JPMorganChase has chosen to exit the Net-Zero Banking Alliance, ESG Today has confirmed, marking the latest in a rapid-fire series of departures from the UN-backed coalition of banks dedicated to advancing global net zero goals through their financing activities.

The departure makes JPMorgan the last large-scale U.S.-based bank to leave the NZBA, following the exit over the past few weeks of Citi, BofA, Morgan Stanley,  Goldman Sachs and Wells Fargo. Following the departure of JPMorgan, the only remaining U.S. banks listed on the NZBA website are Amalgamated Bank, Areti Bank, and Climate First Bank.

In a statement provided to ESG Today, a JPMorganChase spokesperson said:

“JPMC is ending our membership in the Net Zero Banking Alliance (NZBA). We will continue to work independently to advance the interests of our Firm, our shareholders and our clients and remain focused on pragmatic solutions to help further low-carbon technologies while advancing energy security. We will also continue to support the banking and investment needs of our clients who are engaged in energy transition and in decarbonizing different sectors of the economy.”

JPMorgan joined the NZBA in October 2021, shortly after the launch of the alliance. Members of the NZBA commit to transitioning operational and attributable greenhouse gas (GHG) emissions from their financing activities to align with net zero pathways by 2050, and to set 2030 financed emissions targets, initially focused on key emissions intensive sectors.

After rapidly expanding from 43 banks at launch to over 140 banks representing $74 trillion in 2024, members of the group have come under significant pressure, particularly from Republican politicians in the U.S., who have been warning financial institutions including banks, insurers, asset owners and investors of potential legal violations from their participation in climate-focused alliances and of plans to exclude the companies from state business, as part of a broader anti-ESG political campaign.

The NZBA formed part of the Glasgow Financial Alliance for Net Zero (GFANZ), a UN-backed umbrella group of net zero-focused financial sector coalitions, including the Net Zero Asset Managers initiative (NZAM), Net Zero Asset Owner Alliance (NZAOA), Net Zero Financial Service Providers Alliance (NZFSPA), the Net Zero Investment Consultants Initiative (NZICI), the Paris Aligned Asset Owners (PAAO), the Venture Climate Alliance (VCA), and the Net-Zero Export Credit Agencies Alliance (NZECA).

GFANZ announced a major restructuring and repositioning earlier this month, including a shift in focus towards enabling the mass mobilization of capital to support the low carbon transition, and opening participation widely even to firms not participating in the net zero coalitions.

JPMorgan announced a commitment in October 2020 to align its financing activities with the goals of Paris Agreement, and to help clients navigate the challenges and capitalize on the long-term economic and environmental benefits of transitioning to a low-carbon world. Since joining the NZBA, the firm has set interim, net zero-aligned financed emissions reduction targets for eight sectors, including Oil & Gas, Electric Power, Auto Manufacturing, Aviation, Shipping, Iron & Steel, Cement and Aluminum. The targets remain in place on the company’s website.

The bank’s statement added that the firm plans to continue engaging with GFANZ and other groups, “to advance pragmatic solutions and market conditions that can help further a low-carbon and energy-secure future.”