Sustainability leaders and executives are navigating an increasingly polarized political environment in 2026, where ESG-related issues face increasing scrutiny. While the acronym had already had its detractors under the previous administration, current leadership in the White House has sent a clear signal that ESG-focused objectives and initiatives are not a priority.

Since assuming his second term, President Donald Trump has pulled the U.S. out of several landmark climate organizations and treaties — including a second exit from the Paris Agreement — paused all wind power development and suspended funding disbursements for Biden-era climate programs. Trump also signed an executive order last year targeting state climate, emissions and ESG policies and directed U.S. Attorney General Pam Bondi to “take all appropriate action” to stop their enforcement.

Additionally, several federal agencies, like the Securities and Exchange Commission, have taken steps to undo Biden-era climate-focused regulations and rulemaking.

These moves have prompted companies and businesses to rethink how they promote or talk about their decarbonization and net-zero goals, in a bid to avoid potential scrutiny. But, at the same time, companies are also contemplating how they will comply with a growing number of climate-related disclosure requirements bubbling up on home territory and abroad.

ESG Dive has rounded up some expert insights on the top trends and developments driving the sustainability space in 2026.