for ESG in the Logistics Industry

6-A. Establishment of ESG Performance Indicator Guidelines

6-B. Development of Phased ESG Policies

6-C. Legal and Institutional Improvements Related to ESG in the Logistics Industry