New IEHN Guidance Helps Beauty, Retail, and Personal Care Leaders Protect Value and Accelerate Safer Ingredient Innovation
July 15, 2025 Somerville, MA—New investor-led guidance released today by Clean Production Action’s Investor Environmental Health Network (IEHN) offers a powerful roadmap for consumer-facing brands to reduce chemical risks and unlock long-term value through safer ingredient innovation. Grounded in more than 60 shareholder resolution narratives, the guidance arrives amid heightened concern over chemicals like PFAS, phthalates, and BPA, which are now tied to significant reputational, legal, and market risks.
“Hazardous chemicals are disrupting brand trust and shareholder value—but they also offer a clear signal: it’s time to invest in safer solutions,” said Alexandra McPherson, IEHN Director at Clean Production Action. “This guidance equips companies with a modern playbook to strengthen resilience and stay ahead of growing market and regulatory demands.”
The IEHN recommendations outline three key strategies for risk reduction and long-term value creation:
- Conducting full chemical hazard inventories and disclosing chemical footprints;
- Adopting hazard-based chemical management policies with time-bound goals;
- Investing in safer alternatives and incentivizing suppliers to do the same.
Consumer-facing sectors—including beauty, personal care, and retail—are particularly exposed. A recent UBS analysis estimates PFAS-related liabilities could impact up to $30 trillion in market capitalization. Meanwhile, litigation is rapidly mounting and regulations are tightening globally.
“Safer chemical management is no longer optional—it’s material to financial performance,” said Caroline Boden, Director of Shareholder Advocacy at Mercy Investment Services. “Investors are watching how companies handle these risks. Those that lead on safer chemistry will be best positioned to protect and grow value in the long term.”
Some brands are already leading the way. Industry giants like Sephora, Ulta, Apple, and Target have adopted strong chemical management policies, transparency initiatives, and third-party certifications. These include Clean Production Action’s GreenScreen® and Chemical Footprint Project, as well as ChemFORWARD’s Ingredient Intelligence Reports and SAFER™ Verified program for trade name chemicals. Yet despite this progress, most of the market still lags behind.
Please IEHN’s full guidance: Safer Chemical Management Recommendations for Consumer-Facing brands and accompanying resource guide: Resources and Best Practices report for more details. The report includes best practices, milestones, and tools to help companies reduce chemical-related risks and meet growing investor expectations.
About Investor Environmental Health Network (IEHN)
IEHN is a membership-based, investor collaborative that promotes the use of safer chemicals to enhance shareholder value, public health, and the environment. IEHN recognizes that a company’s brand reputation, public trust, and market share are linked to the environmental and human health risks and safety of its products. Through direct corporate engagement IEHN members advance solutions and strategies to transform business practices. IEHN is a program of Clean Production Action.
About Clean Production Action
Clean Production Action is an independent, non-profit organization based in the United States. Our mission is to design and deliver strategic solutions for green chemicals, sustainable materials, and environmentally preferable products. Along with IEHN, our core programs are: GreenScreen® for Safer Chemicals, BizNGO, and the Chemical Footprint Project.