4.4.1.1 Material water resources-related impacts, risks and opportunities
| Description | Sub-topics | Policies | Action plans and 2030 objectives | |
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The Group's activities may have an impact on water availability at different levels of the value chain, potentially contributing to tensions over this resource, particularly in regions already subject to water stress. Upstream, the agricultural practices required to grow certain raw materials may put pressure on local water resources. The production phase of cosmetic products, which requires water at various stages, for example to rinse the processing tanks, must also be monitored. Lastly, the usage of products by consumers, particularly when rinsing off shampoos or shower gels, contributes to water consumption. |
Water Water withdrawal |
Responsible Water Use policy |
Preserving water resources at operated sites, with the objective of: 100% recycled and reused water in industrial processes in factories. |
 
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By promoting best water management practices, the Group can have a positive influence by improving industry applications – including among strategic suppliers, especially those with a potential impact on water resources – innovating to offer products that require less water and raising consumer awareness on ways of reducing water consumption when using beauty products. | EHS policy Sustainable purchasing policy |
Working with suppliers to use water responsibly |
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Water stress poses three financial risks for L'Oréal. The supply of raw materials may be affected by water shortages in some regions. Production site operations in areas of water stress are vulnerable to disruption. Lastly, demand for and sales of products whose everyday use requires water, such as shampoos, is likely to fall in regions affected by water shortages where local consumers may not be able to use them. | R&I policy |
Making beauty rituals possible despite water scarcity: offering consumers water-saving products and technologies in water-stressed markets |
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IRO: I- = negative impact; I+ = positive impact; R = risk; O: opportunity
Time horizon: ST = short term; MT = medium term; LT = long term.4.4.2 Water policies
Responsible water management is central among L’Oréal's priorities. The recently updated Responsible Water Use policy, published in 2025, forms the basis of its water management initiatives and recognises access to water as a fundamental human right and a critical issue at every stage in L’Oréal’s value chain. Using footprint, risk and dependency analyses, L’Oréal aims to achieve operational excellence in water management at operated sites, to engage suppliers and small producers in the upstream value chain in resource restoration programmes, and to respond to increasing constraints for consumers located in water-stressed areas downstream of its value chain. By contributing to the preservation of water resources, the aim is to ensure their sustainable and integrated management. Accordingly, L'Oréal is developing projects to regenerate catchment basins where it sources priority raw materials and its industrial operations are located, in order to preserve and restore the health of ecosystems and water resources.
This chapter fleshes out these ambitions by setting out the policy in detail, which is organised by stage in the value chain, ensuring a specific approach for each one.
4.4.2.1 EHS policy for water management at operated sites
L'Oréal is aware of the increasing pressure on water resources and is adopting responsible management policies across its sites. The EHS policy for water management at operated sites aims to preserve this precious resource through a multi-disciplinary approach detailed in the action plan. Through the innovative Waterloop concept, L'Oréal is aiming to use recycled and reused water in industrial processes. Under the L'Oréal for the Future programme, the Group has set itself the objective of using 100% recycled or reused water for industrial purposes at its factories by 2030. Waterloop equipment and best practices are being deployed by order of priority of the water situation in the catchment basins in which L'Oréal operates.